THMC to launch unique solution for hoteliers
The Hotel Management Company (THMC), will launch an innovative solution to help hoteliers maximise profits and the value of their assets this week.
The company, which specialises in hotel advisory services, asset management and hotel management, will launch the new product at the Independent Hotel Show, which takes place at Olympia in London from 17-18 October.
Over the period 2000 to 2015, a survey of 45,000 UK hotel bedrooms by HotStats reported a 24.1 per cent increase in RevPAR for provincial hotels, whilst profitability suffered a decrease of 23 per cent over the same period.*
UK hotels are experiencing severe margin pressure due to, inter alia, the rise of OTAs, minimum and living wage legislation, increasing utility prices and ever rising food and liquor costs.
Roddy Watt, THMC’s CEO, said: “The landscape for independent hotel owners is changing at an alarming rate and much of this change is in areas over which they have little or no control.
“This can be unnerving and worrying for independent hotel owners. However, the tools have also developed to enable effective and profitable management despite rapid changes in market and economic forces.
“The importance of product differentiation, market-positioning, quality of product and service delivery and value have never been greater, but given access to technology and to real market knowledge, the independent owner is arguably in a better position than ever to enjoy a very prosperous future.”
THMC’s new 12+1 Profit Improvement Plan (P.I.P.) is a tailor-made solution designed specifically to address the market pressures faced by independent hoteliers across the country. The one-year, fixed price programme is unique in the market. It provides a cost-effective MOT of the entire business with the key aim of optimising performance, profitability and asset value.
Led by a dedicated and highly experienced THMC Hotel Director, the 12+1 P.I.P. focuses on the 12 key areas that impact every hotel: sales & marketing planning; brand positioning & strategy; rooms & revenue management; food & beverage and event operations; human resources & payroll management; procurement; utilities & waste management; health & safety and legal compliance; insurance; technology applications; financial management; and food & liquor cost control.
Jonathan Langston, managing director of Hotstats, said: “The Hotel Management Company’s 12+1 Profit Improvement Plan directly addresses the many challenges facing independent hotel owners and operators today.
“With RevPAR no longer a reliable single indicator of a hotel’s health, I applaud the initiative to look also at non-rooms revenue and, critically, costs and profitability. Even well-performing hotels would derive real benefit from this programme.”
The product is already proving its worth, if the experience of one customer is anything to go by. A year-long trial with The Lincoln Hotel, Lincoln, showed a projected 46 per cent increase in profitability within 12 months.
Christopher Nevile, proprietor of the Lincoln Hotel, said: “THMC’s intervention has been invaluable. Their knowledge of their field is exceptional and their ability to impact on the results of my business has been hugely significant. The 12+1 Profit Improvement Plan is a tremendous programme.”
For more information on THMC, visit thehotelmanagement.co