21 
Aug

Hotel Industry Update 2019

Hotel industry update

The hotel industry as a whole is doing quite well in 2019. Europe’s hospitality industry is reporting positive results with an ever-increasing number of hotels being constructed. 1,504 projects accounting for 192,352 rooms were in construction as of July 2019. This is a 52.4% year-on-year increase in the number of rooms in the final phase of the development pipeline.

Germany leads the European table with 52,704 rooms, equal to 7.9% of the country’s existing supply. It is followed by the UK, Spain and France.

Expanding Rooms

In the UK, London is set to add 11,600 rooms to its hotel market by 2020. It holds its place as a world class destination for both business and leisure with a number of different styles of establishments opening across a range of price bands. The weakness of the pound has attracted numerous overseas hotel operators and investors to invest in hotel real estate.

This rise of hotel investment is a result of the increase in demand for operational and alternative property types. Several novel hotel ideas are springing up around the world. Some of these are spectacular and unique. Such as the InterContinental Shanghai Wonderland, labelled the world’s first underground five-star resort with the bottom two floors underwater. There is also the Game of Thrones themed hotel in Finland, which is attracting much attention.

UK Apprentice Recruitment

While some chains are concentrating on design; others such as the independent hotel group Elite Hotels are looking closer to home. It is calling on the hotel industry to change its view on apprenticeships. Working with local schools, colleges and charities, Elite Hotels has embedded apprenticeships into their business structure to create a “unique” form of training in five-star hospitality service.

Paul Coley, group personnel and development manager at Elite Hotels, said: “…we knew just how valuable apprenticeships can be – creating a pipeline of talent is key to our recruitment strategy and apprenticeships offer a great opportunity to welcome young people into the world of hospitality and help develop talent to combat the skills gap in our industry.”

Similarly, Travelodge launched a new recruitment scheme in May . It offers students a permanent job with flexible working hours designed around their study programme in their university and home locations. The brand looking to fill 3,000 jobs this summer.

Maximising Space Use

Another novel idea is Spacemize. This enables guests access to book hot desking space across designated areas within high-end partner venues. At the moment it’s only available in London. Hotels turn their empty tables into a work area from 9 a.m. to 5 p.m. While users get complimentary tea and coffee as well as discounts on food and beverage at the locations.

Spacemize provides a solution to entrepreneurs with a flexible place to work from in luxury venues; and it offers hotels an additional revenue stream and increased customer loyalty to the venues.

The hotel industry is not sitting on its laurels but is attempting to expand for the future, by adopting new ideas and pushing forward to provide value as well as quality accommodation.

Published Date: 21st August 2019
Category: Blog, Catering Business, News
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