HB ON THE SCENE: Among Many Tech Bells And Whistles, Hoteliers Keep Focus On ROI

LOS ANGELES— Amidst one of its strongest years in some time, the hotel industry has managed to shift its focus this week to the ever-growing technology part of the business here at the 2005 Hospitality Industry Technology Exposition and Conference, which is being held at the Los Angeles Convention Center. But despite the industry’s overall strengthening performance, hoteliers here seem to have maintained that tech-investment discipline formed during the downturn and, as a result, are going about new tech investments cautiously and with an eye fixated on return on investment. But that tech discipline has not stood in the way of the many vendors here who continue to try to bring the industry into the 21st century through high-definition TVs, intricate video-on-demand and in-room entertainment options and more comprehensive property management systems. Furthermore, during one session, handheld devices such as PDAs and Blackberrys were the focus, and the applications for those devices in hotels were explained. Titled “Handheld Devices and Applications in the Hospitality Industry,” the session was moderated by Robert Bennett, chief information officer of Ginn Clubs and Resorts. The session’s panelists included Amitava Chatterjee, a senior consultant of travel and transportation, hospitality and leisure for IBM Business Consulting Services; Peer Groothoff, manager of business applications for Ginn Clubs and Resorts; David Heckaman, principal of Heckaman Group LLC; and Saverio Scheri, managing director of WhiteSand Consulting. Collectively, the group presented the many ways in which hotels can utilize handheld devices. Some of the more beneficial applications for the devices include housekeeping, engineering work orders, guest check-in and check-out and restaurant reservations. In the end, however, members of the audience wanted to know how handheld devices for hotel staff members could be cost efficient when the devices on their own cost a lot and can easily be broken. Groothoff explained that they’re still working on that aspect. Aside from the many discussions on the cost effectiveness of such technologies as handheld devices, the conference also focused on the blood and guts, so to speak, of many of today’s primary hotel tech applications: the wiring. In a session titled “Wiring Infrastructure for Guestroom Technology,” the perils of wiring and rewiring new and old hotels was hashed out by a group of experts, including moderator Derek Wood, managing director of Derek Wood Associates; Les Spielman, president and CEO of Hospitality Automation Consultants; and Jeremy Rock, president of the RockIT Group. During the discussion, the panelists were able to enlighten the audience members on the merits of Category 5e, Cat 6 and Cat 7 copper wiring, the benefits of fiber optic wiring and the issue of future proofing hotels. The experts also noted that with new technologies being introduced to the hotel industry, such as video-on-demand and voice over Internet protocol phones, proper wiring that carries sufficient bandwidth is crucial. As for the cyberspace end of the hotel technology spectrum, one session managed to focus in on website booking engines, which have become major cogs in the reservation processes of hotel companies. Moderated by John Burns, president of Hospitality Technology Consulting, the session featured Jimmy Suh, vice president of revenue management and distribution for Kimpton Hotels and Restaurants; Norman Rose, president of TravelTech Consulting, Inc.; Joan Lowell, vp of electronic distribution marketing for Hyatt Hotels Corp.; and Susan Rubin-Stewart, director of reservations and travel for Vail Resorts. This panel discussed the best-of-breed practices for hotel websites and noted that many friction points remain on the sites for customers. The participants went on the agree that booking engines need to focus more on the sale of the specific room product and experience than merely the date and price of the res