Bill Geist's Zeitgeist

The Evolution of DMOs

Evolution is a fascinating beast, eh?

When I entered the Destination Marketing field, I was told we were in service to our hotels (that whole "heads in beds" thing). That slowly transformed into our Members/Partners (including restaurants, attractions, nightspots, etc.).

Then we were in service to the customer; the client...because everything that makes them happy serves our Members/Partners.

And now, here we are where we should have been all along. We are here to serve residents.

Fresh off Destinations International's CEO Summit, Don Welsh offers an interesting take on our true customers.

Delta's Bold Experiment

Over a decade ago, we began issuing "Air Laws" (not unlike Miller Beer's "Man Law" series of commercials) in a (vain) attempt to bring civility back to air travel. The very first Air Law addressed the habit of some self-absorbed passengers to recline their seat without considering the person behind them.

Now, we've all seen the heated "Tastes Great / Less Filing" debates ("I paid for the right to recline," some sputter indignantly) both in print and in person. And, I'm not here to debate it again. But, Delta Airlines has just announced that it will be converting roughly 10% of its fleet to feature seats with half the recline. The reason for the test: "Ensuring an optimal experience." I feel oddly vindicated.

This should be interesting...

The Proving Just Got Tougher

Those who have seen me present in Boardrooms and on stages know I'm pretty dismissive of counting Room Nights as a primary measure of the efficacy of Destination Marketing. Don't jump to conclusions here. Achieving Room Nights is important. Using them as your proof has been a slippery slope for over a decade.

And, it just got slipperier.

A new study from Hilton, NYC & Company and the PCMA Foundation has found that the practice of convention attendees booking outside the contracted hotel block has gotten much worse over the past 5 years. Like, twice as bad as the last study I saw.

Over the past three years, roughly half of all delegates attending large-scale, urban conventions are booking accommodation outside the block. 25% of attendees actually booked the HQ hotel...but didn't identify themselves as attendees qualifying for the block. Thus, they haven't been counted. Thus, our "proof" just got shakier. 

As the report states, all participants in this dance will need to re-evaluate the practice of establishing Room Blocks from the consumers' point of view.

And, DMOs need to find other ways to communicate our value.

Smart Companies Do What's Right

I remember it like it was yesterday. I was at the helm of the Greater Madison CVB (today known as Destination Madison) in the early ‘90s. My community was vigorously debating whether to increase the minimum wage. Proponents pointed to hospitality workers as those most vulnerable and most needing the City Council to take immediate and decisive action.

Back then, the Minimum Wage was $5.15/hour. A cadre of Council members wanted to bump it to $7.75/hour. During the public comment portion, the GM of the largest downtown hotel got up to speak. Council Progressives licked their lips in anticipation.

I don’t think he actually used the phrase “bless your hearts,” but, in effect, that’s what he was saying as he explained that housekeepers in his hotel were already making close to $10/hour; that he couldn’t find housekeepers in Madison that would work for Minimum Wage.

I thought of that evening today as I read the piece in Skift Table that reported that McDonald’s has announced it will stop lobbying against Minimum Wage hikes for pretty much the same reason. Most of their stores are starting rookies at $10 or more…because they must to keep their doors open.

While I don’t dispute that there are some players in hospitality that should be paying their people more (a lot more in some instances), smart businesses don’t need Minimum Wage laws to do the right thing. And, those are the businesses that will survive and thrive without the heavy hand of government.

Just sayin.’

If This is Too Hard...Maybe You Should Just Stop

Over the weekend I received a customer satisfaction survey from a company with whom I do a lot of business.

Because I like this company, I agreed to participate. I filled out an unusually long registration form to participate, clicked "go"...and was greeted with a message that, to complete registration to fill out their survey, I'd have to click on a link in an e-mail I would be receiving.

Sometime within the next 6 Hours.

Let's unpack this: Company desires my time. I agree to provide that time. Company tells me to come back later, assuming my interest won't waver (bad assumption).

This is not a small company for which technology should not be an issue. If they haven't (in 2019) been able to master to simplest of opt-in strategies that take a minute (if not seconds)...maybe they should just accept that this whole internet thing is too complicated and just go home.

Really.

The Power of Onboarding

When Boomers shake their heads at all the things that Millennials and Gen Z don't understand or know, they should shoulder the blame for much of it. My generation has gone through its adult life simply assuming that those who follow us in the generational chain instinctively know what we know. They don't. We didn't. We were taught by our parents and mentors. So, why would we expect that some of the most basic tasks of life would magically be embued in our kids?

I thought of our collective guilt as I read an article the other day about customer service and onboarding (we called it orientation in the day). A staggering statistic confronted me:

91 percent of employees remain with a company for at least a year (and  69 percent remain for at least three years) if a company has a well-structured onboarding program.

It's not that young professionals are flighty that makes them flight risks. It's that we failed to prepare them for our expectations and the importance of the job at hand.

Taking this a step further, are our Boards of Directors being effectively onboarded? Can they be the influencers in our community (for that is their most important role) if they are not immersed in the organization's history, culture and mission? When we shake our heads at their misplaced interest in directing programming, is it because we haven't shown them a higher calling?

Intentionality is a concept we hear more and more. Effective onboarding sounds like something about which we should be much more intentional.

N'est-ce pas?

 

David Burke

It's been years since we last spoke...but I never thought that last time would be.

David Burke, the long-time GM of the Breakers Palm Beach died unexpectedly last week. In a world of hospitality professionals who are generally nicer than the general population, David was one of a handful of tourism executives that stood out among a crowded field. I always looked forward to our time together when our careers connected us...and I'll now, once again, not be able to tell someone how much they meant to me.

And to so many others. To whit...this quote from his obit in Smart Meetings: 

“The first day on the job here...in your orientation class, first thing is you do a half-day of community service,” he said. “It’s all about ingratiating yourself into the community and doing what’s right. It’s so much fun working for a company that can do the right thing all the time.”

Yeah...we lost a huge heart.

Rest, David. And, we are all better for the way you lived your life.

Not Quite Midwest Express...But Closer

We all have our favorite airlines. Mine is Delta.

It starts with having the most flights out of MSN on the largest planes. That means I get upgraded more often because I fly them the most.

But, it goes beyond that. Delta gate agents are, hands down, less likely to lie to customers when something goes wrong than any other airline in this country. I've only caught them in one lie in the past five years and, though it resulted in me driving home from Atlanta rather than Roanoke (which would have been closer), I get that it was a weird day (the ATC fire in Chicago) and they were probably doing the best they could. Yeah...bless their heart.

But, now comes word that they are ordering a bunch of new jets with a 2x3 configuration to eliminate the number of middle seats on key business-travel routes. Oh, hell yeah. That's like almost affirming that Midwest Express was right. 

Wanna double down, Delta? Bring back the Cookie.

LOL.

On Tipping

The evolving debate over the custom of tipping often plays out in major cities facing $15/hour pay mandates. So, it's refreshing to see a restaurant in tiny Delta WI get international exposure through a Skift piece on the evolution of the practice.

Realizing that servers could, on a great weekend, walk away with $400/night during peak season (while line cookies wouldn't break $100), Delta Diner's Todd Bucher said no mas. And, he added the tip to the bill.

There was no discernable push back from customers because, in the end, they didn't feel a financial hit on the final bill.

Bucher expects a 30 to 40 percent growth in revenues within five years after eliminating tipping. He says staff turnover is down dramatically and he expects his once 5 percent profit margin will eventually hit 13 to 15 percent with this new operational structure.

So worth a read.

 

The Thought Process Behind Placement

Don't get me wrong...I think that making condoms available for sale in hotels is a good idea. It was just the way that such a service was offered during a recent stay that made me chuckle.

If you click on the image and look on the sixth line down of the very colorful products board, you'll see "Condoms" nestled between "Soda" and "Hoodie."

Though I'm giggling, I'm not sure I can suggest a better location. It probably doesn't fit next to "Pop-Tarts." Does it match up more effectively with "Batteries," "Shotglass" or "Bath Bomb?" I don't know.

I do know that I love how random this sign is...and would love to know the thought process that went into an obviously carefully considered piece of chalk art.