A Plea to Business Travelers

 

My name is Jason and I oversee the valet and parking operations of six hotels, various performing arts theaters, and access to the French Quarter in New Orleans. Since March, the best restaurants in the world, The World War Two Museum, the sights and sounds of the French Quarter, Uptown streetcars, music and entertainment bars of Bourbon Street, The Superdome as well as the best hotels that handle the biggest conventions and largest sporting events have all shuddered their doors, laid off their employees, and shutdown for what has now been six months (and counting).

We are not the only ones who have come to hard times across the country and around the world. Disney World, Broadway, Vatican City, The Eifel Tower, and Beijing have all closed down and seen every glimmer of hope disappear. The biggest hotels have closed, convention bookings have ceased, and almost any organized activity in my great city of New Orleans have gone away for what seems like an eternity. From the end of 2019 to present day, this city and the downtown area have suffered greatly due to the Hard Rock Hotel collapse (which still stands crippling apart), Mardi Gras tainted with victims of float accidents, several tropical storms and hurricanes this summer and now the ongoing effects of Covid 19 (as I write, a new storm eyes Hurricane Sally’s path).

In the most recent publication by the National Parking Association, Louisiana is one of 6 states that have “yet to reach pre-covid parking revenues”. 35% of the hotel rooms in the city are available to book with most of them empty during the week, according to New Orleans and Company. 11.9% of the Metro Area New Orleans population remains unemployed. These are the bellmen, bartenders, waitresses, front desk agents, sales managers, valets, musicians, and housekeepers that you typically see every day here. We need you to come back.

Across the nation, CEOs and business managers have adapted to the new times and culture. These moves have proven to be strategic and financially beneficial. So much business is now done via Zoom or Microsoft Teams. This has proven to reduce office rent and business travel expenses but also support family relationships. However, as a hospitality expert, true B2C and B2B service involves being in front of your customer. You have to see their product and understand the challenges that they have faced and overcome in this new business setting. Sometimes you want to see your account manager so that they are able to understand and support you just as they’ve done time and again.

I write to you today, professionals of all industry types. Jump on a plane, rent a car, book a hotel room, and go out to restaurants. Massive efforts by businesses to comply with local government orders and remain open have taken place, however, WE NEED YOU TO COME TO NEW ORLEANS to conduct business but also spend money in the places like Commander’s Palace, The Sazerac Bar at The Roosevelt Hotel, jump on a barstool at the Caroussel Bar, see a burlesque show at The Saint Hotel, or just grab a Hurricane and walk down Bourbon Street. Businesses like these and mine have taken great steps to maintain a clean and sanitary environment for you to travel, eat, drink, and sleep during your business trip. After you see our efforts, rebook and bring your coworkers. Spread how great of a city we still are. And then bring the family for the weekend.

We need every dollar at this point just to keep money in our operating accounts and our back pockets. We can’t be choosey about who comes here for fun or for business. Our ADRs are way too low. We recognize that the business traveler is one who pays a premium for the flight, the car rental, the bed, the meal, the cocktail, and the show. I don’t see many of you here anymore. When I do, my eyes light up. I love to ask where you hail from and how I can best exceed your expectations while you conduct your business. You are the most valued customer to our city and our businesses right now. We cannot survive on Airbnb, apartment rentals, or the “Wanna Get Away” rates. We NEED you to come back.

A professional colleague of mine, Etienne Tardy Director of Sales at The Roosevelt Hotel wrote, “we wake up before the sun comes up. We shine our shoes, practice our smiles, drive our old car and park blocks from the hotel. We roll a banquet table, fold some bath towels and move heaven and earth for our guests. We have dealt with the worst case scenarios of hotel fires, loss of power, SARS, Covid 19, lost packages, and rain on a bride’s wedding day”.

But we are still here. So many of us anxiously await your booking at our hotel, eager to valet your car, serve you an Sazerac, boil you some crawfish, shuck an oyster, or just play some good old fashioned jazz for you. But we can’t do it without our most important assets—you, our customers.

Bring your convention group to New Orleans in 2021! Be one of the first companies to bring safe gatherings to the Big Easy. Set the bar high for others to do the same. Continue to show why you are the change agents and the creative masterminds that led to your success. Please book your daughter’s wedding in the spring. Fly in for dinner and a show in the French Quarter. And if you need some help in finding the right place, give me a shout. I’ve been here most of my life and thoroughly enjoy finding new spots to have fun, but relishing in long-standing traditions that never get old.

Yours in Hospitality,

Jason M. Lynch

The Government Rate Dilemma

When I first transitioned to my first front desk role with Ritz Carlton, I was faced daily with an overwhelming majority of reservations booked under corporate discounts and, of course, the government rate. It was a no brainer that when someone handed you a Wells Fargo corporate credit card or Merrill Lynch credit card, it was obvious that they were an employee of those respective companies and thus qualified under their corporate rates. On the other hand, when someone had that government rate, often the cheapest rate in the system, some qualifying questions needed to be asked.

As one who was recruited into the federal government for a variety of skills not related to hospitality, I had unique skills in making quick, informative, and predictive behavioral decisions of people based on several visual and audible indicators. I had an advantage over my coworkers in identifying and qualifying people (very crucial in for various rates, especially the government rate). For this story, I'll abbreviate with GOV throughout. A few ways to qualify this rate are non-person emails, government credit cards (GSA SmartPay2 logos), and even a uniform. The GOV rate requires Government IDs (Federal, State, Local, Municipal, etc) or government travel orders (no one carries those). Most people who work for the government are happy to have credentials ready upon check in and some happy go lucky local police or firefighters often just love to show the badge right off the bat. 

I had a guest check (referred to as Tyrone in one Friday after lunch. He was not in any kind of uniform, had a consulting.com email address, and had no badge. Per my FOM, I requested his GOV ID. He responded that as  platinum member, no one has ever asked him for his ID. I replied that since this was his first stay at our Ritz, he was required to show to us and we could document for future reference. Tyrone again deflected and refused to provide. I noted that it was required for the rate but also an ID, .GOV email address, or even the GSA credit card would suffice. I did note that his consulting email address meant he was likely working as a contractor but not the government itself. We went back and forth two more times before he requested my manager. She came out and explained that we had been taken advantage of in the past and Marriott had requested that we be very strict with the policy. Tyrone still provided no supporting documents to earn the rate but she offered it to him as a one time courtesy and noted in his Mystique profile for future hotels to hedge against this type of behavior. He checked out on Sunday and wrote a letter to my GM complaining how he felt and thought that as a platinum he should be exempt from this type of treatment. I was called in and we examined future ways to handle this situation and no action towards me was taken. 

Since that interaction I saw it happen many more times like most in the industry. When I went to my next hotel, it happened even more as that hotel was almost exclusively business. Once I noted its occurrence I proposed a contractor rate that we could use. The purpose was that when this occurred and someone was identified as using a rate they were not eligible for, we could offer a different rate but not one so high that it would cause them to cancel and go somewhere else. Although at that point, if they chose to cancel and leave, they would be charged for the cancelation and the room would be resold as well. We also used this new rate for veterans and then local government employees who didn't qualify for the Per Diem rate. Having family members who served in Normandy and Vietnam along with countless friends serving since Desert Storm, I wanted to make sure we could still show appreciation but not have such a low ADR due to advantageous bookings on the GOV rate. The contractor rate was usually $10-$20 higher than the GOV rate. Almost every time this occurred, it was met with slight opposition but the steps to "recover" the customer were executed and received favorably. 

The rate is reserved for government employees and active duty service members for business only. I do believe that as Americans we should show appreciation to our veterans and active duty service members on vacation with a discounted rate. I realize that at the end of the day, the Per Diem GOV rate, brings in tens of millions of dollars to our respective hotels and parent companies. However, it should not be available to non- employees seeking to keep expenses down on hotels so that they can spend money on other aspects of travel for themselves. If you or someone you work with needs assistance on this topic or wants to further brainstorm ways to approach the topic, please email me at jasonjaylynch@gmail.com or connect with me on LinkedIn. 

#Hospitalitier #Thoughts on #RitzCarlton Opposing Homeless in LA LIVE Hotel

This week, The Ritz Carlton ( @ritzcarlton ) ownership group in Los Angeles expressed frustration and opposition to Project #Roomkey taking over the hotel and residences in an effort to combat homelessness in the LA area. Residents went so far to express concerns regarding safety, security, property values, and overall lifestyle. Residents who pay between $1million and $40 million per unit have all rights to be concerned and stonewall the move. However, the city states that since the hotel and residences received tax incentives up to $25 million, they have every right to place this segment of the population in this hotel versus one that received no breaks during construction.

Having seen a hotel in New Orleans being taken over by the city last month to house the homeless population and protect them from Covid-19, I can share my personal insight and opinions on the matter. A limited service Hilton branded hotel in the CBD of New Orleans took in over 100 people at the beginning of the pandemic. The city drove public buses throughout the city and picked people up under police and medical escort and drove them to the hotel. Strict curfew was put into place and the general public was not allowed within 100 feet of the hotel. 

I feel that Ritz Carlton has the right to protest this position from the city for a variety of reasons. My first question to the city is whether or not the tax breaks came at sacrifice to Ritz Carlton and LA  Live ( @LALive )? When the deal was reached for both parties to make concessions, was it expressly written that the hotel would have to "shelter" a group of people at the directive of the city in a time of crisis? If not, then the hotel shouldn't house the homeless in this case. My second question to the city is that while Project RoomKey ( @roomkeytracker ) is a great initiative and cause, why seek use of a premium, luxury hotel? Some of the world's wealthiest and most successful people stay at this hotel year round spending tens of thousands of dollars each when traveling. Is this money no good for the county of Los Angeles ( @countyofLA ) ? Can the city afford to lose this revenue stream because of the negative publicity from this stunt? I am sure the wealthy will find somewhere else to stay but again at what small and large cost to the city? While the hotel group has taken advantage of tax breaks, this shouldn't put them at the mercy of the city and move that could damage the image, property values, revenue streams, and #jobs for so many in this complex. Will the city reimburse the hotels for new sheets, towels, furniture, tvs, carpet, washing machines, supplies and so on? Let's be realistic-- those will all require replacing and at a fraction of the operational costs to occupy the hotels won't be able to replace on their own dime without suffering additional loss. Why not seek out smaller branded hotels and fill those hotels up? The long term costs of rebuilding and renovating (collectively) will be drastically lower than that of a very popular and sought out hotel and residence. Who travels to LA and says I want to stay at the Generic small hotel on Figueroa street versus "Let's Stay at the Ritz or the hotels at LA LIVE"?

On the other hand I see the county's point of view on the issue. They are not being choosey about which hotels to use and are noting that the management group has taken advantage of tax dollars that in theory could go towards solving this homeless issue. The county has the right to seize the hotels and utilize them for how they see fit during this crisis. All this would do in the short term is pave the way for a series of hearings both for and against which would only delay the process. During the pandemic, timing is crucial. This is a 90-150 day process which at the end of the day doesn't help the homeless when structured care is needed most. If this were a natural disaster or terror attack, the government would be seizing hotels like this to house workers, set up additional medical facilities and so on in the interest of public safety.

Looking at this through several lenses at one time presents a cloudy option that in theory could benefit all parties. The solution is not a simple one though. Marriott International ( @Marriott ) should step in and offer some of its lower branded hotels in a negotiated deal. They would have to negotiate whether the hotels receive 75% of the cost per room (question being operational cost or 75% of BAR/ market rate). If Marriott offers the lower branded hotels that aren't as luxurious and expensive (especially when time to clean and renovate is needed), then the Ritz Carlton potentially has an avenue to escape this potentially devastating PR and Business nightmare. The cost to clean and renovate a Residence Inn would be extremely lower than that of the Ritz. Further to my point earlier about where customers choose to stay, the Ritz is a destination in LA whereas the Residence Inn or Courtyard on Figueroa isn't. The Ritz Carlton has a great charitable program, known as Ritz Carlton Footprints ( @ritzcarltonCSR ) orchestrated by its Ladies and Gentlemen which would thrive on an opportunity to help the less fortunate in Los Angeles. This is the time. Step up and offer small hotels for Project Roomkey. Protect the Ritz Carlton and all its grandeur. Protect the #lives, #careers, property values, #restaurants, scenery and so on of LA Live. Preserve it for the next 30 years. Contribute to community spirit of giving. When we come out from #Covid , it will be time to rebuild, strengthen, and re-engage travel in this great world that we have. But LA County, you cannot force this prestigious establishment to shelter the homeless and then close its doors forever when Covid19 is a thing of the past. They won't be able to come back.

(source https://www.msn.com/en-us/news/us/ritz-carlton-opposes-plan-to-move-homeless-into-empty-rooms/ar-BB13DOkk)

Would You Give Someone the Jacket Off Your Back?

In my time with Ritz Carlton, I had countless opportunities to offer service to our guests that was above and beyond. I always wanted to incorporate my philosophy of promoting what I call DNA into everything that I did. DNA to me is an acronym for Different New and Attractive. I will share many stories with you regarding such experiences.

One Saturday night I was working the front desk on a very busy night when a guest (I'll call Tom) who was already in the hotel approached the check in area. I greeted him and noticed he was only wearing a white shirt and well colored tie. Tom asked if his dry cleaning came back from the cleaners. I checked the log and then called housekeeping to check on why his sportscoat hadn't been delivered to his room as it was already well past 6pm. The attendant noted the item had not returned and that it was likely forgotten at our third party facility. Without hesitation I asked him what size his jacket was and Tom stated that he was a 40 Regular. I ran around the desk and before I got to him, I had my jacket off and in my hands. Tom was wearing navy slacks and I had one of my favorite navy suits on myself. I told Tom to try this on and that it was a 38 Short but since he was smaller than I was, he would likely fit just fine in this jacket. I helped him slip it on and was in disbelief... my jacket fit him better than it had me. (I won't tell my tailor of course. He's amazing!)

I told Tom that he should wear this and simply return it to the desk when he checked out the next morning. I would be there to ask him how the evening went of course. I saw him the next morning as everyone from the weekend was checking out and he and his wife were elated in how the Ritz Carlton performed for them this weekend. We dropped the ball on one front but picked it up and ran for a touchdown on the recovery side.

My manager asked me Saturday night at one point where my jacket was as I had only a white button down on and my big thick red tie. I responded that I didn't think twice as Tom was in distress and he and I were the same height and build so to speak. She quipped that perhaps a trip to the laundry and uniform room of all associates would have been better. Unfortunately the uniform room only had black suits (not navy). I knew that I made the right decision and that it cost the hotel almost nothing (just a cleaning for me) and they have a guest for life who likely did the same thing I am doing now-- sharing positive experiences that lead to long term loyalty and of course more revenue.

A New Common Problem

We have all been impacted in some shape or form by the #Covid19 pandemic in the last few weeks and it's hard not to know someone who has fallen ill or even passed from complications associated with the virus. My article today isn't to focus on the pandemic itself or share breakthrough medical science but more to focus on how the virus has impacted the business that I do.

In the initial weeks of the impact on US soil, I met with my business partner to analyze what was known of the virus and its impacts along with developing a strategy on how to move our operations through this unchartered territory. We discussed financial impacts by way of loss of hotel revenue, theaters and entertainment venues being closed, festivals being cancelled or rescheduled, and staffing models to adapt to these impending changes that were only weeks if not days away. We examined existing operations, future operations, processes, and even some down time improvement plans.

Overseeing operations at six hotels and other sources of revenue requires that I have a large support team of both onsite personnel as well as support team members and managers to cover a 24/7 business. I knew that if the #hotels closed that my operation would hit a standstill. The same would be said about the Saints if Sean Payton, Drew Brees, and Michael Thomas weren't on the Saints roster. Just like with my days of emergency management, a plan of action and response was needed for when the effects were felt. Most companies and corporations have a #HumanResources team to notify employees of the situation and further communicate furloughs and layoffs. My HR manager is phenomenal at what she does but I knew that I could handle this task of constant communication and dissemination of information specifically relating to my operations. She handled her end when it came time to company wide communication. Companies have other departments to share the load. In this business it's up to our small corporate team and often myself to get it done.

I've always been exposed to #coaching/ #counseling sessions to help struggling team members and have also been on the side of having to terminate when needed. Unfortunately in #hospitality this occurs more often than one would think. When I realized that we couldn't just downsize by 20% when one or two hotels closed and that we would need to shut down completely, my heart dropped. Most of my 45 team members are hard workers and give a lot to get the job done but to have to tell my entire team that we would be suspending operations for an undetermined amount of time, I initially struggled. This wasn't a time to motivate the middle and drop the bottom. I held as many 1 on 1 sessions as I could but then decided to invite the remainder in for a meeting. We were beyond slow for that day and the mood was somber. Some knew as they'd heard it from others but the rest thought it was business as usual with some small changes. When I opened the meeting, it was difficult to communicate the unknown about the virus and the future of the company. I stuttered and showed emotion (to a bunch of guys who would never reciprocate). I found that my spiel was compliant as far as business is concerned but I really had to relate to them. I had to explain what was happening in our business could very well happen to them at home. And then it hit them... like a ton of bricks. They grasped the reality of the situation. We were closing-- not for good but to PRESERVE our #assets so that when this "thing" passed, there would be a #company to return to. If we kept them "working" with little to no revenue coming in, then we would spend all of our #money and have nothing to come back to when it was over.

Since then, I wake up each day and work with our corporate team to strategize our current state, examine our future, and strategize knowing that anything could change and send us right back to the drawing board. I use this extra time each day to get some home improvement projects done, but also to analyze how I did business and brainstorm new processes and strategies to make us better than we were. We have room to grow as do all companies and operations. But to take a 4-6 week vacation and not seek ways to be better would be foolish and ignorant. I do not strive to be either and won't start now. We have provided resources to our team members to make sure they can do what they can to live their lives. I check in on them from time to time and some call me to see when we will come back. We make a plan each day, see effects that impact our plan, and then work towards new solutions to counter those effects. Great managers do this. You already knew that.

TripAdvisor and Travel & Leisure magazine designated New Orleans as a top travel destination two years in a row. We have this because we handle tourism, sports, events, and just about anything else better than anyone in the world. Our government leaders issued Stay at Home directives to get in front of the spread of this virus. These were tough decisions that had to be made to secure our way of life, our country, our economy and so on. I made hard decisions too because if I waited any longer, there may not have been anything to come back to. I am a #hospitalitier for my team, for my city, for my industry and WE WILL BE BACK AFTER THIS. Will you?

 



Photo Credit: Center of The American Experiment

Back from Vacation

Welcome back to my page. For those who were following, I apologize for my absence. It's been a very productive and exciting year in New Orleans that pulled me away from social media and consulting. As business has completely stopped, I am making it a point to return back.

Thank you for following me and I look forward to sharing my experiences-- new and old-- and being active in the community again.