Thursday, 11 June 2009

No Need to Panic

Today's announcement that there's No Need To Panic comes as a result of swine flu. Isn't it strange that there are so many things we don't need to panic about? I am so busy not panicking some days that I can't get any work done. I wonder which organisation will issue a press release saying Panic Now! Well, actually I know, because I have just seen one. It came from carrentals.co.uk and told the world that we are going to run out of rental cars this summer unless we all panic and book now. It's a nice try - but both of these styles of communication seem to me to be treating us like idiots. We have all had enough of the message that we are all doomed - how about some grown up, funny, interesting messages and we might start listening again.

Friday, 27 March 2009

All In

A Singapore hotel is giving new meaning to the term 'All Inclusive'. For s$208 - that's £95 to us - the Quincy on Mount Elizabeth is including the room, 3 meals a day, internet, local calls, laundry, mini bar drinks, an evening cocktail and limousine pick up from the airport. Since it opened last month it has achieved 76% occupancy - and this against a backdrop of a 15% fall in visitors to Singapore. This will either strike fear into the hearts of London hoteliers, or it will generate a more hard headed response that the hotel will go broke quite soon.

Whatever the response, it is an indication that this is what our competition is doing. I take the view that there are many opportunities in this recession, but there is also a lot of pain on the way for some. The latest Visit Britain research shows just how fearful Americans are for their future, and there are many other countries where there is real worry and little in the way of the comfort blanket of a welfare system.

The pattern of the impact of this recession on travel and tourism is beginning to become clearer - 5 star, conference, incentive, air travel, business tourism and the shoulder season are a really hard sell. I wonder who is thinking through the implications of this for our sector? These are the most profitable parts of business and where the serious investment money comes from. Has anybody noticed that this could be very bad for the quality of the sector just as 2012 edges nearer and nearer? I don't suppose that Boris or Tessa is going to get out the begging bowl for the Ritz or the Savoy, but it would be nice to think that someone somewhere has a handle on these issues.

Tuesday, 3 February 2009

Jobs for the Boys

The Sunday Times appointments section last week had 10 pages of jobs - not bad for a recession. Look more closely and you will see that of the 60 or so jobs advertised only 3 were in the private sector and 2 of those arose because of a Local Authority contract. This is disturbing on lots of levels. The tensions in Lincolnshire provide some clue as to how this recession might shape up - with anger and resentment from people who feel that they are being unfairly treated. In the world of tourism there has been a broad acceptance that the public sector and its many organisations will employ people who develop strategy and work on long term issues like sustainability. The private sector will contribute, but mainly get on with the job of running a business or making a living. So what happens when that living is threatened? How much resentment will there be towards the latest initiative or the new Chief Executive on a Local Authority pension? Fortunately it looks like tourism will do better than many industries this year, but it is going to be tough - especially in the shoulder periods. As those running businesses watch their cash balances run down and face having to cut costs - including staff - the potential for deteriorating relationships increases. Those in the public or semi public sector need to think about this now and demonstrate that they have noticed that the world has changed. The alternative is an industry that turns in on itself and misses the real opportunities to win business and survive.