PARSIPPANY, NJ— Cendant Corp.’s Hotel Division appointed Michael Kennedy as its new CIO/svp to head the division’s new technology initiatives including a high-tech loyalty program, CRM system, and management support program. In his new role, Kennedy is “responsible for all technology, ongoing operational support, and new initiatives for Cendant’s nine hotel brands,” said the company. Based in Phoenix, Kennedy brings with him 20 years of lodging experience, and most recently served at CTO/svp of PurchasePro.com. Despite having only been at his new post for about a month, Kennedy is already geared to roll out a new loyalty program initiative by end of the first quarter 2002. “We’re going to launch a loyalty initiative that provides real time updates to customer information, room night stays, revenue figures. It’s accurate historical information… so when members check into a hotel, the front desk has the right information on them,” he said. Cendant is also planning to roll out a new internal network by the end of this year using VSAT (very small aperture terminal). The new network will be satellite based and will feed off of small satellite dishes located at every hotel— similar to Direct TV. “Reservation traffic, loyalty information, etc., will be communicated to the corporate center from the hotels and back. It’s an internal B2B system,” he said. He noted the VSAT system is more economical for Cendant than a traditional ISP because the satellite-based model overcomes the challenges of providing installation and service to hotels in remote locations. Coming in at the tail-end of Cendant’s Power Up program, which has already completed installation of new electronic PMS at 5,500 of the company’s 6,559 hotels, Kennedy will be responsible for gathering the transaction information generated through the PMS and providing it to both franchisees and corporate executives. “We’re trying to gather more real time information about the business dynamic in our hotels. How many rooms did they sell? And at what rate? Then allow them to go back two years and compare that data,” he stated. He added that by recognizing trends in the marketplace, Cendant can create more specific marketing campaigns for regions during slow periods or develop better revenue management strategies. Cendant also plans to build on its growing Internet presence, with the soon-to-be-launched travel portal, and apply some of the technology used in the portal’s development to the companies branded websites. New site are expected to launch during the first quarter 2002.
Michael Kennedy