As you say, “Hospitality is so much more than a business”, how did you cope as the hospitality industry came to a complete standstill?
At the core of hospitality is the art of service, dedication to others, and the quest for purpose driven engagement, which is why we firmly believe that it is so much more than a business. We have survived the biggest adversity our times by leveraging the strength of our network and recalibrating our business strategy into what is today known as the India Unification Plan. With this strategy, we are unlocking efficiencies in our network by ‘clustering’ of resources across five key pillars: People, Procurement, Food & Beverage (F&B), Operations and Commercial, segmented as 24 initiatives. We had embarked on this operational blueprint much before the crisis but, during the lockdown period, we put this on a fast track to a 12-week action plan with an enhanced focus on faster creation of clusters of resources and skillsets.
Some of the initiatives we have undertaken during the past six months include:
* Introduction of Epicenter Hotels concept where large clusters of hotels are supported by Epicenters (or base Hotels) to enable efficiencies through centralised production hubs.
* Enhanced F&B with new concepts, signature menus, outdoor catering vertical and innovative concepts such as ‘Take Home a Chef’ and ‘Meetha’ were launched. Our tie up with EazyDiner facilitates safe takeaways, contactless home deliveries and provides us national reach.
* Launched India Road Trips - with 98 operating hotels spread over 60+ cities in India, guests are always in ‘drivable range’ of a Radisson Hotel. India Road Trip is a curation of such destinations and routes offering modern accommodation with strict cleaning standards. Guests can now take a road trip across the country and enjoy a staycation at any of our hotels.
* ‘Owners for Owners’ Procurement Program (OOPP) that leverages parallel business lines owned by our partners for collective savings across our portfolio and passes on the benefits to our owners.
* Reimagined concierge services to deliver services such as housekeeping, home catering, salon and fitness training to our guests in the comfort of their homes.
* Implemented flow-through management to enable owners to maintain profitability and achieve benchmark targets for retention or recovery of business.
Strengthening guest loyalty is another critical component of our recovery efforts. With our recently launched #RadissonCares initiative, we leveraged our expertise across a range of service areas to help make a positive difference in the lives of our guests. The campaign was rolled out in five phases and brought together tips and insights in the areas of housekeeping, food and beverage, elderly care, and health and wellness from our well regarded and globally recognised service professionals. In another initiative under the umbrella theme of #RadissonCares, several of our 94 operating hotels in India came together to light up their facades in creative displays such as heart shapes, letters L-O-V-E and face masks. These initiatives have helped us stay close to our guests and deliver our brand promise in times when they cannot stay or dine with us.
Many of our service staff took on additional duties as emergency first responders in these times. We are proud of their selfless service and commitment to duty. We remain committed to ensuring their safety and well-being, investing in their training and reskilling initiatives, taking their feedback and supporting them during this uncertainty.
We are witnessing positive feedback and strongly believe that we are on the right path for building a stronger business operation.
Do you agree that the standard operating procedures (SOPs) of the hospitality industry have been changed forever?
The industry may experience some permanent changes with guest service being led through advanced technology. Emerging technologies will be deployed across all guest touchpoints such as contactless check-in and check-out, touchless room service, digital menus and sensor and gesture-based controls. It will be a catalyst in reviving MICE business through hybrid models with latest video conferencing services. More tech-based transformation will happen ‘behind the scenes’ at hotel operations with respect to cloud based solutions, automation in revenue management, employee engagement, contactless payments and partnerships with restaurant aggregator services. Just like ‘security theatre’ with features like CCTV cameras and security equipment became a standard post terror attacks, concerted efforts for a ‘hygiene theatre’ are being made to constantly assure guests of the health and safety protocols across the industry. There is an overall transformation in guest relations, which will only make the industry stronger in the longer run.
The current crisis has forced every player in the market to adapt the new working models. What new business propositions and revenue drivers has Radisson adopted to stay afloat?
We had spent a lot of time at the onset of the crisis to develop a robust recovery plan that not only places safety at its core, but also drives revenue for a sustainable future. Our operational blueprint, India Unification Plan, has strongly guided us in these tough times and we have not only been able to sustain our business, but also unlock new opportunities.
To drive revenue, guest outreach and enhance F&B, we have introduced food delivery and take away vertical in collaboration with EazyDiner, outdoor catering vertical and concepts such as ‘Take Home a Chef’ to extend our signature hospitality to guests at their doorstep. With Meetha, we are introducing timeless and traditional Indian sweets to suit every occasion including festivals, weddings and corporate events. We aim to capture a sizeable share of the premium Mithai industry in India and are planning to introduce extensions of the concept soon.
As staycations are important to drive domestic leisure demand, we have embarked on initiatives like India Road Trip that will help us connect our entire network and leverage synergies throughout the portfolio while offering unique experiences to our guests. Concepts to reinvent concierge services for doorstep services are in progress.
The key factors for success in our roadmap are speed, innovative thinking and value-driven mindset.
At the beginning of the year 2020, RHG had major expansion plans by tapping into tier II and tier III cities. Has the pandemic slowed the process or are you right on track?
We signed seven new hotels in 2020 and opened three new hotels– Radisson Blu Mumbai International Airport, Park Inn by Radisson Gwalior and Radisson Blu Towers Kaushambi Delhi NCR. Our plans are on track to open 60 new hotels in next three to five years.
What major plans and developments have you set in motion for Radisson in the year 2021? Please tell us about the new properties that are scheduled.
Next year is a significant one for us with several strategic openings and initiatives on the anvil. We are launching the very exciting and much-awaited Radisson RED brand in India in 2021 with the first hotel in Mohali, Chandigarh. Radisson Blu Nashik is another much anticipated opening for the year under our flagship brand. With 12+ hotel openings lined up; we will be 100 hotels in operations by April, 2021. Another key area of focus will be the pan-India pilot of EMMA, our unified technology platform which is truly disruptive for the industry.
Even in the pre-COVID-19 era, you were empowering the brand with new-age technologies to enhance guest experience. Please shed some light on how the group is staying relevant in current times.
We believe integrated technology experience will be the face of hospitality going forward. We have developed our game-changing unified technology platform EMMA, which will offer a 360-degree customer experience that encompasses a global, single guest recognition and personalisation platform as well as enable our partners to market new capabilities speedily. We will be rolling out a pan-India pilot for EMMA next year.
We have introduced new service offers such as contactless check in/ check out, digital menus, a la carte services, individually packaged hygienic food, health care trainings and hybrid meetings etc. to adapt to the ‘new normal’. Technology will continue to play a vital role in the growth of the MICE sector as hybrid events i.e., a mix of live and virtual components gain popularity. We are also investing in tech driven operational efficiency systems for implementation in 2021. Most aspects of guest service, relationship management and asset utilisation have been reimagined and are being integrated with technology solutions.
With the current change in market dynamics, what are the top trends that you have noticed in the hospitality sector?
The concept of staycation or short leisure trips has become a big crowd puller in the last couple of months. A long-drawn lockdown has compelled travellers to look for quick getaways that are not only safer but also provide an experience that is beyond a regular hotel stay. This increase in pent up demand for leisure has led recovery. With work-from-home becoming a norm for regular office goers and schools going online, lot of guests now prefer longer stays. India Road Trip initiative is in perfect alignment with these new expectations, with more and more modern travellers opting for good quality stay options within drivable distance from the city.
On F&B front, take away and food delivery has become a popular choice. At Radisson Hotel Group, guests have an interesting array of menu offerings to choose from. Our signature dishes are available through safe takeaway and for home delivery and this coupled with our assurance of safety and hygiene has resulted in a positive increase in food delivery.
When do you expect the true revival of the hospitality industry?
The revival of every industry is interdependent on various other trades and sectors. At this point, we believe recovery to pre pandemic levels is atleast 12-18 months away. However, we remain optimistic for the future and are dedicated to reshaping our business to adapt to the new environment.
What do you feel can be done to grow brand ‘Incredible India’ especially post Covid-19?
With restrictions in international travel, there is an opportunity to provide compelling travel experiences to Indians domestically and capitalise on pent up demand for travel. With myriad of landscapes, great heritage and culture, and swathes of natural beauty, India offers unforgettable experiences for every type of traveller. Therefore, domestic leisure centers need to be promoted with the lens of destination marketing. The spirit of ‘Incredible India’ campaign needs to be revived and perhaps sequel of the campaign will be the perfect way of reigniting wanderlust.
Businesses, industry associations and tourism boards across the country are advocating the promotion of domestic tourism as a means of reviving the economy. Infrastructure measures such as setting up National Tourism Council and a proposal for setting up a National and Cultural Heritage Restoration Fund that encourages sustainable and responsible revival of tourism have been recommended by FAITH. Initiatives such as “Dekho Apna Desh” — a series of webinars focusing on one city as a destination per episode - being hosted by the Ministry of Tourism, are a ray of hope for the industry’s gradual revival.