Swissotel Provides Videoconferencing To Meet Budget Needs Of Business Travelers

CHICAGO— As corporations continue to tighten their travel belts and the nation continues to fear flying, many companies are turning to videoconferencing as an economical way to satisfy their business needs. Videoconferencing is not new to the hotel industry, nor is it still considered cutting-edge technology. However, in the aftermath of the Sept. 11 terrorist attacks, videoconferencing is becoming a new found trend— and a revenue enhancing mechanism at hotels in light of lower occupancy levels. Swissotel, part of Raffles International Hotels & Resorts, is one of the many hotel chains noticing a rise in videoconferencing requests. But Raffles’ SVP/Operations Thomas Klein, was quick to note the technology will “never replace face-to-face meetings.” “We have videoconferencing available at our hotels and we’ve noticed a pick up in business…but the effectiveness will not replace a one-on-one meeting,” said Klein. He noted the company’s core business is to serve hotel guests, and while it would prefer a group of 50 convention attendees to a handful of videoconference users, the technology still helps the hotel serve its guests and meet a growing demand that’s useful in this short-term volatile economy. “Its another means to satisfy the needs of our guests…Post 9/11 there have been degrees of caution as it relates to travel and travel budgets have been cut. I suppose its good to be able to put a live face behind a monitor,” Klein stated. “Corporate America is using it as a means to conduct business on an interim basis.” Videoconferencing is available at five Swissotel properties including: the Swissotel Atlanta, Swissotel Boston, Swissotel Chicago, Swissotel New York- the Drake, and Swissotel Washington D.C.- The Watergate. By using multiple high-speed ISDN teleconferencing lines and high-tech camera equipment, videoconferencing is able to provide both real-time audio and video for clients. Klein noted that while demand for the technology is not drastically high, these hotel facilities “are starting from a zero-base,” due to the virtual lack of use of the technology until now. “We get more inquires than bookings,” he said, adding that although the cost of the technology might be high, it is still significantly cheaper than booking a small group meeting. Klein expects demand for the technology to continue through this year, while there is still a degree of caution in the traveling public. However, he expects 2002 to see a decrease in videoconferences as meetings that were cancelled in 2001 rebook for next year. “It’s a different traveler today. Travelers are more cautious, trips are shorter, they travel only when they have to travel,” he said. “We’ll see that change in 2002. They’ll continue to be cautious, but they’ll realize that they can’t sit still and not conduct business. Corporate Americans will continue to travel and they will continue to have meetings,” remarked Klein.