News Feature | April 21, 2015

Restaurant And Hospitality News – April 21, 2015

Christine Kern

By Christine Kern, contributing writer

Wyndham Hotels Leveraging New Personalized, Pre-Arrival Upgrades To Drive Revenue

In the news this week, Wyndham Hotels are leveraging new upgrade technology, Long John’s Silvers is prepping for EMV transition, keyless hotel entry offers some integration challenges, and a discussion of 10 major challenges for Fast-Casual leaders in 2015.

Wyndham Hotels Leveraging New Personalized, Pre-Arrival Upgrades To Drive Revenue

Wyndham Hotel Group has announced that they are launched a new initiative to deliver personalized, pre-arrival upgrade offers to guests at select hotels worldwide, that also results in new ancillary revenue generating opportunities for hotel owners and operators, according to a press release.  The effort is the result of a partnership with travel merchandising company Nor1.  Guests make a reservation at a participating hotel, and the eStandBy Upgrade platform automatically analyzes data points to offer appropriate upgrades.  The guest is then notified of the opportunity, and the upgrade is based upon availability upon check-in.  The program allows guests to save on upgrades while also helping hotels to maximize revenue opportunities for their best offerings. “In providing this solution to our hotels, we’re ensuring that operators have one of the essential tools needed to maximize the revenue streams that stem from their premium offerings and room types,” said Kathy Maher, senior vice president of revenue management at Wyndham Hotel Group. “What’s more, we’re giving those same operators the flexibility to manage when and how upgrades are awarded, leading to meaningful guest interactions that inspire brand confidence and loyalty.”

Long John Silver’s Anticipates EMV Transition With POS Upgrade And New Appointments

Loong John Silver’s, the largest quick service seafood chain in the U.S., has chosen point-of-sale provider Ingenico Group to upgrade its payments infrastructure in anticipation of the EMV transition.  The upgrade will allow the more than 580 locations in the U.S. to accept both magnetic stripe and EMV cards, and also will provide a platform allowing for NFC mobile wallet down the road.  The upgrade was the result of a need for improved security and PCI compliance, according to Long John Silver’s executives.  “As we prepared for the advent of chip-based cards, we also wanted to implement a solution with point-to-point encryption to provide bulletproof security over our customers’ cardholder data, while also easing the process of meeting increasingly complex PCI requirements,” explained Craig Daniel, chief financial officer for Long John Silver’s.  Long John Silver’s has also named a new COO, Brian Unger,  and a new CEO, James O’Reilly, according to QSR Magazine.

Keyless Entry Faces Serious Issues Going Forward

This article from Hotel News Now examines the issues that keyless entry will face moving forward.  Hotel companies embrace keyless entry technology, they need to ensure the proper technology to integrate the feature into their hotels.  A number of hotel groups, like Hilton Worldwide Holdings and Starwood Hotels & Resorts Worldwide, are initiating pilot tests of keyless entry.  Starwood is also backing up the technology with a $15-millino investment as it rolls out SPG Keyless in 30,000 doors at its 150 global W, Aloft and Element hotels.  Meanwhile, Hilton is pilot testing its own mobile-enabled room key technology at 10 U.S. properties, and the feature is anticipated to be available at all U.S. properties of Conrad Hotels & Resorts, Hilton hotels & Resorts, Waldorf Astoria Hotels & Resorts, and Canopy by Hilton by the end of 2015, with expansion to 11 global brands in 2016. Hotel technology experts highlight integration challenges that could loom for hotels that go the keyless route.  Robert Cole, founder and CEO of tech consultancy RockCheetah, explained “The dictating of the single solution, if that single solution is a problem, then all of your hotels globally have this lock that’s a problem, and that’s a problem for the central group. Do your costs also go up because you’re only using one vendor and there’s not a competitive situation? It’s very complicated.”

10 Challenges For Fast-Casual Leaders In 2015

This article from QSR Magazine offers up 10 challenges that fast-casual leaders will be sure to face in 2015.  The list includes tighter real estate, a technology arms race, the squeeze for private equity, the impact of Obamacare, the fluctuating fuel prices, external threats like terrorists attacks and natural disasters, labor costs and joint employer mandates, credit card fees, commodity prices, and shrinking margins.  While the list may seem formidable, author Nick Vojnovic concludes, “Gloom and doom is not my mission here. As the fast-casual industry continues to survive and thrive, my point is that we can never rest on our laurels. No matter how successful our concepts, there will always be stones in the road. The operators who adapt and watch for these obstacles will be the success stories in the coming year.”