Insights Type: Articles

Nurturing Tomorrow’s Hospitality Leaders: Retention through Upskilling, Reskilling, and Providing Pathways to Upward Mobility

The HSMAI Foundation Special Report: The State of Hotel Sales, Marketing, and Revenue Optimization Talent 2023-2024, explores the idea: “Hands-on learning is the only way to build a pipeline of talent ready for unknown roles. You have to build this talent because you cannot buy them” (McCarthy, 2023). As we navigate the 21st century, the need for upskilling and reskilling is more critical than ever, particularly in the sales, marketing, distribution, revenue management, and loyalty space not only to retain valuable employees but also to position the hospitality industry as a destination career choice.  

In the pursuit of employee retention, it is crucial to emphasize a systematic approach to identifying employees’ skills and fostering their growth within the business. The key is recognizing that every individual is a unique asset, brimming with untapped potential waiting to be discovered and cultivated. 

Gone are the days when traditional learning and development methods sufficed. The rapid pace of technological advancement, coupled with shifting consumer preferences, has ushered in a new era where the old ways of learning and development cannot keep pace with modern-day skill needs. To stay competitive and retain top talent, organizations must adapt, and the answer lies in providing hands-on learning opportunities (McCarthy, 2023).  

Today, both employers and employees are forging a new kind of contract—a lifestyle contract that prioritizes mental and physical health. A healthier workplace is not just about offering gym memberships and wellness programs; it’s about nurturing the potential of every employee through continuous learning and growth. This is where upskilling and reskilling come into play, forming the cornerstone of this progressive contract (Ilya Boinic, 2023).  

Every revolution in the workplace has created the need for constant learning. The digital age is no exception. As technology transforms every aspect of the hospitality industry, from revenue management to asset management, employees must adapt. However, expecting employees to navigate this journey alone is unrealistic. 

Organizations must take the initiative to systematically identify their employees’ skills and actively train and nurture their growth. To achieve this, a multifaceted approach is essential. It begins with identifying employees’ existing skills and potential areas for growth. 

To achieve this, a multifaceted approach is essential. It begins with identifying employees’ existing skills and potential areas for growth. By conducting regular skills assessments and performance evaluations, organizations gain valuable insights into the strengths and weaknesses of their workforce. This knowledge forms the basis for tailored development plans.  

Stretch project assignments, where employees are pushed out of their comfort zones and encouraged to tackle complex challenges, provide invaluable learning experiences that align with individual growth trajectories. Shadowing individuals in their roles allows for firsthand exposure to the intricacies of the job, accelerating the learning curve. Simulations, such as cyberattack scenarios, offer a safe environment to develop critical skills while fostering confidence and expertise. 

By embracing these “lived” learning opportunities, organizations not only foster skill development but also cultivate a culture of adaptability and innovation. Employees become more engaged, motivated, and invested in their careers, making them less likely to seek opportunities elsewhere.  

Furthermore, providing clear career trajectories is essential for team members to meet their financial and personal goals. When employees see a well-defined path for growth within an organization, they are more likely to commit themselves to its longterm success. This systematic approach to skill identification and development ensures that employees recognize and seize growth opportunities within the business.  

Upskilling and reskilling are the lifelines that will help organizations navigate the turbulent waters of modernization, ensuring that they are well-prepared to meet the demands of an ever-evolving market, while simultaneously fostering a culture of retention and growth.  

Key Takeaways 

  • Hands on learning is needed to fuel talent pipeline.  
  • Creating internal employment marketplaces powers retention strategies.  
  • Lifestyle contracts with employees supported by leadership are a new and emerging model.  
  • Technology advances require constant upskilling.  
  • Development plans and career mapping are expected.  

To read more about the top talent trends, including case studies of this trend, download the  HSMAI Foundation Special Report: The State of Hotel Sales, Marketing, and Revenue Optimization Talent 2023-2024.   

Enhancing Customer Experience with AI

Isaac Gerstenzang, Vice President Digital Marketing & CRM, Atlantis Bahamas, HSMAI Marketing Advisory Board Member 

AI is ubiquitous these days, but a lot of the attention has been focused on content. I am interested in how different companies are using AI to enhance customer experience and use AI to boost their performance and quality. For example, Amazon is constantly improving their delivery routes by utilizing AI based traffic pattern analysis. How can we use AI to build an intelligent experience engine and ultimately enhance the guest experience? I brought these questions to the Marketing Advisory Board for discussion.  

Integrating AI for Enhanced Guest Experience 

We discussed the significance of utilizing AI to bring together various data signals and insights to create a more intelligent and personalized guest experience. There was an emphasis on the need to connect different data points, such as website interactions, email campaign engagements, reservation details, and then to leverage AI to make sense of this data quickly and efficiently to ensure team members can act on the learnings in their respective areas. 

Collaboration and Communication  

Our discussion highlighted the importance of collaboration and communication among different departments to effectively implement AI for guest personalization, both online and offline. We must understand the specific needs and requirements of each department and work together to bring all the different pieces together. We also are leveraging agency partners, vendors, and technical leaders to implement AI solutions. There was a feeling that vendors should include industry leaders in solutions earlier on, so programs don’t have to be retrofitted to how the industry uses the data.  

First-Party Data and Personalization 

Because of the shift towards first-party data and the decreasing reliance on third-party cookies for personalization, we saw the value of gaining more insights on guests through first-party data and utilizing AI to collect, curate, and analyze this data from various touchpoints to a single data stream to help elevate the customer journeys. Using first-party data could enhance personalization efforts and provide a more tailored experience to guests. 

Learn More  

Discussion 

  1. For hotels, what specific touchpoints in the customer journey can be optimized for personalization?
  2. The article mentions impediments to personalization, such as orchestration across channels. How do these challenges apply to the hotel industry, and what strategies can marketers adopt to overcome them? Are there specific examples of hotels successfully navigating these challenges? 
  3. How can hotels effectively integrate AI and customer data to improve customer interactions? What lessons can be drawn from companies like Starbucks or Qantas in terms of activating experiences across channels? 
  4. How can hotel marketing teams adopt a mindset of continuous testing and experimentation to refine offerings and better understand guest preferences? 
  5. What steps can hotel marketing executives take to build an intelligent experience engine for their properties? How might the 70/20/10 rule mentioned in the article be applied in the context of a hotel’s digital transformation, focusing on people, data, and technology?

Rising Sales Leaders Discuss Mastering Efficiency: Optimizing Calendars and Emails for Productivity

Jake Moreland, Global Sales Manager, Hyatt Hotels Corporation, HSMAI Rising Sales Leader Council 

Many of us grapple with the constant influx of emails and the pressure to stay organized and responsive, which can lead to the overwhelming feeling of email anxiety or stress. In our fast-paced industry and constant connectivity, managing email and calendar schedules effectively has become a crucial aspect of maintaining productivity and well-being. 

The pressure to remain perpetually connected has led to email anxiety, worsened by the hybrid and remote work environments. Some statistics highlight our challenge:  

  • The average number of emails sent and received in 2023 was 347.3 billion – 4.3% higher than 2022.  
  • 58% of people check their emails first thing in the morning.  
  • 90% of people between 25-34 years old equal 89% of email users.   

I brought this topic to the Rising Sales Leader Council. How, amidst this email onslaught, are we reclaiming our time and focus? Here are our top tips:  

Leverage Outlook Rules:  To help prioritize, create filters and folders to auto-sort emails that you can access when you need to. 

2-minute Response Principle: If it takes less than two minutes to reply, do it immediately. 

Embrace Inbox Zero: For some, having zero emails is their happy place.  

Strategic Calendar Management: Block specific times for email management, link reports in recurring tasks, and use tools like Clockwise to visualize free time and meeting distributions. 

Prioritize and Categorize: Use color-coordinated stickers or categories for emails to streamline priorities and manage sales cycles efficiently. 

Mindful Communication Timing: Consider time zones before sending emails, optimizing the timing for recipient responsiveness. 

Digital Detox: Sometimes, stepping away from digital devices or limiting their use for work-related communication can significantly reduce stress. 

Further Reading  

 

Questions for Your Team 

  1. Do you experience email anxiety or stress? 
  2. Do you use tools/features (i.e., filters, folders, categories) to organize your inbox/calendar? 
  3. What are your strategies for decluttering your inbox? 
  4. Have you implemented any email boundaries to protect your personal time outside of work hours? 

Digital Natives Discuss Technology Evolution and Adoption

Taylor Baca, CRME, CHDM Corporate Director of Revenue Management, Balboa Bay Resort & Club, HSMAI Rising Revenue Optimization Leader Council Member 

In a time of technological advancement, keeping up with the latest tools and systems can pose a considerable challenge both organizationally and personally. However, the adoption of technology can provide us with enhanced data analytics, the ability to provide personalized guest experiences and expand revenue opportunities. Moreover, technology and AI can offer solutions by streamlining routine tasks and allowing our leaders the opportunity to focus on the more creative and strategic aspects of their roles. Barriers such as budget constraints and reluctance to change can impede the seamless adoption of technology. I brought this topic to the HSMAI Rising Leader Council to discuss how we can challenge the status quo.  

Our discussion revealed hurdles to adopting technology, such as budget concerns and resistance to change. Yet, as rising leaders, we are uniquely positioned to be agents of change, since we have the language of technology. 

We agreed that often it came down to showing technology’s concrete benefits: how revenue management and business intelligence platforms not only can integrate with existing systems but also significantly boost ROI by optimizing pricing and improving operational efficiency. This requires a dual focus on the data as well as on gaining buy-in through effective communication. 

The goal is to use technology as a tool to enhance, not replace, personal interactions, ensuring the hospitality experience remains warm, genuine, and, ultimately, human. This balance is critical in leveraging data for personalization while preserving the hospitality that guests require. 

Further Reading:  

Questions for Your Team:  

  1. As young leaders, we belong to a generation that has grown up through great technological advancement. How can we leverage this technology first mindset and expertise to challenge the existing technology within our organizations and embrace new solutions and systems?
  2. Could it be argued that amidst escalating labor and supply costs, economic uncertainty and workforce shortages, technology integration can assist in addressing these challenges? 
  3. With rising costs and budgetary restrictions, how can we effectively demonstrate a return on investment to justify our adoption of new technology? 
  4. How can technology enhance revenue beyond room sales by leveraging hyper-personalization tools? 

Can Guest Experiences Serve as a Differentiating Hotel Marketing Strategy?

Sine Scott, Marketing Executive, HMSAI Marketing Advisory Board Member  

Amidst the prevailing focus on AI’s impact on marketing, I sought to steer one of our HSMAI Marketing Advisory Board discussions toward a core hospitality topic. How can we integrate enhanced guest experiences into our marketing strategies to stimulate demand and enrich the stay? We exchanged insights on how hotels and resorts can elevate guest experiences by creating unforgettable events and transforming spaces into memorable touchpoints. Such experiences foster collaboration between marketing and operational teams, cultivating brand loyalty and market distinction. 

Key Strategies and Insights  

  • Competitive Differentiation via Unique Offerings – In a competitive market, standing out is crucial. Customers are looking for unique experiences, viewing a trip as more than just a vacation, expecting a journey to personal growth. Participants explored how unique offerings and innovative space utilization can differentiate a hotel. For instance, the property can serve as a gateway to the destination, while on-site staff can act as ambassadors, such as a bartender curating a list of hidden cocktail bars
  • Activate Underused Spaces – Elevating guest experiences by creatively activating underutilized spaces has emerged as a differentiator. As one AB member noted, “Activating underutilized spaces can bring your brand pillars and positioning to life. There’s nothing worse than a non-animated lobby or flat experience.” These guest spaces can become vibrant aspects of the guest experience and integral to marketing and storytelling. For example, one hotel transformed an empty wall into an Instagrammable mural, turning a neglected space into a powerful marketing asset, driving social media engagement and indirectly promoting the hotel. “Everyone takes a picture of that spot and shares it on social media. People come and seek it out.
  • Marketing and Operations Collaboration – Discussions revealed an occasional disconnect between marketing/sales teams and operational teams regarding the value of minor yet impactful guest enhancements. Success stories underscored the benefits of collaborative efforts in personalizing experiences and providing tailored guest recommendations. This synergy between marketing and operations is pivotal for effectively implementing and showcasing the impact of guest experience initiatives. 
  • Demonstrating ROI to Leadership – Addressing the challenge of demonstrating ROI on experiential marketing highlighted the need to shift perspectives from considering guest experience enhancements as expenses to recognizing their long-term value. A strategy for demonstrating ROI includes leveraging data and sentiment analysis from guest reviews to correlate specific enhancements with positive feedback and repeat business. Additionally, creative ideas can garner significant earned media and reduce advertising costs. However, we acknowledged that not all returns are immediately quantifiable, emphasizing the need for a broader understanding of ROI that encompasses brand building and indirect revenue streams.  

The meeting underscored the significance of innovative guest experience strategies for competitive differentiation. By embracing creativity, fostering cross-departmental collaboration, and navigating the challenges of demonstrating ROI hotel teams can enhance guest satisfaction and bolster the brand. 

Supporting Articles:   

Questions for Your Team:  

  1. Why is it increasingly important to include unique guest experiences in our marketing plans?  
  2. How can we tailor experiences for different demographics while respecting privacy concerns?
  3. Can experiential marketing create demand and generate positive ROI?  
  4. How do we demonstrate the value and ROI of elevated guest experiences and personalization to our leadership team and owners? 

Transforming Talent Sourcing in the Hotel Industry: The Rise of the Gig Economy and Fractional Staffing Models

In the recently released HSMAI Foundation Special Report: The State of Hotel Sales, Marketing, and Revenue Optimization Talent 2023-2024, the second trend investigates how the gig economy and fractional staffing models are changing talent sourcing. Employers in the hospitality industry must adopt a marketing mindset to effectively attract and source the best talent. As businesses strive to fill critical roles in the post-pandemic world, it has become increasingly evident that traditional hiring approaches are insufficient to meet the growing demand for skilled professionals. The persistent shortage of skilled labor, especially in the hospitality sector, has created a challenging workplace environment. In North America, only 31% of workers report full engagement, with the majority either quietly quitting or engaging in negative behavior (Gallup, 2023). This talent gap remains a top concern globally, particularly in the United States, where over 75% of HR leaders identify it as a significant hurdle (Dean, 2023).  

In a 2023 report by the World Economic Forum (World Economic Forum, 2023) businesses now perceive talent shortages as a more significant limitation to their performance than a shortage of capital. The scarcity of essential skills in the local labor market is seen as a more formidable barrier to transformation across various industries (Dean, 2023). 

As labor and talent challenges persist, independent contractors and the gig economy have become integral parts of the workforce. Between 2016 and 2021, the gig economy experienced a 31% growth, with projections indicating that contract employees in the U.S. will surpass 90 million by 2028 (McKinsey & Company, 2023).  

McKinsey’s American Opportunity Survey (AOS) found that 36% of employed respondents, equivalent to 58 million Americans, identify as independent workers. This figure includes not only gig workers but also highly paid professionals in various fields, highlighting the diverse nature of independent work. 

 A shortage of workers with specific skills has led to a growing acceptance of the Project Economy model, where workers are hired for specialized projects. This approach appeals to those who prefer the gig lifestyle and offers flexibility in employment arrangements. 

A report by Strategic Solutions Partners titled “Moving Beyond the Staffing Crisis” (Hoch, 2023) underscores the importance of gig workers in the hospitality industry. Gig workers are essential in filling roles that cannot be adequately staffed by full-time employees. They offer flexibility, crucial skills, higher pay, and the ability to work remotely.  

The hotel industry has evolved significantly, and the surge in gig labor has proven valuable, especially for management companies and brands. Gig labor allows swift access to skilled professionals for specialized roles. This agile approach enables companies to address specific needs promptly and effectively, such as new property openings, sales leaders with strong business development skills, Go-To-Market plans for new properties or properties that require repositioning.  

The use of fractional revenue management and sales leadership has been a trend for several years. As sourcing experienced talent in these fields becomes even more challenging, this model is gaining more traction. Tammy Gillis, a recognized sales industry expert, highlights the attractiveness of the gig labor model for sales professionals. She states, “Now more than ever, sales professionals are looking for work/life balance, and culture is one of the most important deciding factors in choosing their next employer. Many salespeople are tired of working on property and getting pulled into operations and want full-time remote or hybrid remote positions. They also value training, coaching, and support which the hotel industry does not consistently provide.” In this current labor market, attracting and retaining sales talent is challenging, and a fractional sales model allows hotels to focus on employee well-being and customer satisfaction without the burden of internal sales management. This is why many strong sales leaders are choosing fractional sales careers with organizations like Gillis and Associates. This offers them the ability to work from home in a dedicated sales environment with strong senior sales leaders that offer coaching, training, and sales enablement support.  

Owners and operators are also increasingly considering the cost of client acquisition, and a fractional sales model can be a costeffective solution, typically being only 1/3 of the cost of bringing a full-time resource in-house. For management companies, this approach can serve as a stop-gap measure while they search to fill vacant on-property sales positions, ensuring they remain competitive with active selling initiatives still in progress.  

The rise of gig labor is not a mere trend but a transformative force in the modern workforce landscape. For companies, it offers flexibility, specialized skills, and cost-effectiveness. Fractional talent models, especially in sales and revenue management, have become integral to the hotel industry’s success in adapting to post-pandemic challenges. As Bill Scanlon indicated, marketing to talent and having more personalized solutions to provide them with choice and fulfillment mirrors the kind of customer marketing all hospitality organizations are engaging in today, and they simply need to think of their employee base as another customer group. In addition, fractional employment solutions allow hotels, management companies, and brands to hire seasoned experienced talent at a lower cost that provides growth opportunities for their developing employees to have senior leader’s role modelling and supporting their learning journey.  

 

Key Takeaways 

  • Competition for talent means recruiting requires a marketing mindset and dedication to employer branding. 
  • Gig and independent workers are growing in relevance and value. 
  • Fractional revenue management and sales leadership continues to grow— both employees and employers value fractional employment. 

To read more about the top talent trends, download the  HSMAI Foundation Special Report: The State of Hotel Sales, Marketing, and Revenue Optimization Talent 2023-2024.  

Should Revenue Management be involved in Reputation Management?

Monika Morrobel, CRME, CHDM, Area Director of Revenue Management, Pyramid Hotel Group, HSMAI Revenue Optimization Advisory Board Member 

We know that reputation management is important, but how involved should revenue managers be in that process? I brought this topic to the leaders of the HSMAI Revenue Optimization Advisory Board to discuss our role in reputation management. Below are our top five takeaways.  

  1. Recognition of Reviews as Influential Decision Drivers: Consumer behavior is heavily influenced by reviews, with a staggering 95% of potential guests considering them before making a booking. 
  2. Direct Correlation Between Reviews and Revenue: Even marginal improvements in positive reviews can lead to substantial revenue gains, with a mere 0.5% increase potentially translating into a remarkable 25% boost in revenue. This underscores the tangible impact of reputation management efforts on the bottom line.
  3. Proactive Engagement with Reviews: Revenue leaders must spearhead efforts to raise awareness about the significance of reviews within their organizations. By highlighting the correlation between reviews and financial performance, revenue professionals can galvanize action across departments to improve review ratings.
  4. Accountability and Ownership: Operational teams, particularly general managers, play a crucial role in maintaining and enhancing a hotel’s reputation. It’s imperative to hold them accountable for addressing issues that impact review scores, fostering a culture of continuous improvement in service delivery.
  5. Comprehensive Organizational Approach: Reputation management should not be viewed in isolation but rather as a collaborative endeavor that involves revenue leaders, marketing and sales teams, and operational stakeholders. By analyzing data comprehensively, organizations can gain insights into the intricate relationship between service quality, reviews, and pricing strategies. 

Go Deeper:  

Why reviews and reputation management matter (fastcompany.com) 

Reputation and Its Risks (hbr.org) 

Questions for Your Team:  

  1. How much involvement does RM currently have in reputation management, and who “owns” the process?
  2. What responsibility should RM have in the process?
  3. Is RM currently making strategy decisions based on the state of reputation management, and should they? 
  4. Who is monitoring the revenue impact of reputation management?

Hospitality CMOs Tackle Five Key Challenges

Between managing growth challenges, rapid industry changes, and keeping up with evolving consumer behaviors – there’s no shortage of issues vying for a CMO’s attention. Last month in New York City, HSMAI brought Chief Marketing Officers together for an Executive Roundtable. Here are five of the top issues that CMOs are focusing on:

1. Growth Paradoxes: Balancing Ambition and Reality

Challenge: CMOs are often charged with scaling operations while maintaining quality, profitability, and operational efficiency. 

Silver Lining: An increased Average Daily Rate (ADR) and a commitment to travel highlight the industry’s strength. Hospitality brands are innovating with digital storytelling, enhancing the guest experience beyond traditional advertising and tapping into a rich narrative of travel enthusiasm.

2. Workforce Engagement: Bridging Generational Gaps

Challenge: Engaging a diverse workforce and bridging the motivational gap among different generations present ongoing hurdles. 

Silver Lining: The re-introduction of internship programs and the commitment to enriching educational opportunities underscore a proactive approach to talent development and intergenerational mentoring. These efforts are vital as the sector evolves, ensuring a pipeline of passionate, service-minded professionals.

3. Stakeholder Management: The Art of Diplomacy

Challenge: Managing expectations and fostering satisfaction among franchisees and stakeholders demands a nuanced approach. 

Silver Lining: There seems to be easier access to capital, signaling an investment in growth and stability. This financial flexibility allows for more strategic investments in property improvements and innovation.

4. Revenue Optimization: The Customer Journey

Challenge: The goal to optimize revenue streams has become more complex with the blend of physical and digital customer journeys. 

Silver Lining: Advances in technology are enabling more targeted and effective strategies. Our eagerness to embrace digital marketing avenues opens unprecedented opportunities for engaging with guests in meaningful ways.

5. Performance Anxiety: Striving for Excellence

Challenge: Concerns about maintaining brand performance, hospitality, and profitability are ubiquitous. 

Silver Lining: Overall, many continue to meet budgets and normalize leisure trends, trying to ensure future revenue streams are more predictable. The acquisition of new properties and the growth in small and medium-sized meetings reflect a continued demand for travel and face-to-face interactions. 

Thank you to our facilitator, Dorothy Dowling, Managing Director, Howarth HTL and to HSMAI’s co-hosts for this roundtable, Expedia Group, Lotus Marketing, and Sojern. We’re grateful for the candid discussion from the eighteen executives from sixteen companies, including:   

  • Associated Luxury Hotels International 
  • BWH Hotels 
  • CoralTree Hospitality 
  • Drury Hotels Company, LLC. 
  • Hilton 
  • IHG 
  • KSL Resorts 
  • Marriott International 
  • Omni Hotels & Resorts 
  • Outrigger Hotel Group 
  • Preferred Travel Group 
  • Pyramid Hotel Group 
  • Red Roof Inn 
  • Sonesta International Hotels Corporation 
  • The Boca Raton Resort & Club 
  • Wyndham Hotels and Resorts 

HSMAI hosts this unique by-invitation only forum annually for hospitality marketing executives. If you are interested in being invited next year, please email Bob Gilbert.     

Demographic Hiring Trends: Meeting the Needs of Multigenerational Workforces

In this excerpt from the HSMAI Foundation Special Report: The State of Hotel Sales, Marketing, and Revenue Optimization Talent 2023-2024, we explore the intricate dynamics of the hospitality industry, shaped by demographic trends and evolving workforce paradigms. My review illuminates the industry’s current landscape, characterized by both optimism and challenges as it emerges from the post- COVID-19 era. 

The U.S. Bureau of Labor Statistics anticipates a promising future for leisure and hospitality, projecting the sector to mostly recover pandemic employment losses; yet recovery is projected to extend until 2031, underscoring persistent industry challenges (TED: The Economic Daily, 

U.S. Bureau of Labor Statistics, October 17, 2022). According to the same agency, as of November 2023 almost 1.1 million job vacancies existed in the Leisure and Hospitality Sector, a vacancy rate of 6.4 percent. Additionally, Bain and Company in a report entitled “Moving Beyond the Staffing Crisis” predicts a significant shift of about 150 million jobs to older workers by the decade’s end, with older workers comprising over 25 percent of the workforce. This combined with a slower pace of entry of new workers into the workforce caused by fewer people entering college and making hospitality a career choice, citing both costs of education and financial rewards, will prolong the pressure currently felt by the lack of skilled workers. (James Root, 2023). 

Emily Dean’s research (Dean, 2023) highlights the significance of navigating a multigenerational workforce, with organizations now spanning four generations: 

  • Baby Boomers (1946-1964) account for 20-25 percent. 
  • Gen X (1965-1980) contributes 30- 35%. 
  • Millennials (born 1981-2000) constitute 35 to 40% of the workforce. 
  • Gen Z (2001-2020) makes up 5-10%. 

 

While there remain challenges (Magnus- Sharpe, 2022), the acceptance of a diverse workforce and the need to accommodate the changing workplace has grown to be widely accepted in the hospitality industry and in the corporate world in general. Many HR professionals (89%) (Dean, 2023) (Clarke, 2023) view a multi-generational workforce as a positive factor when it comes to business performance. According to a recent survey conducted by Bridge Partners LLC, 88% of large employers see their DEI initiatives as necessary, and 80% view them positively. DEI initiatives are essential to fostering a positive work culture. Through exposure to diverse perspectives, companies can improve employee morale, promote business ethics, and drive creative problem-solving and innovation. Companies that prioritize DEI (diversity, equity, and inclusion) are better equipped to respond to challenges, win top talent, and meet the needs of different customer bases. 

Several studies have come to the same conclusion, if companies want to promote innovative, successful, and productive workforces, there will be a need for bridging generational gaps and leveraging the unique strengths of each cohort (Dean, 2023). Organizations must also address inherent biases that hinder hiring and advancement across generations. Gen Z workers promise to be the most racially and ethnically diverse generation in U.S. history. Gen Z is projected to prioritize job flexibility and better work-life balance and resist many of the more restrictive management practices of prior generations (Gould, 2023, Rock 2023, Faraci, 2023).  

The Baby Boomer generation will continue to retire, but many will choose to prolong their time in the workforce. They can be a valuable resource for corporations as many of them will value passing on their skills and knowledge to younger workers and will be more motivated by such factors as personal growth, helping others, and having a strong team spirit (Root, 2023). 

We’ll now explore the impact of demographic shifts, the staffing crisis, and the evolving multigenerational workforce, with a focus on their impact on revenue management, marketing, and sales. 

Throughout the report we will provide actionable strategies and recommendations for talent management, including: 

  • Ongoing training 
  • Cross-generational learning 
  • Flexible work arrangements 
  • Leadership transition planning 
  • Diversity initiatives 
  • Health and well-being programs 
  • Technological adaptation 
  • Supporting client relationship transitions 

 

Demographic Shifts and Staffing Crisis: 

The scarcity of candidates with skills in digital, analytical expertise, and evolving market dynamics poses challenges in talent acquisition across commercial disciplines. This necessitates investment in ongoing training programs to upskill existing staff and adapt to industry demands, as well as fostering cross-generational learning. Examples include establishing discipline specific digital academies, as well as intergenerational mentorship programs. 

Cross-generational learning is pivotal for sales, marketing, and revenue management, as older professionals bring invaluable wisdom and strategic skills and can cater to diverse customer bases and needs. Strategies include cultivating a mentorship-driven culture, diversity and inclusion training, and offering flexible work arrangements. Intergenerational mentorship programs and keeping experienced sales leaders in part-time roles, offers the added benefit of facilitating smooth transitions of account relationships – critical for customer retention. 

 

Key Takeaways:  

  • The future is promising for leisure and hospitality. 
  • Moving beyond the staffing crisis. 
  • 25% of workforce +65 years. 
  • Navigating four generations in the workforce. 
  • Advanced training programs for digital skills DIGITAL ACADEMIES 
  • Cross generational learning through mentorship and collaboration. 
  • Ongoing sales training to ensure teams are leveraging full sales enablement capabilities and customer changes. 

 

To read more about the top talent trends, download the  HSMAI Foundation Special Report: The State of Hotel Sales, Marketing, and Revenue Optimization Talent 2023-2024.  

The State of Hotel Sales, Marketing, And Revenue Optimization Talent

Executive Summary 

The trends influencing the hospitality sector talent, particularly in sales, marketing, and revenue optimization, have demonstrated consistency with previous years. However, it is important to acknowledge the significant developments and emerging shifts that are impacting talent within hospitality. This report offers insights into past and emerging trends while examining how the industry has addressed these issues. The HSMAI Foundation State of Talent Report is made possible with the support of the HSMAI Foundation’s corporate talent partners and individual donors and is authored by Dorothy Dowling, Managing Director, Horwath HTL, and a special advisor to the HSMAI Foundation board. 

The 2023 -2024 HSMAI State of Talent Report explores 9 key talent trends: 

01 Meeting the Needs Of Multigenerational Workforces 

  • Promote cross generational learning through mentorship and collaboration.  
  • Staffing levels are predicted to return to pre-COVID levels by 2031. There is a slow entry of new employees into the workplace and retention of older workers.   
  • Digital academies can provide advanced training in digital skills.  

02 The Rise Of The Gig Economy and Fractional Staffing Models 

  • A marketing mindset and dedication to employer branding is needed for recruiting. 
  • Gig, fractional, and independent workers are growing in relevance and value. 

03 Retention Through Upskilling, Reskilling and Upward Mobility 

  • Hands on learning can fuel the talent pipeline.  
  • Internal employment marketplaces can increase retention.  
  • Lifestyle contracts, development plans, and career mapping are expected. 

04 Transforming Employee Engagement 

  • Employee engagement is a pivotal metric.  
  • Listening and learning from employees’ fuels efficiency and productivity.  
  • Utilize dynamic employee engagement tools. 

05 Leadership Defines Culture and Organizational Purpose 

  • Leaders must connect the dots for teammates to contribute effectively.  
  • Employee well-being are foundational pillars in successful hospitality business.  
  • Upskilling investments to leverage new technology. 

06 Return to Office and Hybrid Work Models 

  • Culture and teamwork are fueled by intentional efforts like collaboration days.  
  • Some see in-office work as important for career growth.  
  • Discussion continues how fully remote employees are tied to different compensation models. 

07 Cross Functional Teamwork and The Evolution Of Commercial 

  • Cross functional teams require effective leadership, people development, collaboration, and training.  
  • Shared objectives and KPIs  help cross functional teams. 
  • Labor shortages and the changing demographics of the workplace make cross functional teams more important. 

08 The Rise of AI 

  • AI is indispensable, enhancing efficiencies across commercial functions.  
  • Embracing AI is becoming the key to unlocking its full potential. 

09 Prioritizing Emotional Wellness 

  • Employees value workplace cultures that prioritize personal growth and happiness. 
  • Leaders need to ensure employee engagement surveys to provide insights into employee well-being. 

 

To read the full report, visit: 2023 -2024 HSMAI State of Talent Report.