With emotional ‘farewell’, Maldives’ first resort takes break amidst coronavirus outbreak

The coronavirus pandemic has hit the Maldivian economy hard, as travel restrictions and other preventive measures affect the country’s lucrative tourism industry, which contributes the bulk of the island nation’s state revenue and foreign reserves.

Before the pandemic, the government had been bullish about tourism prospects, targeting two million, high-spending holidaymakers this year after last year’s record 1.7 million.

Tourist arrivals saw a year-over-year decline of 22.8 per cent in the first 10 days of March. With arrival numbers falling, several resorts across the Maldives are being closed.

One notable resort that is suspending its operations is Kurumba Maldives, the very first resort that introduced tourism to the Maldives and whose opening in 1972 kicked off the island nation’s transformation from one of the world’s poorest countries to a world-class holiday destination favoured by the rich and famous.

How a Luxury Hotel on Billionaires’ Row Became a Dorm for Hospital Workers

Just a few weeks ago, it was typical for personal assistants to make reservations for thousand-dollar rooms at the Four Seasons Hotel New York for their high-profile bosses.

Remnants of the hotel’s luxurious past — the Art Deco-inspired entrance, the onyx ceiling in the main lobby, the oversize soaking tubs in the suites — are extravagant extras now that the five-star property has been converted into something akin to a military barracks.

The Four Seasons, just like nearby Central Park and the USTA Billie Jean King National Tennis Center in Flushing, Queens, is yet another New York City landmark being retrofitted to fight the pandemic.

Although other hotels in the city are helping with hospital bed overflow, the Four Seasons has dedicated itself exclusively to keeping doctors, nurses and other medical professionals well rested and safe

At the entrance, two nurses, wearing N95 masks, take the temperatures of all guests, asking questions about symptoms over the past 72 hours and if they’ve washed their hands. Once inside, guests go straight to their rooms; there is no bar or restaurant. Elevators carry one passenger at a time; others must wait on taped Xs on the floor, placed six feet apart.

Of the hotel’s 368 rooms, only 225 will have guests to limit crowding on the property.

Guests and hotel staff no longer interact. For check-in, keys are placed in envelopes on a table

Dirty items are collected only after guests, who stay for a minimum of seven days, check out and the room has been fumigated

India's top hotels will now deliver meals at lower rates amid lockdown

With social distancing becoming the new normal, hotels such as Indian Hotels, Marriott, Grand Hyatt and Accor Group Hotels are ensuring their meals reach the doorsteps of guests. For an industry that counts heavily on the overall experience, a personalised touch and ambience to pamper its guests, this is a first.

Guests can choose their favourite cuisines from a specially curated compact menu at a tad lower price than what they would have paid when dining at the hotel restaurants.

 The owner of Taj hotels is offering confectionary and gourmet hampers and a hamper for spa at home

Marriott International, the world's largest hotel chain, too, is pulling all plugs for its guests to beat the lockdown blues. Its brands including JW Marriott, Sheraton, Ritz Carlton, and Four Points are giving the guests an option for a take away or home delivery.

The hotels have introduced a compact menu of their signature dishes and are already seeing a positive response from local residents in their vicinity, she said. Stringent checks and safety measures are being taken while preparing, packaging and delivering these meals across homes.

Accor pledges to pay for employee Covid-19 medical bills

The group said that more than half of its Accor-branded hotels worldwide are currently closed, with this figure likely to rise to two thirds in the coming weeks.

Accor said that the deteriorating situation had led it to take “aggressive, incremental actions”, including a travel ban, hiring freeze, reduced schedules and /or furloughing for 75 per cent of global head office teams for the second quarter of this year, resulting in a reduction in costs of at least €60m for the year

Recurring investment plans have also been reviewed, reducing costs by another €60m, and other costs including sales, marketing and IT have been streamlined.

Board members will forego 20 per cent of their fees, and the group’s chairman and CEO Sébastien Bazin will take a 25 per cent pay cut, with the cash equivalent being contributed to the fund.

The group said that its “recent asset-light transformation and cash preservation strategy” meant it had a strong balance sheet, with over €2.5 billion in cash on hand and an undrawn revolving credit facility of €1.2 billion, and it stressed that while it expected “a severe impact” on its 2020 performance, it remained bullish on the long-term perspective of the hospitality industry.

Accor pledged to pay Covid-19 related hospital expenses for all of its 300,000 employees who do not have social security or medical insurance

Buy Indian Hotels, target price Rs 100: Anand Rathi

Anand Rathi has given a buy rating to Indian Hotels with a target price of Rs 100.

With the "no-travel" policy and companies adopting "work from home", the brokerage expects the impact of the virus to begin waning by June-July, and business to pick up in H2 FY21. It also assumes that as the last few months of 2020 roll in, inbound travel is likely to be a fraction of what India gets in typical years. Considering the situation and its impact on hospitality, the FY21e/FY22e EBITDA for Indian Hotels has been cut by 71.7 per cent/39.7 per cent.

The share price moved up by 2.38 per cent from its previous close of Rs 69.35. The stock last traded price is Rs 71. Incorporated in 1902, Indian Hotels has a market cap of Rs 8253.45 crore.

Investment Rationale

Key assumptions taken for FY21 are: standalone properties: 40 per cent occupancy with 12 per cent y/y cut in ARR; US and UK properties: 30 per cent occupancy with 12 per cent y/y cut in ARR). The brokerage retains buy rating on the stock, with a lower target price of Rs 100, from Rs 180 (sum-of-parts or SoTP valuation)
For the quarter ended December 31, 2019, the company reported consolidated sales of Rs 1372.72 crore, up 36.26 per cent from last quarter sales of Rs 1007.44 crore and up 3.72 per cent from last year's same quarter sales of Rs 1323.45 crore. The company reported net profit after tax of Rs 193.73 crore in the latest quarter.

Marriott reveals another security breach: 5.2 million guests exposed

A Marriott International franchise property may have been the source of a data leak that compromised information on up to 5.2 million hotel guests The breach involved the login credentials belonging to two employees; the incident happened in mid-January and was discovered by Marriott in late February 2020. The intruder’s access has since been disabled.

The latest breach

The security breach was discovered when Marriott found that ‘an unexpected amount of guest information may have been accessed’ using the two aforementioned compromised employee credentials. Those logins have since been disabled and the company has been investigating the security breach, as well as increasing its monitoring

If there’s an element of good news regarding this latest Marriott data breach, it’s that for now, at least, ‘the company currently has no reason to believe’ that certain vital guest details were accessed, including things like driver’s license numbers, bank card info, PINs, passport data, or national ID information. Certain sensitive details were potentially exposed, however.

Going forward

Security breach involved things like gender, birth dates, work company, loyalty account points and numbers, email addresses, phone numbers, mailing addresses, and names.

Not the first time

This isn’t the first time Marriott has faced a large security breach. In early 2019, for example, the company revealed that up to five million unencrypted passport numbers belonging to hotel guests had been exposed by its system. That breach involved the Starwood reservation system and impacted up to 383 million guests who stayed at one of the properties before September 11, 2018.

Beam Suntory pledges ₹1 cr to help restaurant workers, bartenders

Beam Suntory, a world leader in premium spirits, has come forward to support the food and beverage community in India at this time of social distancing to prevent the spread of Covid-19.

With the lockdown of restaurants and bars across the country to maintain social distancing, several thousand members of the hospitality community have been affected financially. Beam Suntory India is partnering with the National Restaurant Association of India (NRAI), the largest restaurant body in the country, to pledge support of ₹1 crore which will be used to provide relief to thousands of staff of member restaurants and their families at this period of the lockdown

Beam Suntory is also utilising The Blend, its global bartender engagement programme , to directly reach out and support the bartender community in India. The company has launched a ‘learn and earn’ program to encourage bartenders to utilise their time at home effectively by taking up online training modules.

Reading material and virtual engagement modules have been made available online, where bartenders can continue to be safe at home and enhance their knowledge and skills. To make the learning experience rewarding, The Blend will host online programmes every day, spread across 50 sessions, with prizes for the participants.

Accor to reduce pay, furlough 75% of global head office teams

 Accor reviewed its recurring investment plan for 2020, resulting in a €60m reduction in capital expenditure. The company is further streamlining all other costs, such as sales, marketing and IT, in line with lower systemwide revenues.

Given the current situation, Accor is reducing schedules and/or furloughing 75 percent of its global head office teams for Q2, as well as implementing a travel ban and a hiring freeze. These actions, it estimated, will result in a minimum €60 million reduction in general and administrative expenses for 2020 to mitigate the COVID-19 pandemic’s impact on business.

Accor said it currently has more than €2.5 billion in cash on hand and an undrawn revolving credit facility of €1.2 billion.

Accor is also withdrawing its proposal for a 2019 dividend payment of around €280 million. It decided to allocate 25 percent of the planned dividend to the launch of the ALL Heartist Fund, which will assist:

• The group’s 300,000 employees, pledging to pay for the COVID-19-related hospital expenses of those who do not have social security or medical insurance

• On a case-by-case basis, furloughed employees “suffering great financial distress”

• On a case-by-case basis, individual partners facing financial difficulty

• Health-care professionals and nonprofit organizations

  Accor board members have collectively decided to reduce their attendance fees by 20 percent to the benefit of this fund. Additionally, Chairman/CEO Sebastien Bazin will forgo 25 percent of his compensation during the crisis with the cash equivalent to also be contributed to the fund.

Hotels across India make meal packets for migrant workers and families

Ever since the outbreak of the dreaded Coronavirus, the hospitality industry has been doing its best to make a difference. Many hospitality companies across the country have also stepped forward when it comes to preparing meals for the needy and engaging in the best way possible with local authorities.

“At Radisson Hotel Group, we are committed to support our community and the country in the fight against the Coronavirus pandemic. 

The group has contributed INR 35 lakhs to the Prime Minister’s Relief Fund and also donated to United Way Delhi for Covid-19 related initiatives.

“We are routinely engaging with the government, industry bodies and fellow industry leaders at the highest levels to advocate for relief measures for the hospitality industry,”

The Atria Foundation, owners of Radisson Blu Atria Bengaluru has offered to serve 1,50,000 free meals every day for the needy in Bengaluru. Similarly, Arpit Projects Limited, owners of Radisson Udyog Vihar Gurugram and KJS Group, owners of Park Inn by Radisson IP Extension, New Delhi are providing meals to the needy.

The Pride Group of Hotels announced the distribution of 1000 food parcels every day till April 14th 2020 (lockdown period) in the cities of Pune, Ahmedabad, New Delhi, Kolkata, Chennai, Bangalore, and Nagpur.

Kerala Hotel & Restaurant Association (KHRA), an association with around 2500 members across the state are also contributing their bit.

“700 of our members are participating actively and supporting the state government in their community kitchen initiative. A lot of others have voluntarily offered their hotels,” said G Sudhiesh Kamar, President of KHRA.

Initiative By Roseate Hotels & Resorts & CII and Dwarka Dist. Police to Fight against Corona

Another Day to Brighten and Help someone. Together WE WILL MAKE IT HAPPEN. Dwarka Dist. Police in Partnership with Roseate Hotels & Resorts & CII gets ready to feed 1000 people on a daily basis under Relief & Rehabilitation initiative.Great initiative to fight against Corona

Thai Airways to ground its entire fleet for two months, all employees to take unpaid leave

2nd April 2020 – (Bangkok) Embattled Thai Airways International announced that they will ground all flights for 2 months and the employees have been requested to take two months off from 4th April to 31st May.

From today, flights to destinations in the same region have been suspended until 31st May. All flights to Europe will be cancelled from now till end of May.

Since the beginning of this year, the passenger load per flight has dropped to fewer than 50%. The President of the airline, Chakkrit Parapuntakul said many countries are on coronavirus lockdown, so the company has to suspend flights and close its offices.

Vineet Manocha Senior Vice President - Culinary at Lite Bite Foods Pvt Ltd - A Great Place to Work certified company

The 21 days Lockdown all over the country to combat COVID-19, has left thousands of destitute, daily wagers, migrant labourers struggle hard to manage even one meal. We have partnered with Swiggy to provide them daily meals, so that no one goes to bed hungry. It's our bit of giving back to the society.

Millennium Hotels and Resorts MEA names Samy Boukhaled as vice president of operations in the UAE

Millennium Hotels & Resorts MEA has named Samy Boukhaled as vice president of operations for the UAE. Boukhaled has been instrumental in implementing the expansion strategy of the company in KSA while assuming the position of vice president of operations that cultivated great success. Thus, his new appointment comes to leverage his experience in UAE.

Renowned for his revenue-oriented approach, Boukhaled has more than 30 years of experience in the industry, having held several leadership roles with hotel companies such as Accor and Sofitel, across France, Bahrain, Morocco and the KSA.

He holds an MBA in International Hotel Management from Vatel International Business School Hotel & Tourism Management in France and a Baccalaureate Degree from Morocco, among other awards and certifications.

Avani Hotels and Resorts Announces Key Management Appointments in Asia and the Maldives

Avani Hotels & Resorts is announcing a number of key appointments for its new hotels in Thailand, Indonesia and the Maldives.

Avani Ao Nang Cliff Krabi Resort and Avani+ Koh Lanta Resort, Thailand

In Thailand’s south - Avani Ao Nang Cliff Krabi Resort’s newly renovated 178-keys completed in January 2020 and Avani+ Koh Lanta Krabi Resort which will offer 87-keys and secluded access to the stunning white sand Klong Dao Beach which is scheduled to open by end of 2020 will be managed by Farah C. Jaber as Cluster General Manager.Farah started his career with Minor Hotels in 2013 as an Executive Assistant Manager at Anantara Rasananda Koh Phangan Villas in Thailand.

Avani+ Khao Lak Resort, Thailand

Scheduled to open in late 2020, the brand new Avani+ Khao Lak Resort will offer 328-keys and direct access to the pristine beaches of Khao Lak, just north of Phuket. Stephan Moonen has been appointed as General Manager and Karun Cornell as Director of Sales & Marketing for the property.

Karun also brings more than 10 years’ hospitality experience and is a graduate of Thailand’s Mahidol University International College in Travel and Hospitality Management; upon completion of his study, he started his career with Bandara Hotels & Resorts while undertaking his Master degree prior to joining Fair House Group in Koh Samui as a Group Director of Sales & Marketing.

Avani+ Fares Maldives Resort, The Republic of Maldives

Scheduled to debut in 2021, the 200-key Avani+ Fares Maldives Resort is located in the Maldives’ Baa Atoll which is a UNESCO Biosphere Reserve that is home to unique species of marine, fauna, and flora. Marlon Abeyakoon has been appointed as General Manager for the property.

Avani Seminyak Bali Resort, Indonesia

Scheduled to be rebranded in mid-2020, Avani Seminyak Bali Resort will introduce 21 residence-style accommodations and 16 private pool villas to the popular holiday island with the announcement of I Made Subrata as the new General Manager.

Made began his career in hospitality on his home-island Bali as the pre-opening team of InterContinental in 1993

Abu Dhabi Hotels Show Significant Year-over-year Declines for March

Reflecting the circumstances around the COVID-19 pandemic, STR’s preliminary March data for Abu Dhabi shows significant year-over-year declines in the three key performance metrics.

Compared with March 2019 data:

• Occupancy: -32.9% to 55.1%
• Average daily rate (ADR): -32.6% to AED333.92
• Revenue per available room (RevPAR): -54.7% to AED183.86

Daily data for the month showed 31 consecutive days of double-digit decreases in each of the three key performance metrics.

STR continues to monitor the COVID-19 impact on the hotel industry. 

We Will Travel Again - An Update from Marriott International CEO Arne Sorenson

I want to let you know how we’re focused on supporting the communities where our associates live and work. I also want to provide you with an update on our room cancellation policy and Marriott Bonvoy status and points expiration dates.

In the Community

Marriott understands that the pulse of the world beats as one to overcome COVID-19 and its devastating impact around the globe.  To that end, we have established the following programs to aid in the urgent fight against the pandemic.

With support from our credit card partners, American Express and JPMorgan Chase, Marriott has committed to provide $10 million worth of hotel stays for healthcare professionals leading the fight against COVID-19 in the United States. The initiative, called Rooms for Responders, will provide free rooms in some of the areas most impacted including New York City, New Orleans, Chicago, Detroit, Los Angeles, Las Vegas, Washington, D.C. and Newark, N.J. To implement this initiative, we collaborated with the American College of Emergency Physicians and the Emergency Nurses Association to match doctors and nurses with free accommodations at participating hotels.

In a separate effort for frontline healthcare workers, we have joined with a number of our hotel owners and franchisee partners to launch the Community Caregiver Program. This initiative, available in the United States, Canada, the Caribbean and Latin America, provides significantly discounted rates for first responders and healthcare professionals who want to book rooms at hotels in close proximity to the hospitals where they’re working. The rate is available on Marriott.com at nearly 2,500 hotels.

With both initiatives, our goal is simple – we want to support the frontline heroes who are selflessly supporting us.

For Our Customers

We remain committed to ensuring our customers experience flexibility during these challenging times, so we have further extended our cancellation policy and I wanted to give you an update on those changes.

For guests with existing reservations for any future arrival date, including reservations with pre-paid rates that are typically more restrictive, we will allow full changes or cancellation without a charge up to 24 hours prior to arrival, as long as the change or cancellation is made by June 30, 2020. Please note that any changes to existing reservations will be subject to availability and any rate differences.

For guests making new reservations for any future arrival date, including reservations with pre-paid rates, between March 13 and June 30, 2020, we will allow the reservation to be changed or cancelled at no charge up to 24 hours before your scheduled arrival date.

For Our Marriott Bonvoy Members

• Status Extension: We want you to be able to enjoy the status that you earned in 2019. With that in mind, the status you earned in 2019 will be extended to February 2022.

• Points Expiration: To provide you ample time to redeem points, the expiration of points will be paused until February 2021. At that time, your points will only expire if your account has been inactive for at least 24 months.

Best Practices for Hotel Management Company CROs Responding to COVID-19 - By Kaitlin Dunn, Writer, Hospitality Sales and Marketing Association International (HSMAI)

HSMAI hosted a Hotel Management Company (HMC) Chief Revenue Officer Virtual Roundtable on March 25 that focused on the impact that COVID-19 is having on hotel revenue optimization. In addition to discussing key indicators they are using to track how the hospitality industry is doing, HMC CRO participants shared their best practices, lessons learned, and ideas for preparing to accelerate as quickly as possible. Here are five of their suggestions, presented in their own words:

1) EXPLORE NEW STAFFING MODELS:

“We’re lucky enough to still have 90 percent of our corporate team, but completely redeployed our team into a secure division, a support division, and a succeed division. Succeed is focused on ramping back up — procedures, staffing, strategy plans, markets to proceed with, staffing messaging, communicating with properties. It’s been our main focus.”

2) WORK ACROSS MARKETS:

“We have been focused on a solid post-COVID plan, taking as much information across markets as we can to build that. We’re also synergizing our efforts across markets and sharing knowledge across markets. We’ve been heavily focused on our weekly forecast across all markets, so we’ve come up with a market-level focus for each market as well. We are also gathering a lot of digital information and consolidating it on a common forum.”

3) RECOGNIZE YOUR TEAM MEMBERS’ WORK:

“It’s been exciting to see my team in the field step up. They’ve been sharing what trends they’re seeing, leads that come in. We’re trying to focus on the good things we’re seeing

“We had to lay off a lot of employees last week, but those who have remained showed great compassion and empathy toward those who were furloughed. They’re all having to learn different brands that they never thought they would have to know three weeks ago. This is a great time for cross-training, and they are willing and open to learning.”

4) FOCUS ON RECOVERY:

“Anything that we can put together that’s hopeful or positive looking forward is more important than ever and is better received by employees. I look forward to putting that together for each property.”

“We’re focusing on when we are going to reopen and what happens then, instead of focusing on right now when we’re closed. We’re cross-training our revenue team with other departments who can’t work remotely. We’re also making sure we’re educating teams that discounting isn’t the best way to go.”

Automating hospitality in times of social distancing

The global COVID-19 pandemic has brought the travel and hospitality sectors to a halt. The calls to enact social distancing measures mean no more travelling or meeting friends at pubs or restaurants. The consequences are devastating for airlines, hotels, events, restaurants etc. and result in closures and job loss around the world. Although governments have taken various measures to address these, we can expect consumers to remain cautious when interacting with others, thus continuing the negative impact beyond t he end of the crisis.

 Giving a careful consideration to immediate and long-term impacts of the pandemic and social distancing measures on overall consumer behaviour and business continuity, integrating automation into service operations could help addressing some of the issues around safety and access

Attitude Change

 In this period of isolation, we are witnessing how people change behaviours that long have been taken for granted: shaking hands or standing closely next to somebody to order drinks at a bar

Importantly, having limited mobility and restricted access to services while in lockdown may bring about felt needs for automated services and self-service technologies. Some consumers may get used to ordering meals online or through an app and opting for 'click and collect' or delivery for other shopping needs.

Beneficial Automation

As suggested here, key to implementing automation in travel and hospitality is ensuring that the technology will bring value and benefits to the industry and its people. We have seen cases where robots and other automated machines can help with the operational upkeep of buildings and facilities. Hotels employ robots to sanitise rooms and common areas, freeing staff from risk of contamination

With the likes of World Health Organisation (WHO) implementing chatbots to spread information about COVID-19, businesses can use similar conversational agents to engage employees and customers while they are on lockdown

Responsible Adoption

Looking into the future, the emphasis should be about responsible adoption of automation, whereby technologies augment people in delivering what the businesses do best: hospitality. As outlined here, adoption of automation in the travel and hospitality sectors should be balanced with priorities to invest in people. Perhaps while letting the robots handle things at work, we should give employees opportunities to up their digital skills at home, but only if they wish to.

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Accor launches day-room bookings across 10 hotels in Bangkok for use as private offices

Accor is offering a day-use room package across 10 hotels in Bangkok to guests who need a private office space for the day.

Bangkokians who are desperately looking for a spacious hideaway to get their job done or who need a quiet place to focus on an important project can now book a room for up to 8 hours between 8:00am-8:00pm in 10 hotels.

Participating hotels are located all over Bangkok to enable local residents to select a private office location that is close to their homes:

• GRAND MERCURE ASOKE RESIDENCE

• GRAND MERCURE BANGKOK FORTUNE

• PULLMAN BANGKOK KING POWER

• PULLMAN BANGKOK SUKHUMVIT

• VIE HOTEL BANGKOK MGALLERY

• IBIS Styles Bangkok Sukhumvit Phra Khanong

• IBIS STYLES BANGKOK SUKHUMVIT 50

• NOVOTEL BANGKOK ON SIAM SQUARE

• NOVOTEL BANGKOK SUKHUMVIT 20

• MERCURE BANGKOK SUKHUMVIT 11

   Accor recommends that all travellers review guidance from the World Health Organization and follow any travel advice issued by the Thai authorities.

  Last week, Accor announced the launch of the 'ALL Heartist Fund', a COVID-19 special purpose vehicle dedicated to supporting employees and partners globally. This fund will typically assist the Group's 300,000 employees, pledging to pay for their COVID-19-related hospital expenses, for those who do not have social security or medical insurance, as well as furloughed employees suffering great financial distress.

  The fund will also seek to support individual partners facing financial difficulty and assist in the deployment of solidarity initiatives to support front-line healthcare professionals and non-profit organisations.

Marriott International Lights Up Across Asia Pacific To Spark Hope

Hong Kong -- Marriott International across Asia Pacific will light up its properties to send a positive message, offering a ray of hope to the communities they are in for locals and travellers alike. The "Light for Hope" initiative looks to spread positivity amidst the challenging times the world is currently facing.

 Over 270 hotels across various cities and regions, from Seoul, Tokyo, Shanghai, Hong Kong, Bangkok, Kuala Lumpur, Saigon, Jakarta, Maldives, Mumbai and many more have lit up their hotel rooms to the symbol of a smiley face, as seen from the façade of the hotel. The symbol was chosen to project a happy demeanour radiating positivity, with hopes that it brings a smile to the faces of everyone who sees it.

"In times of uncertainty one thing remains certain - we are in this together, and we will come out stronger", said Craig S.

Putting people first is at core of Marriott International. Hotels across Asia-Pacific have been going above and beyond to demonstrate the extraordinary collective power of people to help others

In these challenging and unprecedented times, associates from hotels across Asia Pacific have volunteered over 40,000 hours to serve their communities

Throughout April, guests and travellers can view the "Light for Hope" initiative at select Marriott International hotels across Asia Pacific.