Featuring - California Lodging Industry Association

FALL 2006
Serving Lodging Owners and Their Management Teams
Featuring
Marketing “How-to” Advice from Industry
Professionals to Increase Revenue and Profits
Proposition 65 — An Urgent Advisory
Up to $500 Rebate
Crystal Clear Savings
On almost 50 ICE-O-Matic models, which qualify for energy rebates
available from participating California utility companies, Pacific Gas and
Electric, Southern California Edison, and San Diego Gas and Electric.
$300
$500 Rebate
$400 Rebate
$300 Rebate
Some participating ICE-O-Matic dealers may offer instant rebates at
time of purchase for added convenience to our customers.
See your ICE-O-Matic Dealer for details or
visit WWW.ICEOMATIC.COM, or call 1-866-PURE ICE
Inside This Issue
CHAIR’S REPORT
Volume 60, Number 2
Published for the California Lodging
Industry Association
P. O. Box 15918
Sacramento, CA 95852-0918
Ph: (916) 925-2915
Fax: (916) 925-0785
E-mail: info@clia.org, www.clia.org
A Partnership for Success . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
5
HEADQUARTERS REPORT
CLIA Scholarship Fund Garners a Great New Friend . . . . . . . . . . . . . . . . . . . .
7
FEATURES
Customer Relationship E-mail —No Relation to SPAM . . . . . . . . . . . . . . . . . . . 24
PRESIDENT & CEO
Rick Lawrance — rick@clia.org
So You Think You Want to do Weddings at Your B&B . . . . . . . . . . . . . . . . . . . 25
VICE PRESIDENT
Jacquie Atchison — jatchison@clia.org
Online Reservations —Changing the Way You Do Business . . . . . . . . . . . . . . . 28
MEMBERSHIP MANAGER
Steve Morrow — smorrow@clia.org
Marketing Assistance Provided by CLIA Associate Members . . . . . . . . . . . . . . 31
MEMBERSHIP COORDINATOR
Donna Potoski — donna@clia.org
INDUSTRY NEWS
OFFICE MANAGER/BOOKKEEPER
Becky Bodine — becky@clia.org
Travel Leaders Call for International Marketing Campaign at Summit . . . . . . . . 16
HelpLine PROJECT COORDINATOR
Nicole Goi — nicole@clia.org
AAA Implements Inspection Application Fee . . . . . . . . . . . . . . . . . . . . . . . . . . . .16
CLIA LOBBYIST
Mike Belote, California Advocates
DEPARTMENTS
PUBLISHER
Ed DeMattia, MediaWrites
555 Veterans Blvd., Suite 123
Redwood City, CA 94063
(650) 329-9500
Ed@mediawrites.com
Member Benefits Update . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10
EDITOR
Diana Granger — diana@clia.org
MARKETING
Diana Granger — diana@clia.org
Milestone’s Top 10 Electronic Marketing Musts . . . . . . . . . . . . . . . . . . . . . . . . 26
Total Media Marketing: Maximizing your Destination and Existing Markets . . . . 30
Proposition 65 Advisory . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
Brown Hotel Group Announces Addition . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16
News from CLIA Headquarters . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Legal Update . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
Safety Update . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17
Index to Advertisers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35
Do you want to have a wedding at your B & B?
See page 25 for an expert’s perspective.
ADVERTISING SALES
Ed DeMattia — ed@mediawrites.com
DESIGN/PRODUCTION
John Stashik
California Lodging magazine is published
by MediaWrites biannually (summer and
fall) for the California Lodging Industry
Association (CLIA). Neither CLIA nor
MediaWrites assumes any responsibility
for the statements and opinions appearing
in articles under each author’s name.
While this publication is designed to provide accurate and authoritative information
on the topics covered, CLIA is not
engaged in rendering legal or accounting
services. The services of an attorney,
accountant or other expert should be
sought if further assistance is required.
California Lodging & www.clia.org
8
–4–
Message from the Chair
A Partnership
for Success
By Don Turner, CLIA Board Chair
Board of Directors—2006
Chair
Don Turner
Golden Bear Inn, Berkeley
Vice Chair
John Reinacher
Historic Santa Maria Inn
This year CLIA and AAHOA will sponsor
their second annual California Lodging EXPO®
and Conference on October 10 and 11 (see
page 18). After a long history of common
interests and united industry goals, CLIA
(The California Lodging Industry Association)
and AAHOA (The Asian American Hotel
Owners Association) determined that it
would be in the industry’s best interest as
well as the interests of both of their groups
of constituents to partner in the development and presentation of a lodging expo.
This event would provide their memberships
with educational forums as well as the
opportunity to meet with key purveyors and
vendors in an arena dedicated to this gathering and the chance to promote the growth
and betterment of the individual owners,
operators and managers of the industry.
From CLIA’s perspective, partnerships,
whether in business or marriage or community, are only as good as the commitment
and the integrity of the partners. CLIA is
indeed fortunate to have in AAHOA, a dedicated, loyal and honest partner equally
committed toward excellence in operating
and directing the California Lodging EXPO®
and Conference. The new and devoted
leadership of AAHOA have proven to be the
ideal partner for a continuing and successful
conference and trade show.
Last year, the year of the first California
Lodging EXPO® and Conference, our ambitions came to fruition providing our membership with an Expo that even surpassed our
objectives. The program offered truly inspiring educational programs and a sold out
slate of vendors and purveyors there to
meet with our membership and share information and product innovations with them.
Secretary
The event was encased by a great golf
tournament supporting the joint political
interests of the two associations as well as
industry and association dinners, guest
speakers and social gatherings committed
to giving our constituents a chance to share
common interests and develop their
businesses through interaction with key
participants in their industry.
Pacific Plaza Hotels, Alameda
This year, continuing the momentum from
last year’s great success, we have expanded
the program by over fifty percent, increasing
the number of vendor tables and booths as
well as the number of educational programs.
We expect attendance of well over 1,000
participants and a program that is packed
with even more opportunities and benefits
than last year.
Laurenne Douglas
Chief Financial Officer
Nipool Patel
Comfort Inn & Suites, San Luis Obispo
Immediate Past Chair
Terry Westrope
Ocean Park Hotels, Inc.
San Luis Obispo
President & CEO
Rick Lawrance
DIRECTORS
Eric R. Cogdill
Randall King
Jill Macdonald
John Manderfeld
Howard Mathews
On behalf of the CLIA Board of Directors,
I want to express our gratitude to 2005
AAHOA Board Chair M. P. Rama, current
AAHOA Board Chair Mukesh Mowji, Vice
Chair Danny Patel, Secretary Ash Patel,
and Treasurer Tarun Patel for their willingness to pursue a new direction while serving
the needs of our industry in California. They
have demonstrated true vision. We also
salute and thank AAHOA President, Fred
Schwartz and his staff for their conscientious and professional efforts to make the
2005 and now the 2006 California Lodging
EXPO® and Conference the leading regional
event for the Golden State.
Most of all, I would like to thank the membership of both AAHOA and CLIA for their
ongoing support and interest in our efforts
and commitment to the growth and
development of our industry.
–5–
Bhoopendra “Joe” Mowji
Bimal Patel
J.P. Patel
Naz Patel
Pravin “Peter” Patel
Richard “Rick” Tipton
Jane Willett
Roy Yared
CLIA
P. O. Box 15918
Sacramento, CA 95852-0918
Ph: (916) 925-2915
Fax: (916) 925-0785
E-mail: info@clia.org
www.clia.org
Serving lodging owners and their
management teams.
FALL 2006
Increasing Cash Flow and
Decreasing Expenses Through Payroll
Payroll can be an expensive, time-consuming and confusing process for many organizations. That is why outsourcing payroll is
such a viable option for business owners
today. Did you know that who you choose
as your payroll provider has direct impact on
the financial and operational health of your
organization? That is why selecting a
company with the right tools, support and
technology, along with competitive pricing,
is so important.
CLIA and E-chx, Inc. have partnered to
bring members a superior payroll solution at
an affordable cost. Member-only pricing is
available at http://www.e-chx.com/clia.asp.
and tax administration personnel, E-chx
works to better understand and meet your
business needs.
1. How does your customer service work?
Will you have a dedicated specialist or be
passed around in a pool of representatives?
What type of services should you
look for in a payroll company?
2. Do you have liability insurance and what
does it cover? Liability insurance protects
payroll clients against fraud and inaccurate
tax payments made by the payroll provider.
PAYROLL PROCESSING
DIRECT DEPOSIT
CHECK STUFFING & SIGNING
COMPLETE ELECTRONIC TAX SERVICE
EMPLOYEE HOMEPAGES
PRINTING OF W-2s
These services can dramatically increase the
amount of time your finance professionals
have to work on other important aspects of
business, and often
times it costs less
My dedicated specialist is wonderful and takes
to outsource your
care of everything for me. It’s a painless, headachepayroll than manfree service.
age it in-house.
E-chx has improved our small business
tremendously because it is not time-consuming.
It’s efficient and easy to use.
Germaine Gonzales
General Manager
Executive Inn & Suites, Vacaville
E-chx services are designed to help improve
your cash flow by reducing time and money
spent on payroll and increasing efficiency
within your organization. Through the use of
state-of-the-art technology, together with
highly-experienced customer service, payroll
E-chx service does it all; efficiently,
timely and with the highest level of
customer service a service company
could ever offer.
÷
÷
÷
They are prompt in responding to
queries and always available and
flexible. Someone is ALWAYS there
to help. I don’t believe that they go
home!
E-chx is less than half of the cost of
other competitors and no other
competitor’s customer service can
compare.
I would not do business with any
other payroll service. No one else can
measure up!
Bimal Patel
General Manager,
Best Value Inn, Mountain View
Quality Inn, Merced
E-chx can help
you maximize
your efficiency
and minimize
your expenses
by providing:
• Web-based technology which allows for
24/7 access for payroll key-in, immediate
processing and instantaneous reporting.
• Employee Homepages which give
employees access to pay history and
stubs. It’s a convenience for you and
your employees.
• Shadowing technology which allows
your dedicated specialist to share your
computer and show you how to make
any changes and answer any of your
questions.
• Flexible/Customized Reporting which
allows you to access over 30 reports that
can be viewed by date range or on a perpayroll basis. And, you can customize
your own reports using E-chx’s Report
Writer software.
• Hard copies of your W-2s and quarterly
returns, as well as on-line access by your
CPA and your employees.
How to choose the payroll provider
that best meets your needs
By asking the following questions, you
can determine if a payroll provider has the
superior tools, technology, service and
price to manage your payroll.
3. How long does the discount apply?
Are you going to be paying their regular
standard fees in 12 months?
4. What other services do you provide?
Some hotels may benefit by automating
time and attendance or by integrating
workers compensation payments into the
payroll.
5. How and when do you need the reports?
If you need immediate access to info or
you work from multiple locations, make
sure that there is a real-time Internet
reporting option.
One of my favorite features is
the great friendly customer
service E-chx provides. They
will go above and beyond to
meet our needs and are always
friendly, timely and available.
I use E-chx over other
competitors because they have
great price value, great friendly
customer service and great
dependability!
Ajay Kuverji
General Manager,
Horizon Inn, San Jose
E-chx has helped many CLIA members
save time and money for their business.
For more information, visit them at:
PASSPORT TO SUCCESS
California Lodging Expo® and Conference,
October 10 & 11, 2006
Booth #125 in the Endorsed Providers Row
To contact E-chx now, call Erik Tonge
at 866-341-3506; e-mail him at
etonge@e-chx.com; or visit CLIA’s Web site
at www.e-chx.com/clia.asp
ADVERTORIAL
CLIA Headquarters Report
CLIA
Scholarship
Fund Garners a
Great New
Friend
by Rick Lawrance, CLIA President/CEO
Several months ago, CLIA Associate
Member and lodging industry attorney
Mitch Miller (Miller & Fanwick, LLP, Palo Alto)
approached Board Chair Don Turner and
me, with a generous concept to benefit our
commitment to industry education. But
not only did Mitch bring us a proposal to
support an important CLIA program, he
offered to take on full responsibility to
organize and execute it.
The idea: “let’s raise $10,000 to benefit the
CLIA Scholarship Endowment…”
ship grants have been awarded since the
inception of the Fund in 1998.
There is still time to participate in this effort
to enhance our scholarship endowment by
the target of $10,000, with your contribution.
Mitch will present a check for the entire
amount raised, at the CLIA Gala Dinner
and Awards Ceremonies, at the Hyatt
Regency–Santa Clara, on October 10th.
All contributors will be recognized on that
evening, with those contributing $500 or
more receiving special accolades.
Mitch enthusiastiTo contribute to the 2006 Miller & Fanwick Scholarship Drive,
cally said “we can
make checks payable to the Miller & Fanwick Trust Account,
indicate CLIA Scholarship Fund on the check, and send to:
certainly get 50
Miller & Fanwick, LLP, 260 Sheridan Drive, Palo Alto, CA 94306.
businesses to
Questions? Please call Terry or Joanne at Miller & Fanwick:
donate $200 each,”
650-566-2290.
to which Don Turner
replied, “count me
I applaud our friend, Mitch Miller, for his
in, and we have 49 to go.” The intent, of
course, is to build the corpus or endowment initiative and his generosity to sustain and
expand a program held in esteem by many
of the CLIA Scholarship Fund to allow the
CLIA members. Many thanks, Mitch! We
Education and Scholarship Committee to
wish you much success in inviting CLIA
increase the annual grant to worthy college
members and Associate Members to join
students pursuing a career in lodging and
hospitality. More than a dozen CLIA scholar- this commendable cause.
Previous Scholarship Award Winners
2005
Mariasol Diaz
Cal Poly Pomona
2004
Nicole Newman
University of San Francisco
2003
Laura O’Connor
University of San Francisco
2002
Matthias H. Kowalsky University of San Francisco
2001
Karan Kapoor
Collins Hospitality Management School, Cal Poly Pomona
2000
Rodolfo F. Figueroa
Stanford University, Palo Alto
1999
Ryan F. Adams
United States International University
–7–
Chair & Co-Chair
Committee Contacts
Annual Conference/Gala Dinner
Mahendra Patel
MPI, Inc.
shreeohm@yahoo.com
Laurenne Douglas
Pacific Plaza Hotels, Inc.
ldouglas@pacificplazahotels.com
Associate Member
Ed Bear
AutoClerk, Inc.
ed@autoclerk.com
Bed & Breakfast Inns
Terry Westrope
Ocean Park Hotels, Inc.
twestrope@ophot.com
CALIPAC
Gary Hong
glukehong@yahoo.com
Education & Scholarship
Eric R. Cogdill
Lodging Today
lodgingto@aol.com
Government Affairs
Bob Griffin
robertlgriffin@yahoo.com
Lodging Operations
Sima Patel
Holiday Inn Express Hotel & Suites
Oakland Airport
sima@oaklandhiexpress.com
Marketing & Communications
Nipool Patel
Lamplighter Inn & Suites
San Luis Obispo
nipool@gmail.com
Member Benefits
J.P. Patel
Best Western Colony Inn Atascadero
colonyinn@thegrid.net
Sima Patel
Holiday Inn Express Hotel & Suites
Oakland Airport
sima@oaklandhiexpress.com
Membership Development
Pravin Patel
Holiday Inn Express Hotel & Suites
Oakland Airport
plpatel@sbcglobal.net
Jane Willett
Holiday Inn Express Lodi
jwillett@g-rem.com
FALL 2006
News from CLIA Headquarters
CLIA’s Successful Summer Regional Forums
Taking a break from the rigors of the lodging industry, dozens of
property owners and managers ascended to CLIA’s Regional Forums
on the Central Coast and Southern California. These summer
Forums where held on June 21, at the Embassy Suites – San Luis
Obispo; June 22, at the Best Western Pepper Tree Inn– Santa
Barbara; and July 24, at the Four Points by Sheraton – Culver City.
Presentations for these Forums included, “Developing Your Electronic Marketing Plan,” “45 Marketing Ideas in 45 Minutes,”
“Employment Practices,” “AAA Diamond Rating, Today and the
Future” and “Hospitality Trends & Outlook.”
CLIA’s Regional Forums are offered throughout the year, providing
attendees relevant education sessions, topical legislative updates,
networking, lunch, and raffle prizes. Attendees can select from a full
or half-day session. Visit www.clia.org frequently to find out when a
Regional Industry Forum is scheduled in your area! Or e-mail
info@clia.org.
Attendees at the San Luis Obispo Regional Forum enjoyed meeting old
and new industry peers.
CLIA wants to acknowledge and thank the following sponsors that
helped to make the Central Coast and Southern California Forums a
success: Amber Hotel Company, Bedford Capital Consulting,
Clark Pest Control, Chase Paymentech Solutions, Farmer Brothers
Coffee, Frank & Ron Hotel-Motel Supply, Inc., Gilchrist & Soames,
Kaba Lodging Systems, Occuscreen, State Compensation Insurance Fund, and UniResman, Inc. CLIA appreciates the support of
Associate Members who provide educational events for our lodging
property members.
Bob Mackey from Farmer Brothers Coffee awards raffle winner Susan
Neimes, Hotel Pacific Garden, her raffle prize during the Culver City
Regional Forum.
During the San Luis Obispo Forum Bob Griffin
was honored for his many years of service in
the industry. Mr. Griffin, now retired, is the
former President of Sterling Hotels and a past
CLIA Chair/Director.
Rick Lawrance, CLIA President and CEO, Jeff Souza with State Compensation Insurance Fund, congratulate raffle winner Paul Bullock of The
Eagle Inn at the Santa Barbara Regional Forum.
California Lodging & www.clia.org
–8–
Taiwan Hotel-Motel Association of Southern Calif.
31st Annual Convention & Trade Show
Hilton Hotel Los Angeles/San Gabriel
Sunday, June 25, 2006 CLIA—California
Lodging Industry Association recognizes the
importance of regional lodging associations
and sent a strong representation to the
2006 Taiwan Hotel-Motel Association and
their Southern California Trade Show.
Approximately 400 attended the Trade
Show which was followed by an Awards
Dinner. The CLIA booth was prominently
displayed in the background as CLIA President, Rick Lawrance, was interviewed by
May Xu of Phoenix Satellite Television, a
leader in Chinese cable programming. Mr.
Lawrance’s comments on the importance of
International tourism to the health of
California’s lodging industry will be broadcast in over 100 countries worldwide.
Joining Mr. Lawrance at the event were
Mr. Don Turner, CLIA’s Chair and Mr. Steve
Morrow, CLIA’s Membership Manager.
3TRATEGIC 0LANNING 4RANSACTIONAL ,AW
Calendar of Events
September 15, 2006
CLIA Academic Scholarship
Deadline
October 10-11, 2006
2006 California Lodging EXPO®
and Conference
Hyatt Regency Santa Clara
October 10, 2006
AAHOA/CLIA Golf Tournament
Summitpoint, Milpitas
CLIA Gala Dinner & Awards
Ceremony
Hyatt Regency Santa Clara
3ERVING (OTEL /WNERS &OR
/VER 4WENTY 9EARS
October 11, 2006
AAHOA California Dinner Event
Hyatt Regency Santa Clara
October 12, 2006
CSU Pomona 18th ANNUAL
SOUTHERN CALIFORNIA
VISITOR INDUSTRY OUTLOOK
CONFERENCE
Four Points LAX Sheraton
Los Angeles, CA 90045
(909) 869-4864
3PECIALIZED %XPERTISE
!LL &ACETS /F 4HE (OSPITALITY )NDUSTRY
3UPPORTING 9OUR 3TRATEGIC "USINESS /BJECTIVES
U
U
U
U
U
U
0ROPERTY 0URCHASE AND 3ALES
"ANK AND #ONDUIT $EBT &INANCING
%QUITY &INANCING AND 3ECURITIES
#ONDO (OTELS
4AX 3TRATEGIES 4AX$EFERRED
%XCHANGES
$EVELOPMENT AND #ONSTRUCTION
!GREEMENTS
U
U
U
U
U
U
U
&RANCHISE !GREEMENTS $ISPUTE 2ESOLUTION
-ANAGEMENT !GREEMENTS
&OOD "EVERAGE /PERATIONS
2ESTAURANT AND 2ETAIL ,EASING
)NSURANCE 0OLICY 2EVIEW
%MPLOYMENT -ATTERS
!$! AND 0ROP #LAIMS
!LLIED -EMBERS #,)! !!(/! !(,! #(,!
&OR FURTHER INFORMATION CONTACT -ITCH -ILLER MMILLER MmAWCOM OR
–9–
FALL 2006
Member Benefits Update
Benefits of Membership
CLIA proudly specializes in meeting the
needs of California’s independent lodging
owners and operators. Governed by a
board of directors comprised of owners and
operators who are actively involved in the
operation of their business on a day-to-day
basis, CLIA encourages and nurtures the
entrepreneurial spirit.
•
•
•
Toll-Free Helpline
•
Unlimited access to full-time Member
Services Manager for advice on
innkeeping and personnel management
issues — just call (800) 637-4664
Marketing
•
•
Save hundreds of dollars each year on
an enhanced listing in the California
Official State Visitor’s Guide, including a
listing on www.visitcalifornia.com
Get authenticated through CLIA for the
new .travel domain name, exclusively
for use by those in the travel industry
Legislative & Regulatory Advocacy
Bottom-Line Savings
•
Office supplies program discounts
•
Credit card processing program
discounts
•
Workers’ compensation insurance
program
•
Telecommunications program
•
Employment background screening
program
•
In-room coffee service and supplies
discount program
•
Settlement Recovery services
•
Effective legislative and regulatory
advocacy
•
5% discount on registration of a .travel
domain name through EnCirca
•
On-line access to CLIA positions on
bills, bill text, California Code, and more
at www.clia.org
Information/Education
Free enhanced listing on CLIA’s
Lodging Reservations Web site
Free directory listing on CLIA’s Web site
(www.clia.com), plus e-mail and Web
linking
Savings of up to 15% on display
advertising in the California/Nevada
AAA TourBooks through CLIA’s
preferred ad agency
•
Annual Year-end Legislative Summary
Report
•
Annual California Lodging Expo® &
Conference
•
California Lodging magazine
•
Lobby, monthly print & e-mail lodging
industry newsletter
•
Annual Lodging Industry Buyer’s Guide
& Member Directory
•
Statewide Lodging Industry Forums &
educational seminars
Resources
•
Free room rate cards
•
Free water conservation tent cards
•
Low cost Worker’s Comp Safety
Manuals: Injury and Illness Prevention
Program, and Win the Battle
•
Low cost State and Federally
mandated employer posters
•
Proposition 65 Compliance guide &
materials
•
ADA compliance guide
•
Low cost California wage and
hour guide
Not a Member?
Join Your Peers and
Support the Industry
Log on to www.clia.org and become
a CLIA Member Today!
California Lodging & www.clia.org
– 10 –
Legal Update
Internet Marketing—A Trap for the Unwary?
by Mitch Miller, J.D., M.B.A., and Ken Priore, J.D.
Understand the Risks
Marketing your hotel on the internet is a very cost effective way to
attract guests and realize revenue, but it is not without its own set of
unique legal considerations.
Domain Names—
Be Sure You’re Buying What You Need
In the 21st century, just as the location of a property continues to be
key to its success, registration of an effective domain name (“URL”)
has become a critical component of a hotel’s marketing strategy.
During the acquisition of a hotel, buyers often neglect to investigate
the availability of the desired domain name. Typically, this need
arises when the buyer intends to change the name of the hotel, or
the seller’s current URL includes multiple properties, potentially
leaving the individual hotel being purchased without its own URL.
The buyer usually assumes that it can get whatever domain it needs
once the hotel has been acquired. Often, this is simply not the case.
Top level domains include .com, .net, and .org, with .com being the
most widely used. Failing to obtain the desired URL in each of the
top level domains can detrimentally affect the marketing for your
hotel, thus diminishing its long-term value.
Buyers should require a seller to disclose all material information
about intangible assets including trademarks, telephone numbers,
and of course, the Web site and any and all URLs. The agreement
should require that the seller assign all URLs to the buyer at closing
and agree to sign any further documents as are necessary to
authorize the registration company to transfer the registrations to
the buyer.
If a desired URL is not registered to the seller, then during the due
diligence period the buyer should explore the availability of the URLs
that it thinks are needed to realize optimal Internet exposure and
effectiveness. The buyer should do this for the URLs on each of the
top level domains.
Your Hotel Web Site—
Do You Own the Content?
Whenever an unrelated third party creates intellectual property for a
client (graphics materials, software applications, Web sites, etc.),
the law presumes that the contractor owns the intellectual property
that is fruit of its labor, and that the client has the right to use the
contractor’s work product. This is in contrast to the fruits of labor
California Lodging & www.clia.org
created by employees, in which case the law presumes that the
employer owns the work product. Not to worry, the hotel client can
easily protect its needs.
Any Web site or graphics development agreement should set forth
specific provisions granting ownership of the design and the images
to the Web site owner hotel client. More generally, the agreement
should state that the contractor performs all services as “work for
hire.” This has the legal effect of creating ownership in the work
product the contractor creates on behalf of the hotel client.
The hotel’s need to perfect the ownership is important for a number
of reasons: first, if the design firm owns the design it has the right to
use the design for other clients, even if the other clients are your
competitors; second, if the designer goes out of business you want
to be sure you have access to and ownership of the design and
related code so that the hotel will not be forced to incur the expense
of recreating the design; and finally, if the hotel wishes to change
design vendors or webmasters, if the hotel has a master copy of the
code for its Web site, then the hotel can fairly easily shift its account
to another design vendor or webmaster.
Franchise Disputes May Result in
Blocking All Internet Bookings
Franchisees may delude themselves into thinking that the franchisor
is taking care of their every Internet reservation need. However,
should a real dispute arise between the franchisor and the
franchisee, the franchisee must be aware that refusing to adhere
to each and every franchisor mandate, including refusing to pay
royalties, may result in ALL Internet bookings being cut off. This
includes Internet bookings originating through third party sites. The
franchisee could unknowingly put its entire business in jeopardy!
Online marketing is rapidly and continuously evolving, opening new
opportunities as well as pitfalls. Understanding the online environment and developing astute strategies, coupled with pointed and
effective agreements can make all the difference in the success or
failure of an Internet marketing strategy.
Mitch Miller is the Managing Partner and Ken Priore is an
Attorney at Miller & Fanwick, LLP, a CLIA Associate Member
Company. For more information about the firm visit
www.mflaw.com, or contact them at (650) 566-2290 or
mmiller@mflaw.com.
– 12 –
– 13 –
FALL 2006
Industry News
Proposition 65 Advisory
Court of Appeal Invalidates CH&LA Settlement with
CDG Settlement “Not in Public Interest”
Cases Returned to Trial Court
quoting extensively from CH&LA’s Red Alert to its members and the
text of the settlement to support its finding that the Settlement was
improper. Second, the CH&LA Settlement improperly sought to
create safe-harbor warnings for a number of exposures, which
plaintiff CDG failed to document by attaching evidence of a
detectible exposure to its Certificate of Merit. The Attorney General
argued that a warning is not required without a showing that an
exposure actually occurred.
The following Proposition 65 Advisory, was prepared specifically for the California lodging industry by Attorney Carol
Brophy and Nossaman Guthner Know Elliott LLP, with an
important update on Proposition 65 litigation and stressing the
importance of compliance with the provisions of Proposition
65. Attorney Carol Brophy provides legal counsel to CLIA and
many of our members while defending against unscrupulous
and baseless Prop. 65 lawsuits.
CLIA has steadfastly opposed and worked to stop these
bounty-hunter lawsuits, while advocating compliance with the
law in support of public interests. We will continue to work in
the best interests of our members and our industry. We
encourage you to read this Advisory and to stay informed
about the prevention of Prop. 65 lawsuits and how to
effectively defend your property.
The Court did not decide whether CDG and CH&LA could create a
blanket settlement for hundreds of exposures, nor did the Court
reach the issue of the validity of CDG’s 60-day notices which were
submitted without attaching evidence of actual exposures. However,
the opinion leaves little doubt that the Court of Appeal found the
CH&LA blanket settlement improper.
On July 6th, the Second District Court of Appeal invalidated the
settlement between Consumer Defense Group (“CDG”) and over
250 California Hotel & Lodging Association (“CH&LA”) members,
ruling that CH&LA’s settlement and five others violated the public
interest (“Settlement”). The invalidation came at the request of the
Office of the Attorney General and Reuben Yeroushalmi, Consumer
Advocacy Group (“CAG”), a rival bounty hunter. The Attorney General
appealed on the grounds it: (1) involved collusion between CH&LA
and plaintiff’s lawyers (Graham and Martin); (2) was an overbroad
settlement intended to prevent others, including the Office of the
Attorney General, from enforcing meritorious Proposition 65
violations against CH&LA members in the future; (3) purported to
establish warning requirements for numerous “undocumented exposures”; and (4) “reimbursed” fees and costs to plaintiff’s attorneys
that were unwarranted. Yeroushalmi appealed on the grounds that
his organization, CAG, had also sent Proposition 65 notices to some
CH&LA members and that he was not allowed to participate in the
settlement discussions and did not obtain his attorneys fees and
costs for investigating the alleged violations.
The Court of Appeal found that the Settlement violated the public
interest on several grounds. First and foremost, the Settlement
impermissibly attempted to use the Settlement to not only resolve all
“past” violations, but also set warning requirements for the industry
in the future. In his brief, the Attorney General argued that trade
associations seeking to obtain approval for warning programs
should petition the State, not settle with a “private plaintiff” and
obtain court approval as CH&LA did. The Court apparently agreed,
California Lodging & www.clia.org
It is doubtful that the CH&LA settlement can be saved. Citing DiPirro
v American Isuzu, the Court indicated that CDG’s failure to document most of the violations in its Certificate of Merit meant that CDG
had no authority to sue. Thus, the Court was especially skeptical of
CDG’s last set of 60-day notices, which were issued based upon
information provided by CH&LA’s outside counsel, not CDG’s
independent investigations. Although the Court left little doubt that it
disapproved of the process used to create the industry-wide settlement, it withheld judgment on the validity of CDG’s notices, hinting
broadly that any future settlement between CH&LA and CDG should
not be based upon the notices sent with CH&LA’s “help.”
The Court remanded the case, but instructed the Trial Court how it
must review and approve Proposition 65 settlements. Specifically,
the Trial Court must evaluate every term and condition in the settlement —not just the warnings, civil penalties, and attorney fees paid
to plaintiff —to determine if they are “in the public interest.”
Presumably CH&LA may try to renegotiate the settlement; this
time with Yershoulami at the table and limiting the settlement to
tobacco. It is likely that CH&LA members participating in this
process will pay more, not only to their attorney, but also to
Yeroushalmi and CDG before a final resolution is reached. Each
bounty hunter will likely want to be reimbursed for its attorney’s fees
and costs to appeal this settlement and litigate for approximately
the past three years. For the innkeepers involved, final resolution
is months, if not years, away.
– 14 –
An industry-wide warning program is a goal shared by many trade
associations, including the California Lodging Industry Association
(“CLIA”). CH&LA’s troubles appear to be caused by the strategy that
their outside counsel (Jeffer/Mangles) pursued, even after numerous
objections by the Attorney General. CH&LA is not alone. Last
month, another Court of Appeal invalidated a similarly overbroad
settlement that Jeffer/Mangles negotiated with CDG on behalf of the
California Apartment Association (“CAA”). See CDG v Rental
Housing Industry.
In his brief objecting to the Settlement, the Attorney General pointed
out that there are ways to obtain state approval for industry-wide
warning programs, but joining an overbroad settlement, such as
CH&LA’s or CAA’s, is not the way to do it. Mindful of the Attorney
General’s position, Nossaman advised CLIA several years ago not to
pursue a similar “broad settlement” on behalf of its members. While
superficially appealing, the “broad settlement” approach resulted in
protracted litigation and little benefit for innkeepers.
Three things CH&LA members and all
innkeepers should do:
1. Keep up your Proposition 65 warnings! Whether you are using
the CH&LA warning program, or the California Lodging Industry
Association’s program, keep them in place. Warnings, not
settlements, are the best way to keep bounty hunters away from
your property. If you haven’t been sued yet, chances are the warnings will keep you from future lawsuits.
2. Never join a group settlement —unless the settlement is
narrowly focused to resolve ONLY the specific violation stated
in the notice. Here, the initial notices dealt with tobacco and
cigarette smoke, but the CH&LA settlement involved scores of other
things , including everything from pesticides to furniture polish, food,
and car exhaust. The Office of the Attorney General has never
approved of overbroad settlements and will likely
challenge every one of these “deals.”
3. Consider dropping out of the CH&LA settlement. It is possible
that CH&LA will change its strategy and hire other counsel to do so,
but time will tell. Some innkeepers joined the settlement, even
though they had a Proposition 65 warning program in place and/or
never received a 60-day notice of violation. Based upon the individual circumstances, these innkeepers could do better to drop out of
the CH&LA process. You may want to consult a Proposition 65
attorney for an evaluation.
Sometimes settlement is not the best course. On behalf of several
clients involving scores of properties, this same Court of Appeal
dismissed all of Nossaman’s clients from the lawsuit on the ground
that the bounty hunter did not have evidence of a violation at our
clients’ properties. Following the dismissals, Nossaman is working
on behalf of other trade associations, including CLIA, to obtain
approval from the Office of Environmental Health Hazard Assessment (“OEHHA”) for an industry wide Proposition 65 warning
program. Several Nossaman clients, including the Apartment Association of Orange County have petitions pending before OEHHA. In
response, OEHHA has decided to develop regulations and guidelines to assist both the rental housing and lodging industries.
Contact Nossaman or CLIA for information about how you can
participate or stay informed in this process.
By freeing businesses from the burden of litigation and working
with state regulators to develop an industry-wide safe harbor, the
goal of an industry wide safe harbor warning program appears
to be within reach.
More Information. If you have questions about Proposition 65
compliance, want to receive via e-mail a copy of the court decisions
referenced above, or want to be kept advised about negotiations
with OEHHA, please send an e-mail to Carol René Brophy, Partner,
Nossaman, Guthner, Knox & Elliott, LLP, at cbrophy@nossaman.com.
– 15 –
FALL 2006
More Industry News
Travel Leaders Call for International
Marketing Campaign at Summit
At the Global Travel & Tourism Summit, travel industry leaders
endorsed a call to action to make the U.S. more competitive with
other nations as a destination by adopting a national travel and
tourism policy and creating a sustained international marketing campaign. During a summit news conference, TIA President and CEO
Roger Dow told reporters “no industry is better positioned to help
America than travel and tourism. We can play a unique role as an
engine for prosperity and a partner in our diplomatic efforts around
the world.” Also in attendance were Jonathan Tisch, Chairman of
the Travel Business Roundtable and Chairman and Chief Executive
Officer of Loews Hotels and Vincent A. Wolfington, Chairman of the
World Travel and Tourism Council.
Brown Hotel Group
Announces Addition
Joshua Nester has joined the Brown Hotel
Group as a Sales Associate. Josh brings the
fourth generation of the Brown/Nester Hotel
Real Estate experience to the Firm. President Chuck Nester stated, “I couldn’t be
prouder to have Josh in the office, our family
tradition lives on!”
Brown Hotel Group, Inc. specializes in
Hotel Brokerage, from economy and limitedservice hotels through mid-market, fullservice and upscale properties.
AAA Implements
Application Fee for
Lodging Evaluations
As of August 1, 2006, Orlando-based
American Automobile Association (AAA)
charges an application fee for lodging
property evaluations. The application fee
will apply for first-time applicants and
applicants who had previously failed an
evaluation or who were disassociated
from AAA for whatever reason. The new
application fee will not affect current AAA
Approved and Diamond-rated properties
which remain in good standing. AAA
rates North American lodging facilities
as a service to its members.
For more information about the evaluation process, or for an application, visit
www.AAA.biz/Approved. And don’t miss
hearing Charles Smith, AAA Manager,
Approved Accommodations, at the California Lodging Expo® and Conference,
9:30 a.m., October 11, in Santa Clara, CA.
California Lodging & www.clia.org
– 16 –
Safety Update
Hotel Worker Safety
As a hotel and motel service worker, you
provide hospitality and service to travelers.
Whether you’re a room cleaner, maintenance worker or desk clerk, you help to
ensure that hotel operations run smoothly
and meet customers’ expectations. But, in
order to keep your hotel functioning at its
best, you want to insure that you stay safe
and healthy on your job.
The biggest risk for hotel workers is
ergonomic injury from sprains, strains, and
repetitive work. Protect your back and limbs
by practicing safe ergonomic principles
when performing your job functions. Maintain neutral postures and rotate your tasks
to give different muscles a rest. Limit the
tasks that you do on your knees, over your
head or with your back bent. When wiping
down mirrors and surfaces, alternate arms
and use slow, deliberate movements to
avoid straining your muscles. Choose longhandled tools for vacuuming, mopping,
scrubbing, and wiping. Take breaks every
20-30 minutes to give your muscles a rest.
into a garbage can and do not stomp on
garbage to compact it.
Cleaning and maintenance tools can cause
injury if they are not used correctly. Get
training and always inspect your tools before
use. Wear the proper personal protective
equipment (PPE) including work gloves,
safety glasses, and hearing protection when
the hazard requires it. Inspect all equipment
electrical cords for good condition to avoid
the risk of electrical shock. Use caution
when you are working with electrical systems and be sure to lock out or tag out
powered equipment or wiring that needs
service.
Ladders are commonly used to perform
maintenance, wash windows, and change
light bulbs. Practice ladder safety by climbing properly while holding on to the rails with
both hands. Avoid reaching to the side of
the ladder; climb down and re-position it if
you need to. NEVER step on the top step of
a ladder.
Moving heavy, bulky, and/or wet room
furnishings, doing maintenance work or
working the front desk can cause injury if
the work is improperly. Use good lifting
techniques and work practices to protect
your back. Keep your back straight and
neutral while you work. Wear comfortable
clothing and shoes to help you move freely.
Avoid overreaching. Use your leg muscles to
lift. Lift smaller, lighter loads or get help
when you need to move heavy equipment
or materials. And, use anti-fatigue mats
when you will be standing in one place for a
long time.
Rushing on the job can lead to accidents,
especially on newly mopped or waxed
floors. Slips on wet surfaces in bathrooms,
kitchens, and lobby floors can cause serious
injuries. So, clean up spills immediately and
mark wet floor hazards with signs. Wear
shoes with non-slip soles, take your time,
and watch where you’re going.
Read the label and/or material safety data
sheets (MSDS) to know the hazards and
safe work practices for the chemical products you use. Choose and use the mildest
cleansers and chemicals possible that will
still get the job done. Then, wash your
hands with soap and water before eating,
drinking, or smoking. You should wear
recommended gloves while cleaning and
performing plumbing jobs and be aware of
exposures to body fluids, drugs, and sharps
such as needles and syringes. NEVER reach
The above evaluations and/or recommendations are for
general guidance only and should not be relied upon for
legal compliance purposes. They are based solely on the
information provided to us and relate only to those
conditions specifically discussed. We do not make any
warranty, expressed or implied, that your workplace is
safe or healthful or that it complies with all laws,
regulations or standards.
Although you perform different job tasks and
may face varied hazards, you need to practice good ergonomics, use proper tools
and/or protective equipment, and follow all
safe work practices.
Reprinted by permission of State
Compensation Insurance Fund.
– 17 –
Universal Lodging Industry Services (ULIS) is
a wholly-owned subsidiary of the California
Lodging Industry Association (CLIA). Any
group dividend or bonus earned by the group
program for the policy year 2006 shall be
distributed at the discretion of the Board of
Directors of ULIS. The Board of Directors
retains the right to forfeit or reduce dividend
and bonus payment for management
and administrative fees.
FALL 2006
Schedule of Events
Register at www.calodgingexpo.com
Tuesday, October 10, 2006
Tuesday, October 10, 2006 (continued)
8:00 am – 2:00 pm
Golf Tournament
Summitpointe Golf Club, Milpitas
9:00 am – 4:00 pm
#1
ServSafe Certification Class and Exam
Presented by Kathie Griley,
California Restaurant Association
A comprehensive 6-hour review that covers the basics of food
safety and sanitation, as well as how to protect your guests against
food borne illness, as mirrored in the 3rd Edition ServSafe® text
book, which is required reading for this seminar. Upon successful
completion of the accredited exam, students will receive a
certificate that is valid for three years in California.
1:00 pm – 1:50 pm
#2
From Hotels to HTMLS – Internet Marketing
Presented by Benu Aggarwal,
Milestone Internet Marketing
Learn how to maximize your market share of Online Reservations.
This workshop will provide a step-by-step process of how to rank
high organically on the search engines, research your online
marketing keyword phrases, pay-per-click marketing and build
link popularity. Discover the top 10 “Do’s and Don’ts” which can
be used as powerful marketing tools to drive more local online
revenue.
1:00 pm – 1:50 pm
#3
California Legislative Update
Presented by Mike Belote,
California Advocates (CLIA’s Chief Lobbyist in
Sacramento)
An up-to-the minute report on new legislation signed or vetoed
by the Governor, and what impact these laws will have on you
and the lodging industry. Learn the latest on minimum wage,
tourism funding, workers’ comp reform and other issues that
affect your bottom line.
1:00 pm – 1:50 pm
#4
Cardholder Information Security Program
Presented by Ken Dickson,
Chase Paymentech Solutions
Better understand your responsibility to secure cardholder data.
CISP compliance is required of all merchants that store, process,
or transmit credit cardholder data. The program applies to all
payment channels, including retail, mail/telephone order, and ecommerce. Compliance with CISP means compliance with the PCI
Data Security Standard with the required program validation.
1:00 pm – 1:50 pm
#5
Total Media Destination Marketing
Presented by Pamela Lanier,
Founding Director of Bed & Breakfast Inns and
Guesthouses International
An interactive marketing session that will be fast paced, part
tech, part print, part destination and full of tips that can be easily
implemented by independent properties.
#6
2:00 pm – 2:50 pm
Maximizing Your Revenues Via the Internet
Presented by Bobby Co,
Expedia, Inc.
Promote your hotel on the World Wide Web, with discussions
on current trends, market segmentation, and a focus on Internet
storefronts and revenue opportunities.
2:00 pm – 2:50 pm
#7
A Hospitality Top Ten List: Selected Legal Issues
Presented by Mitch Miller, J.D., M.B.A.,
Kerry Fanwick, J.D., C.P.A. Miller & Fanwick, LLP
In less than one hour we will alert you to 10 critical legal issues
affecting California hotel owners, including buying, selling, and
franchise issues, organizational structures, environmental issues,
liability, insurance and more!
2:00 pm – 2:50 pm
#8
“Estate and Business Succession Planning”
Presented by Mayur T. Dalal, Legacy Planning Group
2:00 pm – 2:50 pm
#9
Increase Revenue Through Wedding Planning
Presented by Georgia Barron, CPCE
President, Newcastle Wedding Gardens
There are many ways to increase revenue through wedding
planning. Join Georgia for a fast paced and entertaining session
to see what it takes to benefit from the wedding industry!
3:00pm – 3:50pm
#10
Hospitality Trends and Outlook
Presented by Bruce Baltin,
Sr. Vice President, PKF Consulting
How did lodging in California fare in 2006 and what is on the
horizon for 2007? Vital information for understanding the trends
and forecasts for the lodging industry in California, to utilize for
your 2007 marketing plan.
3:00pm – 3:50pm
#11
Hiring For Success – HR Best Practices
A panel discussion including Peter Mack, Occuscreen;
Heather Sager, Esq., Carlton DiSante Freudenberger, and
Steve Aragon, Driver Alliant Insurance
It all begins with hiring the right employees! Keeping your
employees happy and your organization out of legal trouble is
paramount! The myriad responsibilities associated with screening,
hiring and firing, understanding personnel law, preventing
sexual harassment, administering compensation and benefits,
and ensuring OSHA compliance and workplace safety are just
the tip of the iceberg of “must-know” topics. Learn from this
panel of HR experts where employment law risks exist and get
practical guidelines for treating employees fairly and staying
out of court.
– 19 –
FALL 2006
Schedule of Events
Register at www.calodgingexpo.com
Tuesday, October 10, 2006 (continued)
Tuesday, October 10, 2006 (continued)
3:00pm – 3:50pm
#12
Deal or No Deal - Evaluating Investment Opportunities
A panel discussion including an Investor, Operator,
Banker and Appraiser. Moderated by Bimal Patel
This seminar will focus on techniques/methodologies on how
to evaluate investment opportunities by using the case study
method to discuss two potential deals.
4:00pm – 4:50pm
#17
Simple, Yet Elegant Meals
Presented by Executive Chef Norbert Roesch,
Hyatt Regency Santa Clara
Ensure repeat guests with your creative and unforgettable meals!
Don’t miss Chef Norbert’s cooking demonstration of simple, yet
elegant meals to entice your guests and create a memorable
experience they won’t forget!
3:00pm – 3:50pm
#13
The Speed Cleaning Guy
Presented by Jeff Campbell,
Author of Speed Cleaning and founder of The Clean Team
Cut your cleaning time in half or more. No kidding! Speed Cleaning
shows you:
• Methods that work for a single person or a housekeeping
team.
• The system that makes every move count.
• Cleaning products and tools that save time and money.
• The organized way to keep your property looking better
longer, all with less work.
4:00pm – 4:50pm
#14
45 Marketing Ideas in 45 Minutes
Presented by John Manderfeld, Marin Management
A fast paced and entertaining educational session with 45 proven
tips to successfully increase revenues and profits.
6:30pm
CLIA’s Gala Dinner - 60th Anniversary Diamond Jubilee
Join your CLIA colleagues in a formal and elegant celebration of
leadership and achievement by honoring the recipients of the
“2006 Excellence in Lodging & Hospitality” awards. A fun filled
evening of fine wines, excellent food and entertainment!
Wednesday, October 11, 2006
9:30am – 10:20am
#18
AAA Diamond Rating, Today and the Future
Presented by Charles B. Smith,
AAA Manager, Approved Accommodations
This presentation will review prime expectations of various
diamond rating levels and areas that are under consideration
for the future. There will also be a question and answer period
to address individual concerns and topics.
4:00pm – 4:50pm
#15
Motivational “Mojo”
Creating Peak Experiences for Your Employees
Presented by Chip Conley, Founder & CEO,
Joie de Vivre Hospitality
Companies often misjudge the true motivations of their employees,
imaging that compensation is their primary aspiration. However,
some of the greatest companies in the world consciously and
unconsciously use what Chip describes as Relationship Truths
based on Abraham Maslow’s Hierarchy of Needs in their rise to
success. Many people are familiar with Maslow’s Hierarchy of
Needs and the traits of a self-actualized individual … but what
does a self-actualized company look like? Learn about the key
Relationship Truths that help companies to be more conscious
about how they can create peak experiences for their employees,
which fosters inspiration, loyalty, and peak performance.
10:30am – 11:30am
#19
“Lipstick on a Bulldog” – Customer Service
Presented by Nicholas Webb,
Nicholas J. Webb Consulting, Inc.
Lipstick on a Bulldog outlines the steps needed to avoid the seven
most common customer service blunders. Management teams
quickly learn how to identify and eliminate “customer punishing
policies” by hardwiring the voice of their customer into business
practices. The Bulldog approach is the only way for companies
to truly lead their market in customer service.
4:00pm – 4:50pm
#16
Revenue Management
Understanding Yield Management
Presented by Ed Bear, Auto-Clerk, Inc.
Ever heard the term “Yield Management” and wondered what it
was? Yield Management is simply the increasing and lowering
of rates to reflect market conditions. In other words, “Supply
and Demand.” Most properties engage in some form of Yield
Management whether they know it or not. If your rates are
different on the weekends than during the week or if your rates
are different during winter than they are during summer, then
you already practice Yield Management on the most basic level.
Come to our seminar and take the next step to maximize your
revenue!
12:30pm – 6:00pm
LODGING EXPO® Tradeshow
A great opportunity to learn about new products and services,
from 100+ vendors who cater to the California lodging
industry.
California Lodging & www.clia.org
11:45am – 12:20pm
#20
General Session with Keynote Speaker
Prior to the opening of the tradeshow, the General Session will
offer entertainment, raffle prizes and an update on the upcoming
election by California Secretary of State Bruce McPherson.
Food and Beverage Cash Concessions available in the
tradeshow hall.
5:00pm – 6:00pm
No-Host Cocktail Reception
– Tradeshow Hall
6:00pm – 7:30pm
AAHOA Business Meeting
7:30pm
AAHOA Dinner & Entertainment
– 20 –
Specialty Education At-A-Glance
Tuesday, October 10
Time
Marketing/Sales
Human Resource/Legal
Operations/Financial
Bed & Breakfast/Inns
ServSafe
9:00 am – 4:00 pm
1:00 pm – 1:50 pm
From Hotels to HTMLS
– Internet Marketing
Presented by Benu Aggarwal,
Milestone Internet Marketing
California
Legislative Update
Presented by Mike Belote,
California Advocates
Cardholder Information
Security Program
Presented by Ken Dickson,
Chase Paymentech Solutions
Total Media
Destination Marketing
Presented by Pamela Lanier,
Founding Director of Bed &
Breakfast Inns and Guesthouses Intl
2:00 pm – 2:50 pm
Maximizing Your
Revenues
Via the Internet
Presented by Bobby Co,
Expedia, Inc.
A Hospitality
Top Ten List:
Selected Legal Issues
Presented by Mitch Miller, J.D.,
M.B.A. & Kerry Fanwick, J.D., C.P.A.
Miller & Fanwick, LLP
“Estate and Business
Succession Planning”
Presented by Mayur T. Dalal,
Legacy Planning Group
Increase Revenue
Through Wedding
Planning
Presented by Georgia Barron,
CPCE; President, Newcastle
Wedding Gardens
3:00 pm – 3:50 pm
Hospitality Trends
and Outlook
Presented by Bruce Baltin,
Sr. Vice President, PKF Consulting
Hiring For Success –
HR Best Practices
A panel discussion including
Peter Mack, Occuscreen; Heather
Sager, Esq., Carlton DiSante
Freudenberger, & Steve Aragon,
Driver Alliant Insurance
Deal or No Deal –
Evaluating Investment
Opportunities
A panel discussion, including an
Investor, Operator, Banker and
Appraiser. Moderated by
Bimal Patel
The Speed Cleaning
Guy
Presented by Jeff Campbell,
Author of Speed Cleaning and
founder of The Clean Team
4:00 pm – 4:50 pm
45 Marketing Ideas in
45 Minutes
Presented by John Manderfeld,
Marin Management
Motivational “Mojo”
– Creating Peak
Experiences for Your
Employees
Presented by Chip Conley, Founder
& CEO, Joie de Vivre Hospitality
Revenue Management
– Understanding Yield
Management
Presented by Ed Bear,
Auto-Clerk, Inc.
Simple, Yet Elegant
Meals
Presented by Executive Chef
Norbert Roesch, Hyatt Regency
Santa Clara
Wednesday, October 11
Asian American Hotel Owners Association
66 Lenox Pointe, N.E.
Atlanta, GA 30324
(404) 816-5759 – phone • (404) 816-6260 – fax
www.aahoa.com
Time
9:30 am – 10:20 am
AAA Diamond Rating,
Today and the Future
Presented by Charles B. Smith,
AAA Manager, Approved
Accommodations
10:30 am – 11:30 am
“Lipstick on a Bulldog”
Customer Service
Presented by Nicholas Webb,
Nicholas J. Webb Consulting, Inc.
11:45 am – 12:20 pm
General Session
with Secretary of State
Bruce McPherson
12:30 pm – 6:00 pm
Tradeshow
California Lodging Industry Association
P.O. Box 15918
Sacramento, CA 95852
(916) 925-2915 – phone • (916) 925-0785 – fax
www.clia.org
Register now at
www.calodgingexpo.com
– 21 –
FALL 2006
Invitation and Details
Register at www.calodgingexpo.com
Invitation to Attend
Y
Golf Tournament
ou are invited to participate in California’s largest Lodging
Industry Expo and Conference.
J
The Asian American Hotel Owners Association (AAHOA) and the
California Lodging Industry Association (CLIA) have joined forces
to produce the California LODGING EXPO® and Conference.
oin your friends and colleagues on Tuesday morning for a
round of golf at the Summitpointe Golf Club, located only
seven miles from Santa Clara. Tournament fees are $125 per
person and include cart, range balls, morning refreshments, box
lunch, and post tournament awards ceremony. Transportation is
not included. Please register using the enclosed form.
This joint venture was created to provide new direction, new vision
and a serious commitment to serving the needs of California’s
lodging industry. All the features are in direct response to the
comments and desires of our lodging property and associate
members.
Tuesday, October 10, 2006
8:00 am Shotgun Start
Summitpointe Golf Club
1500 Country Club Drive, Milpitas, CA 95035
(408) 262-8813
We have more educational content – over 15 seminars – geared
specifically to California; with more social activities for networking
with industry colleagues and a shorter, more focused one-day
trade show.
General Session Keynote Speaker
California, with more than 7,000 lodging properties and unique
laws, regulations and guest services, necessitates a conclave that
serves the lodging industry. The California LODGING EXPO® and
Conference will showcase a select array of vendors and exhibitors
who provide products and services for the California hotel
and lodging industry. In addition, educational workshops and
seminars are offered to lodging owners and their management
teams.
On behalf of AAHOA and CLIA, we invite you to participate in
California’s largest lodging industry expo and conference.
Please REGISTER ONLINE at www.calodgingexpo.com.
Lodging
T
he Hyatt Regency Santa Clara is the host hotel for the 2006
California LODGING EXPO® and Conference. The Hyatt is
conveniently located just 8 miles from the San Jose International
Airport and 31 miles from the San Francisco International Airport.
The Hyatt will serve as the venue for the LODGING EXPO® and
most conference functions.
The Hyatt Regency Santa Clara
5101 Great America Parkway
Santa Clara, CA • (408) 200-1234
To reserve your room, please call the Hyatt at (408) 200-1234 and
reference the California LODGING EXPO® and Conference.
Discounted room rates are $139 plus tax for single or double
occupancy. Please make your reservations by September 8,
2006, to insure the CLEC rate.
California Lodging & www.clia.org
Bruce McPherson
California Secretary of State
B
ruce McPherson became California’s
30th Secretary of State on March 30,
2005. After being nominated by the
Governor, he was unanimously confirmed
by the State Senate and Assembly.
Over the past year Secretary McPherson
has led the charge to restore trust and
confidence to the Office of Secretary of
State. He has rebuilt relationships with
federal, state and local partners and he
has become a national leader in election reform and developing
innovative ways to ensure the integrity of every vote and to
make government more customer friendly and efficient for all
Californians. The stability that Secretary McPherson has provided
to the office has earned high praise from observers throughout
the country.
His service as Secretary of State follows 11 years in the State
Legislature. After three years representing Santa Cruz and
Monterey Counties in the Assembly, he served eight years in
the State Senate representing a district of more than 800,000
people.
Secretary McPherson graduated from Cal Poly San Luis Obispo
with a degree in journalism and was awarded an honorary
degree of Doctor of Humane Letters from Cal Polytechnic State
University. Earlier in his career, he spent 26 years in the newspaper
business as a reporter and then editor of his family-owned Santa
Cruz Sentinel.
– 22 –
California Lodging Expo® and Conference
Don’t Miss Your “PASSPORT TO SUCCESS”
Register Now at www.calodgingexpo.com
CLIA/AAHOA Golf Tournament
Tradeshow
The Asian American Hotel Owners Association and the California
Lodging Industry Association present the 2006 California Lodging
Expo® and Conference Golf Tournament with an 8:00 a.m. shotgun
start on Tuesday, October 10, 2006. The event will be held at the
Summitpoint Golf Club in Milpitas and will benefit the Political Action
Committees of CLIA and AAHOA.
Immediately following the Keynote Address, the doors to 100’s of
new products and services will open on October 11, 2006. This is a
great opportunity to meet 100+ vendors who cater to the California
lodging industry.
The cost is $125 per player and the fee includes green fees, shared
cart, $5.00 credit to pro-shop, post-tournament lunch and awards
reception. The two-person best ball will be the format and prizes will
be awarded for the 1st and 2nd Gross and Net; Closest to the Pin;
and Longest Drive.
Contact CLEC office at (916) 239-2085 or download a registration
form at www.calodging.com
“60th Anniversary Diamond Jubilee”
The 2006 CLIA “60th Anniversary Diamond Jubilee” Gala Dinner
and Awards Ceremony will be held at the Hyatt Regency Santa
Clara on October 10, 2006 as part of the 2006 California Lodging
EXPO® and Conference. The “60th Anniversary Diamond Jubilee”
begins with a reception at 6:30 p.m. A fabulous feast will be
prepared for the dinner beginning at 7:00 p.m. It will be a night for
CLIA members to honor their colleagues with the Excellence in
Lodging Awards, the President’s Award, and the Public Official of
the Year Award. CLIA will also present an academic scholarship to a
deserving student studying in the hospitality management field. This
festive occasion served with fun and entertainment will recognize
those who have made outstanding contributions in the lodging
industry. This annual event is not to be missed! Be sure to acknowledge your attendance on the Expo® Registration Form.
ServSafe® Class and Exam
The ServSafe® Class and Exam will be offered Tuesday, October 10,
2006 from 9:00 a.m. to 4:00 p.m., in cooperation with the California
Restaurant Association (CRA). This comprehensive 6-hour review
covers the basics of food safety and sanitation, as well as how to
protect your guests against foodborne illness. The topics covered
mirror the sections in the 3rd Edition ServSafe® text book, which is
required reading for this seminar. This session concludes with an
accredited examination. Upon successful completion of the exam,
students will receive a certificate that is valid for three years in California. The class requires separate registration, which can be found
in your registration package, or download any Conference form at
www.calodgingexpo.com.
The following is a partial list of exhibitors, as of press time of the
California Lodging magazine. For a full list, or for exhibit information,
contact Show Management at (916) 239-4085.
A-1 Textiles And Hospitality Products
Amana PTAC Goodman Company
Amber Hotel Company
American Bath Enterprises
America’s Best Value Inn by Vantage
AmericInn International LLC
Atlas Hospitality Group
AutoClerk, Inc.
Automated Laundry Systems
Axxess Industries
Beach Business Bank
Beekley Fast Tag
Best Western International
Boston Trade
Business Loan Express
Call America
Carlson Hotels Worldwide
Catalina Lampshade
Chase Paymentech
Choice Hotels International
CIT Small Business Lending
CLIA
Comerica Bank
Designs by Jo
Driver Alliant Insurance Services
Embassy Carpets
ERS Hospitality
Excel National Bank
Expedia Inc.
Farmer Bros Coffee
Fire2wire
Frank & Ron Hotel-Motel Supply
Frimair USA West/Alan Yordy Equipment
Gilchrist & Soames
GuestHouse International
Hallmark Funding
Hcareers
Hearn Construction
Heffernan Insurance Brokers
Hospitality International Inc.
Hospitality Plus, Inc.
Hotel Loan Corporation
HRH Insurance Brokers
Huff Construction Company, Inc.
J. Clancy Inc.
J.P. Heintz Construction
Kaba Lodging Systems
Legacy Planning Group
LQ Management LLC
M3 Business Systems.O2 HR, LLC
Marin Management, Inc.
MediaWrites/En Route California
– 23 –
Milestone Internet Marketing
Miller & Fanwick, LLP
National Furniture Liquidators
National Hotel & Motel Brokers
(Howard Mathews & Associates, Inc.)
Occuscreen
Onetech Solution
Onity
Passport Hotel Group
PhoneSuite
PMC Capital, Inc.
Premier Commercial Bank
Resource Capital
Rezzline, Inc.
RSI International
Saflok
Secure-Res
Serta Mattress Company
Simmons Contract Sales LLC
Smart Hospitality
Smith Flat Construction Company
State Compensation Insurance Fund
Swoboda Hospitality Specialists
Teledex, LLC
The Hotel Coupon Guide
The Loan Depot
Tiger Natural Gas
Travel Coupon Guide
True North Companies
UniRes Man
United Products Inc.
Vagabond Franchise System
VingCard Elsafe
West Coast Floor Safety
Western Pacific/Manitowoc Ice
Western State Design
World Cinema, Inc.
World Web Technologies, Inc.
2006 Sponsors (at the time of publication)
Boston Trade Int’l
Chase Paymentech
Embassy Carpets
Fire2Wire
Frank & Ron Hotel-Motel Supply
Frimair USA West Inc.
LaQuinta
Miller & Fanwick, LLP
National Hotel-Motel Brokers
Ocean Park Hotels
Occuscreen
Pacific Plaza Hotels
State Compensation Insurance Fund
FALL 2006
Marketing: Building a Profitable Client Base
Customer Relationship E-mail—No Relation to SPAM
By John Poimiroo
Customer relationship marketing (CRM) is
today what “mass marketing” was in the
1950s. CRM is an approach to marketing in
which you establish a one-to-one relationship with your most loyal customers and
employ direct communications to generate
repeat visitations from them. One of the best
ways to do that is through e-mail.
discount your rate or add value to your
rooms (though those can be useful), just
establish a relationship with previous guests.
The same can be true of leisure or business
travelers. Give them new reasons to return
and you can increase your revenue.
students attending there; or report on new
business openings to sales people. Each
e-mail message should be personalized and
sent only to those interested in that specific
topic. Personalized e-mail are 40 percent
more likely to be read and acted upon, yet
less than 16 percent of all e-mail messages
begin with the recipient’s first name or
contains a personalized message. You can
personalize a message like this:
What this requires, of course, is that you
collect and categorize e-mail addresses so
I can hear you saying it now: “Ugh! E-mail?
that you can communicate directly the
He’s got to be kidding!” Surely, every one of
specific information that will be of interest to
us is fed up with SPAM, those annoying
your previous guests. There are two ways to “Bill, the last time you visited you mentioned
e-mail messages that hawk prescription
do this: (1) front desk staff should invite
interest in local winery programs. Here’s a
drugs, loans, stocks and sex. However, the
guests to receive targeted messages using
listing of upcoming events. We hope to see
the e-mail address
you, again.” The note would be signed with
that they used in
your first name followed with a brief list
Knowing the reason a guest stayed at your
their reservation
of upcoming events with dates at least a
request,
or
(2)
promonth away.
property is data that means revenue to
vide
them
with
a
you—if you do something with it.
brief card to fill out,
Another way to make sure your e-mail mesauthorizing the
sages are not automatically deleted is to
e-mail message I’m writing about is much
property to send them customized e-mail
identify your property or destination in the
different and it’s the kind you don’t mind
messages.
subject line. Pew Internet reports that half of
getting in your mailbox. It’s called “customer
e-mail recipients open them because they
relationship e-mail,” which is directed only to The card you provide should not be intimiknow the sender. An ineffective subject line
those to whom you have an established
dating. It should ask only for name, gender,
would read, “Special Fall Offer.” A more
business relationship and contains informae-mail address and provide check boxes for
effective subject line would read, “Best
tion they will welcome.
whatever category of information they would Western Yosemite Fall Getaway Deal.”
like to receive: local
Your front desk personnel have the perfect
business news, colopportunity to begin a relationship with
lege events, general
Personalized e-mail are 40 percent more
guests as they check in and out of your
destination informalikely to be read and acted upon, yet less
hotel. They can use conversation-starters
tion, wine-tasting
than 16 percent of all e-mail messages
such as, “Are you here for business or just
events, etc. When
begin with the recipient’s first name or
passing through?” or “How was your drive
asking folks to fill
or flight today?” These simple questions
out the card, it’s
contains a personalized message.
demonstrate your staff’s interest in your
helpful to explain
guests and opens opportunities to
that you promise not
understand your customers better.
to give their e-mail address to anyone else
How you present the information is also
and that they can remove themselves from
important. Women prefer reading a story,
your list at any time. Needless to say, you
Knowing the reason a guest stayed at your
whereas men prefer bullet points. That’s why
property is data that means revenue to
must honor that promise.
gathering gender data is useful. The Internet
you — if you do something with it. For examis an interactive medium, which means it
ple, let’s say your property is located near a
Next, outline a plan for sending e-mail mesworks best when you provide ways for your
sages by subject —using your categorized
college. By identifying which guests are
customers to converse with you. Pew says
dropping off a student and then communilist —at least once a quarter, but not more
that 80 percent of consumers like sharing
cating reasons to return (such as parent
frequently than once a month. For example,
their experiences, and 6 in 10 consumers
weekends, sporting or cultural events),
send winery events to your list of wine
are willing to answer a few questions about
properties can increase the revenue generfanciers; send a list of upcoming college
them. Requesting guest feedback can result
ated by that guest tenfold. You don’t have to events to your list of parents who have
in positive endorsements and further conCalifornia Lodging & www.clia.org
– 24 –
nect you to your customers, which fundamentally is what “customer relationship
marketing” is all about.
After all, customer relationship e-mail is all
about respecting your customers’ time and
needs, which leads to establishing relationships with them. Once that happens,
customer loyalty results and profits increase.
Used correctly, customer relationship e-mail
will bring your marketing efforts from the
1950’s forward a half century.
The Direct Marketing Association cautions
that when it comes to e-mail marketing,
timing is everything. E-mail is most likely to
be opened on Saturday, Sunday and
Monday. E-mail sent on Sunday, Monday
and Tuesday earned higher click-through
rates. The best day for both is Sunday.
Finally, less is more. According to Silverpop,
a national e-mail software provider, e-mail is
opened more often if sent once a month or
less frequently, than if sent weekly or daily.
John Poimiroo is president and founder of
P&P Communications, a communications
consultancy that specializes in travel and
tourism marketing communications. You
can reach him at john@poimiroo.com.
So You Think You Want to do Weddings at Your B&B…
By Georgia Barron, CPCE
Hosting wedding events at your bed and
breakfast may sound like a romantic notion
and a way to bring in more revenue, right? It
could be a fantastic addition to your current
business or an absolute disaster. How could
it be a disaster? Weddings are just like any
other profession. To be a professional
wedding planner takes education and “planning.” Just because you may have planned
your own wedding or your children’s
wedding does not make you an expert.
attaching flowers —with nails —to your beautiful gazebo that you just painted! Then a
band shows up! The wedding couple never
told you about the band and you didn’t
know to ask about them. Everyone is parking in the wrong places and then five bridesmaids show up late expecting to do their
hair, makeup, and iron their dresses in one
small room and suddenly it becomes…
“Bridezilla” time…or…“Bridesmaidzilla”
time…yikes!
You work hard at owning and operating your
bed and breakfast or inn. Can you remember the first day on the job? Perhaps you
were lucky to have the previous owners train
you or you had a knowledgeable staff
already in place when you started. Maybe
you learned how to operate a B&B through
hard work and “on-the-job” training. Now,
you are comfortable in your role but you still
work hard most all of the time…it is the
nature of the business.
Any of these problems can easily happen,
creating stressful situations for you and your
customers. What about the guests who
made reservations months ago at your inn
before you booked the wedding and they
weren’t told that they would be “over run”
by a rowdy wedding crowd that they aren’t
expecting?
Now you think you want to add weddings to
enhance your business. Imagine if you had
25 or 50 or even 150 guests arrive who
were attending a wedding at your site and
you didn’t have the knowledge to direct
them to where they should be and make
things run smoothly. On top of that, the
florist arrives two hours early. They are
With the right education, planning and decisions in place for your location, all the problems of on-site weddings can be avoided
while you benefit with increased exposure
and income. But every location is unique
and should be looked at differently in regard
to weddings. Having just the ceremony is
one option; combining both the ceremony
and reception is another.
Over twenty-five years ago, I founded a
catering, restaurant and special event pro– 25 –
duction company. I have been providing
wedding services every weekend since and
also own and operate a restaurant and
reception facility. Three and a half years ago,
I bought an historic property in the Gold
Country and set it up as a B&B and offer
outdoor wedding ceremonies on my twelve
acre property. I will be teaching a class at
the California Lodging Expo® that will outline
many important details to consider to assist
you in making the right decision for your
property. I look forward to the opportunity of
meeting you then!
Georgia Barron, CPCE, has planned and
produced over 5,000 weddings over the last
25+ years. She is the founder and president
of “A Shot Of Class,” a catering & event
design company, and just over three years
ago opened the “Newcastle Wedding
Gardens” for fabulous outdoor wedding
ceremonies. Her 1912 mansion is also a
licensed B&B, but weddings are the main
focus. Her years of experience allow her to
easily guide her clients to achieve their
“dream weddings.” Georgia offers consulting
services to those in the B&B industry, and
is currently writing a book on wedding
orchestration. Join her for a fast-paced and
entertaining session at the California
Lodging Expo® to see if you might have
what it takes to benefit from the wedding
industry!
FALL 2006
Marketing: Building a Profitable Client Base
Milestone’s Top 10 Electronic Marketing Musts
By Benu Aggarwal
3. Link Building —Make link building an integral part of your
online marketing efforts. You want to be listed wherever your
customers are going and looking. Good quality links from relevant Web sites tremendously boosts your online presence and
organic ranking. Secure links from relevant and good quality
local, regional, national, and niche specific Web sites.
Define Your Online Marketing Strategy
If you want to secure your share of the lucrative online marketplace,
think about all the steps you will take to target Leisure, Corporate,
and Group markets for your lodging or resort. Then, create a welldefined e-commerce market plan by clearly identifying the tools that
people use to find and book hotels online. Open your eyes to the
myriad of online channels, such as Search Engines, Independent/
Brand Web sites, e-mail, blogs, GDS sites, and Travel Sites that will
help you gain presence and profit on the internet. These ten
elements will make your internet journey worth your while.
4. Increase Conversions —You will increase your online conversions by offering convenience and value. Remember, you
do not have to discount your rooms to create value packaging.
Get close to your customers needs. A good idea is to bundle
local attractions, things to do and activities as part of your hotel
packages. Packaging and quality photography converts! Make
the booking process for your hotel easy and efficient. Give your
customer ways to book your packages and rooms online.
Search Engines and Independent Web Sites
Get the best out of your independent and brand Web sites and soar
on the search engines by defining your online marketing plan. Your
initial move will be to identify why people are traveling to your neck
of the woods.
5. Lowest Rates Guaranteed —The dynamic internet is changing
the way people are making their travel and hotel arrangements.
You
can secure your customer directly by employing best
1. Know Your Internet Market —Identify your target market by
practices
such as rate parity across all sales channels, creating
researching what people are searching for in your area on
a
strong
links
program, e-mail marketing, loyalty programs,
the internet. Then, market for local and regional factors. Use
pay-per-click camoffline and
paigns and last
online methodRemember,
you
do
not
have
to
discount
your
rooms
to
minute offers, etc.
ologies to
create
value
packaging.
A
good
idea
is
to
bundle
local
Your ultimate goal is
determine
to create a powerful
which factors
attractions, things to do and activities as part of your hotel
presence on the
are bringing
packages.
internet through
visitors to your
both independent
area. Group
and
brand
Web
sites
and
gain
customer
trust
and loyalty.
these reasons into a clearly identified online marketing bucket,
for example: Groups, Corporate and Leisure.
Following A Successful E-mail Marketing Plan
2. Content is King —Create content which addresses the
needs of your customer. Develop unique reasons (USPs) for
your hotel and destination, and develop a differentiated
approach for key customer segments. Create unique specials
and packages, event-related getaways, seasonal promotions
and launch one-to-one marketing initiatives to provide unique
value and personalization. If your online audience is looking for
Paramount’s Great America theme park, then offer relevant
content regarding the theme park, along with your hotel room,
tickets, transportation, etc. Make sure you have high quality,
rich and relevant content on your electronic distribution channels whether it is your brand site, your travel site, your hotel
Web site, GDS, or your e-mail marketing campaign. Talk about
your USPs, packages, promotions with local events, and
getaways.
California Lodging & www.clia.org
6. Email Marketing —Develop a well defined and ongoing
e-marketing plan. Offer your online guest a reason to “opt in”
to your Email Offers program. Send compelling email messaging that gives them what they are looking for. Give reasons
to come back, such as local events and last minute offers.
Track the results of all your campaigns.
Get the Best From Your
Distribution Channels
– 26 –
7. Participate In Distribution Channels & Check HODs! —To
optimize your online marketing channels, check what your GDS
(Global Distribution Systems) and IDS is saying about you. Call
your Franchise GDS department and request a copy of your
HODs (Hotel Description on Airline systems). Make your rates
and limited inventory available on third party Web sites. Always
practice rate parity. For independent hotels, participate in your
GDS system.
The Value of Music and
Messages on Hold
8. Return on Investment —Track your online and offline results.
Since most people searching online will call the hotel to close
the sales, offline tracking is essential. Typically, for every one
person who books online, five people will call you. Establish a
unique phone number for your Web site, whether it is an 800number or local number. Train your staff to track phone results
and to become familiar with what is sold online. Your Front
Desk staff is an influential sales tool especially when it comes to
closing the deal. Establish a good tracking system at the
front desk.
9. Online Tracking —Review your Web site stats regularly! The
key things you should review are how many unique visitors are
finding your site every day, the top 10 referral sources, top 10
Keywords people are using to find you, the top 10 pages
generating the most traffic, your click-through to goal conversion pages —such as reservations, manager specials, special
offers pages —and the top 10 feeder markets. Your online
marketing is constant process of researching, strategizing,
implementing, tracking, and analyzing —not a one-time event!
Silence may be peaceful, but too much silence on the telephone
can provoke impatient hang-ups. Studies show as many as 88 percent of business callers hang up when they are placed on hold and
more than a third of them never call back. On the other hand, the
research shows, 85 percent of callers continue to wait if there is
something to listen to. With messages on hold, you can keep your
callers on the line, increasing your profit potential.
Messages on hold transform silent waiting time into a valuable
marketing opportunity. A well-crafted program can reinforce your
image, promote products and services, and inform callers of
upcoming events.
Seek a company that is willing to spend the time to work with you
to create a personalized program that best conveys your image
and information. Whether it be serious or humorous, traditional or
something completely off-beat, the right mix of words and music
will hold your callers’ interest, and ensure they stay on the line
until you are able to talk to them.
You know you have a great program when people call and ask to
be put on hold.
10. Build A Good Online Reputation —Worry about what
consumers say about you online? Check Trip Advisor,
E-Opinion Sites, Yahoo Travel, Hotel Chatter, and local travel
blogs in your area!
If you would like to find out how effective messages on hold can
be, call SoundStrategies and ask to be put on hold. Their phone
numbers are: 916-652-1636, or 1-800-777-8123.
The realm of e-marketing is far-reaching and very rewarding if you
utilize the many sales channels available to your hotel —from Web
sites to personal e-mails. Creating search engine friendly brand and
independent hotel sites, compelling content, maintaining e-mail
campaigns, and participating in travel sites and GDS will help you
achieve the competitive edge on the internet. Remember, tracking
your results will let you know what’s working and where your
revenue is coming from.
SoundStrategies is the provider of this article. They are based in
Loomis, California. Founded more than twenty years ago by veteran
radio host Erik St. John, SoundStrategies uses its own on-hold
program to promote its on-hold services, as well as its other voice
applications for telephone, computers, and the broadcast media.
Visit the company’s Web site at www.soundstrategies.net.
Questions should be e-mailed to info@soundstrategies.net.
Benu Aggarwal is founder and president of
Milestone Internet Marketing, experts in creating
complete internet marketing solutions for the
lodging and hospitality industry. Please contact
Benu at benu@milestoneinternet.com.
– 27 –
FALL 2006
Marketing: Building a Profitable Client Base
Online Reservations—
Changing the Way You Do Business
By Bobby Co
Everyone knows that the online point-of-sale
has changed the way consumers book and
search for lodging reservations. According
to a recent article in eMarketer, an e-commerce and Internet marketing research and
analysis Web site (www.emarketer.com),
online revenue contribution is forecasted to
double by 2009. This growth is shared by
both supplier-direct Web sites and online
travel agencies (OTAs), such as Expedia Inc.
While everyone agrees that this is an important aspect of the hotel business, there are
still many debates amongst hoteliers regarding how to effectively yield manage this
point-of-sale.
Most hotels have questions like “What are
sell rates vs. net rates?” “What is cost per
booking vs. opportunity costs, marketing
opportunities, inventory allocations, margins
vs. markups, participation in merchant
model or via the GDS feed?”
Revenue management is a balancing act.
As such, online revenue management
should be an integral part of the overall
strategy. Start by asking questions like:
1. What is my hotel’s current channel
distribution mix, by percent and by
revenue?
2. What is the average LOS of my hotel
by channel?
9. How does market segmentation work
online?
10. Am I selling the best value online vs.
my competitors?
Once you have a general idea on where the
hotel stands, identifying your goals and
make them achievable, measurable, and
time specific. For example:
3. What is the cost-per-booking/channel?
4. What percent of my business is group
business vs. transient and how are they
booking the rooms?
5. What is the current REVPAR INDEX of
my hotel and how can I maintain or
improve it?
6. What percent revenue share does my
hotel have of total available revenues
online?
7. How much am I spending on offline or
online marketing, and what is my rate
of return?
8. When I search on Expedia.com,
Hotels.com or Alaskaairlines.com, how
is my hotel presented to potential
guests?
US Online Leisure/Unmanaged Business Travel Sales,
2004-2009 (billions and % increase vs. prior year)
2004
2005
2006
2007
2008
$52.3 (27.6%)
$64.9 (24.1%)
$77.7 (19.7)
$91.3 (17.6%)
$106.1 (16.2%)
2009
$122.4 (15.3%)
Source: eMarketer, May 2006
California Lodging & www.clia.org
– 28 –
•
To achieve a REVPAR INDEX goal of
102 from 98, by the fourth quarter of
2006.
•
To increase online revenue contribution
to 10 percent by 2007, with an annualized room revenue of $400,000.
When the goals have been appropriately
set, you can then be creative by developing
strategies to achieve your goals. Start with
an inventory of your resources, and then set
up an analysis on the investment (which can
be time, money, etc.) vs. the potential return
on investment. Compare the rate of return
of each with your management team, then
execute on the ones that gives you the best
results.
The final evaluation and execution of revenue management and marketing strategies
ultimately rest with the individual management of the hotels. Invest the time and effort
to identify the different levers first, before
making any strategic decisions that affect
your bottom line.
Bobby Co is a CLIA Associate Member and
Marketing Manager for Expedia Inc., a
leading online travel provider, helping
more than 25 million travelers per month
to easily plan and book travel with
personalized service and the latest
technology. You can reach him at
bobbyco@expedia.com, or visit him at the
Expedia Inc. exhibit booth at the California
Lodging Expo® on October 11, 2006.
WE CAN MAKE ANY
SIZE
APE
SHOR
COLOR
R
Catalina
Lamp & Shade
TEL: 1-800-447-7611 • FAX: 909-444-1340
– 29 –
FALL 2006
Marketing: Building a Profitable Client Base
Total Media Marketing
Maximizing Your Destination and Existing Markets
By Pamela Lanier
In order to make your innkeeping venture successful, the continuous
and creative marketing of your property in a wide variety of venues
is imperative. Since people search out information in many different
ways, it’s important to utilize all available media. And, marketing your
inn doesn’t have to take a huge budget.
community fundraiser. During the holidays, team up with other inns
in your area for your own inn-to-inn Christmas tour. Serve your best
holiday cookies and offer a tour of your inn adorned in all its holiday
finery. Remember to provide a brochure to everyone who visits so
they can share it with family and friends.
I’ve spoken at 41 lodging conferences since 2002. The best part of
each interactive presentation was the input I received from new and
experienced innkeepers, on what tricks of the trade were helping
them stay full.
(c) Get your name out to local businesses —Contact local
Realtors and have them gather at your inn to begin their caravan
tour of homes for sale. Provide them with your brochure so that
their clients coming from out of town can stay with you while they
search for a new home. For local corporations, contact the Human
Resources department, and meet with the coordinator to drop off a
cookie tray and brochures. Let them know that you are there to assist
with clients visiting from out of town, for small corporate retreats,
luncheons, dinners or special events.
Network Within Your Community
Work within your local community and establish relationships that
are mutually beneficial. One innkeeper handed out brochures to
local businesses, large and small, thereby increasing awareness of
his inn. Work with local businesses to create coupons and specials
just for your guests. Great sources for prospective inn-goers are
colleges, universities and trade schools in your area. Get in touch
with their administrative offices and find out when big events will be
happening, then coordinate specials to encourage visiting parents to
stay at your inn. College reunions are another bed-filler. Contact the
reunion coordinator to get the schedule.
In addition, your local chamber of commerce, visitors bureau and
tourist center are great sources for guests. This is true for regional
tourist publications as well. Keep them involved by sending them
your newsletter or press packet, and keep them stocked with your
rack cards. Always, always carry your business cards and keep
brochures or rack cards in your car. Make sure to attend as many
local civic functions as possible such as Rotary, Lions, Parks and
Recreation, etc. and remind them about your “spare” room for their
visiting friends.
What kinds of things can you do to fill your rooms for the rest of
2006 and beyond? Here are a few innkeeper proven ideas:
When creating specials and packages, appeal to men as well as
women. Men are often the ones who need assistance creating
romance packages. Send them a list of things to do and purchase
to make their getaway even better (flowers or champagne or a
carriage ride, etc.). They will be grateful because you have thought
of everything, and it will be seen as helping them, not up-selling.
Hire interns from business and public relations classes at local
colleges. They need the experience and they need the money. You
will benefit from their great ideas —perhaps things you may not have
even thought of before. Preparing mass mailings, creating press
releases, community outreach, and enhancing your Web presence
are just some areas in which they may be able to assist.
Everyone wins!
More Ideas that Really Work
(a) Donate, Donate, Donate —Donate a free room mid-week to a
cause or event that a radio or TV station is sponsoring, especially
your local public TV station (to YMCA, ballet or symphony, etc.).
The same applies to public radio. While they are promoting the
event, you will hear your inn’s name mentioned over and over —
great advertising!
Have a luncheon at no cost for your local friends. Enjoy an
afternoon together and give a tour of your B&B so everyone you
know is familiar with your inn for visiting guests. This excellent lowcost marketing idea is both subtle and will provide long-term
marketing for your inn.
(b) Be Involved in Community Activities —Garden Clubs and
other women’s groups host different events during the year such as
teas, fashion shows, and craft boutiques. You can donate your inn
(or have a special non-profit rate) for the event and charge for a
luncheon afterwards. Or, feature your inn in a Tour of Homes for a
California Lodging & www.clia.org
Innovative Ideas
One-a-Day Plan
A simple and very effective marketing tool is to make sure that your
Internet and guidebook listings are kept current offering the best
and newest information. Make sure that your Internet listings are
easy to view and to update, especially if they have a way to do the
– 30 –
updating yourself. Guidebooks continue to be one
of the top three sources of
reservations. Don’t overlook them. Readers often
equate to mature and affluent “Golden Guests.”
Marketing your inn may
sound overwhelming, but
it’s not. Instead think of it
as a One-A-Day Plan. Do
one thing every day and by
the end of the year you will
have done over 200 marketing activities, which will
reap benefits into the
future. Don’t forget to keep
handing out your business
cards. You never know when an opportunity to promote your inn
may come up —in the bank, at the grocery store, doing all the normal things. It is just a matter of being open to the possibilities.
Closing
In the meantime, if you have an innovative and proven marketing
idea that you feel your fellow innkeepers would benefit from, please
plan to share it during the CLIA conference where I will be speaking,
October 10-11 in Santa Clara, CA.
Bed and Breakfast Ambassador, Pamela Lanier, is the author of
The Complete Guide to Bed & Breakfasts, Inns and Guesthouses
International (currently in its 23rd annual edition with over 2.5
million copies sold) and host of the Yahoo! Gold Star top awardwinning Web site, TravelGuideS.com, and the #1 rated bed and
breakfast site, LanierBB.com. Pamela is the founding director of Bed
& Breakfast Inns and Guesthouses International, BBIGI, the
largest membership organization dedicated to advertising and
marketing member inns and promoting the spirit of innkeeping
worldwide. To join our over 8,700 member inns, visit the Web sites
listed above.
Pamela can be contacted at Bed and Breakfasts, Inns and
Guesthouses International (BBIGI), P.O. Box D, Petaluma, CA
94953; by phone: 888-410-2244, 707-763-0271; by fax:
707-763-5762; or by e-mail: lanier@TravelGuideS.com.
Need marketing assistance? Contact these CLIA Associate Members:
ADVERTISING / MARKETING
Travel Coupon Guide
Traveler Discount Guide
MediaWrites/En Route California
Michael Casler
(619) 401-8220
mcaster@travelcouponguide.com
www.travelcouponguide.com
Todd Cordts
(352) 371-3948
todd.cordts@travelerdiscountguide.com
www.roomsaver.com
Travel Coupon Guide helps increase your
occupancy by filling rooms that would otherwise go empty. Millions of free guides are
distributed to the traveling public, directing
them to your property.
The Traveler Discount Guide fills empty
rooms and increases profits for thousands of
hotels throughout 48 states. Guides are
distributed at 12,000 locations, reaching 50
million readers annually.
World Web Technologies, Inc.
PRINTING / DESIGN / PRODUCTION
Ed DeMattia
(650) 329-9500
ed@mediawrites.com
www.MediaWrites.com
Low-cost ad design and discounted placement services for AAA TourBook, En Route
California, VIA, Westways, etc. MediaWrites
also handles ad specialties/promotional
products; rack card, brochure and postcard
design, printing and mailing; and Web site
hosting and design.
Overstreet Associates
Scott Overstreet
(510) 487-8660
scotto@ovrstreet.com
www.ovrstreet.com
Overstreet Associates is the exclusive hotel
room distribution vendor for the delivery of
the San Francisco Chronicle newspaper. We
provide a higher level of service than our
competitors at a lower cost. Call us today
about this great room amenity!
Secure-Res
Vikram Singh
(904) 389-1130
Vsingh@secure-res.com
www.secure-res.com
Secure-Res specializes in providing Internet
marketing and reservation services to hoteliers and property managers.
Sunset Magazine
Jon A. Trumbull
(714) 424-1989
trumbullj@sunset.com
Advertising opportunities. Reach your best
travel prospects in Sunset Magazine and the
California Travel and Tourism Publications:
California Official State Visitors’ Guide and
the Best of California Drives.
Janie Agar
(800) 221-3429
jagar@worldweb.com
www.worldwebtechnologies.com
Sutter Printing
An Internet marketing and software company
specializing in the hospitality industry. Products include WorldWeb.com, a 200,000page travel portal and WebRezPro.com, a
powerful web-based property management
system.
Kurt Johnson
(916) 446-0167
kurt@sutterprinting.com
www.sutterprinting.com
Graphic design, printing & copying.
PROMOTIONAL MERCHANDISE
Tugboat, Inc.
Gavin Long
(707) 252-3536
klong@tugboatinc.com
www.tugboatinc.com
GRAPHIC DESIGN & PRODUCTION
Premier Graphics
John Stashik
(510) 235-2195
jcs@4premiergraphics.com
www.tourbookads.com
Graphic design and production. TourBook
ads, rack cards and brochures.
HOTEL GUIDES / MAPS / DIRECTORIES
Automobile Club of Southern
California
Full Service promotional marketing firm that
specializes in logo’d merchandise. Through
our embroidery screen printing and promotional products capabilities, we offer solutions for uniform apparel, trade show
give-aways, spa products, etc.
Inspections and AAA Ratings for the lodging
industry; AAA Official Appointment and
advertising sales.
TravelHERO.com
Stacey North
(888) 675-0024
snorth@travelhero.com
www.travelhero.com
TravelHERO.com provides online reservation
solutions for the travel industry.
TELECOMMUNICATIONS
Sound Strategies
Susan Andrews
(916) 652-1636
sandrews@on-fone.com
www.soundstrategies.net
Professional telephone on-hold music and
messages, speech activated auto attendants, radio commercials, voice overs, voice
prompt recording, in-house production
studio for quick turnaround, nearly 20 years
serving great national and local properties.
Effortless marketing to maximize your advertising budget.
WEB SITE DESIGN/HOSTING
RESERVATION SYSTEMS & SERVICES
Milestone Internet Marketing, Inc.
Expedia.com
Benu Aggarwal
(408) 492-9055
Benu@milestoneinternet.com
www.milestoneinternet.com
Bobby Co
(425) 679-4341
bobbyco@expedia.com
www.expedia.com
Charles B. Smith
(714) 885-2009
smith.chuck@aaa-calif.com
www.aaabiz.com/diamonds
brands-including Expedia, Hotels.com,
Hotwire.com, TripAdvisor, Expedia Corporate
Travel, Classic Custom Vacations, and a
range of other U.S. based Int’l businesses.
Hoteliers can benefit from unique value
propositions available through our companies, to reach millions of potential of its products and services.
Expedia, Inc. is parent company to some of
the world’s leading travel companies, providing travel products and services to leisure
and corporate travelers in the U.S. and
around the world. We own and operate a
diversified portfolio of well recognized
– 31 –
Milestone Internet Marketing, Inc. offers a
complete suite of Internet marketing services
for the travel industry. We specialize in Website design, Website promotions, booking
engines, e-mail marketing, and travel sites
for hotels, bed and breakfasts, resorts,
lodges, and inns.
FALL 2006
Another Reason for Your Guests to Smile
Your guests probably have smiles on their faces at check-in. With a rapid and accurate
check-out, you’ll ensure they leave the same way.
Chase Paymentech’s scale, personalized service and innovative technology provides
lodging providers of all sizes with a fully optimized total cost of payment acceptance.
Only Chase Paymentech provides transparent and simple-to-understand
payment processing solutions that adapt to your evolving requirements. For more
information and a free total cost of acceptance analysis, contact Jaime Gomez at
415.362.9385 ext. 7806 or by email at jaime.gomez@chasepaymentech.com.
ASAD-001 0606 ©2006, Chase Paymentech Solutions, LLC. All rights reserved.
EXPERIENCE
equals
RESULTS
i Loans up to $10 million
i Up to 85% financing
i Up to 25 year term
i Low fixed and variable rate options
i Construction financing available
i Refinance / Purchase / Renovation / F.F. & E.
Specialists in SBA 504, 7a,
conventional and investor
lending throughout California
Kevin Rappleye
Senior Vice President
Business Development Officer
15 years of experience
$200 million in SBA financing
525 J Street, Sacramento
(916) 554-4797: Office
(916) 709-1564: Cell
krappleye@scbusa.com
– 33 –
FALL 2006
Looking Back
The “Looking Back” column highlights CLIA’s 60-year history
as an evolving organization through news excerpts from
archived newsletters dating back to the 1940’s.
Non Members Welcome. Don’t forget that the non Members
are welcome too. We want them to come and see for themselves what the Association is doing for them. The Registration Fees are the same for Members and Non Members.
The following comes from the Association’s January 4, 1955
“Bulletin.” At the time, CLIA was known as the California
Motel Association. This excerpt is a “call to convention,” and
we think you’ll find the approach they used to attract
attendance in 1955 very entertaining!
Bring your problems with you and we
will help you with them. If you have no
problems, you are just the one we need to
help us with the other fellow’s problems.
Don’t miss out on attending CLIA’s 2006 California Lodging
EXPO® and Conference, October 10th -11th at the Santa
Clara Hyatt Regency. We’ve made a lot of progress since
1955! For conference details, please go to page 18.
Only $12.50 for twenty-five dollars worth of FOOD, FUN
and FROLICS.
4
The Monterey Peninsula Chapter of the California Motel
Association wishes to take this opportunity to welcome all
Motel Operators, either California or any other state, to our
coming Convention. The Monterey Peninsula is one of the
most beautiful areas in the State of California, over-looking
gem-like Monterey Bay. The area is outstanding and world
famous for its many attractions for tourists.
Hear Ye, Hear Ye, Hear Ye, A Convention is Coming
February 6 - 8, 1955 —Monterey, California
COME ONE, COME ALL, TO THE ANNUAL CONVENTION OF THE CALIFORNIA MOTEL ASSOCIATION.
Bring your friends and invite your enemies. We will all be
friends before the Convention is over.
DON’T MISS IT, you need a vacation and this is a wonderful
opportunity for you to mix business with pleasure. The
Convention Committee has arranged a very interesting
Business Agenda and an Entertainment Program that is full
of FUN.
BEING IN BUSINESS is like going to school. If you miss
some of your classes, you get behind with your lessons. A
Convention is likened to an Institute where a busy many can
absorb a great deal of knowledge in a very short time. Let’s
be out in front and get the most out of our business of
running a MOTEL. Make association of our competitors.
Exchange ideas with them. Learn the most efficient methods
and the latest gimmicks.
There are so many points of interest, things to see and do in
the Monterey Peninsula area, that it will pay you to spend an
extra day or so with us and take them all in, if your schedule
permits. (Remember it can be a deductible vacation.)
Start making your PLAN NOW. Get someone to hold the
fort while you are gone. Write to any one of the following
Member Motels listed below, and make your reservation for
the Convention. If the Motel you write to happens to be
filled, they will make comparable reservations for you at
another Member motel in the same area.
“IN UNION THERE IS STRENGTH.” That is so old it almost
has corns, but never was there a more truthful statement.
You just can’t help but get together at a Convention and
then there is no limit to the possibilities. If you operate a
MOTEL, you should have problems. Bring your problems
with you and we will help you with them. If you have no
problems, you are just the one we need to help us with the
other fellow’s problems.
LET’S BRIDGE THE GAPS AND BE UNITED AT OUR
CONVENTION. The new Officers and Directors for 1955
will be elected and installed at the Convention. Come and
help us select the right men to represent you in the Motel
business.
California Lodging & www.clia.org
– 34 –
CARMEL:
Carmel Cottage Court
El Rio Carmelo Court
Village Inn
MONTEREY:
Bel Aire Motel
Country House Inn
Casa Munras
Chanticleer Lodge
Cypress Auto Court
Driftwood Motel
El Castell Motel
Fairway Motel
Lazy Lake Lodge
Park Crest Motel
Peninsula Motel
Plaza Motel
Rancho Monterey Motel
Stan’s Motel
Twin Oaks Motel
Vagabond Motel
Via Robles Motel
PACIFIC GROVE:
Hotel Perry
Bide-a-Wee Motel
Butterfly Trees Lodge
Forest Hill Court
Pine Grove Motel
Ideal Motel
Milar’s Motel
17 Mile Drive Cottage Court
Sunset Motel
SALINAS:
Hunter Motel
Lindy Motor Inn
SEASIDE:
Anchor Motel
Mercer Manor Motel
Index to Advertisers
A-1 Textiles www.A1Textiles.com . . . . . . . . . . . . . . . . Page 17
ICE-O-Matic www.iceomatic.com . . . . . . . . . . . . . . . . Page 2
AutoClerk, Inc. www.autoclerk.com . . . . . . . . . . . . . . . . . . 13
Kaba Lodging Systems www.kabalodging.com . . . . . . . . . . . . 29
Automated Laundry Systems, Inc. www.automated-laundry.com . . . 13
MediaWrites www.mediawrites.com. . . . . . . . . . . . . . . . . . 33
Catalina Lamp & Shade . . . . . . . . . . . . . . . . . . . . . . . . . 29
Miller & Fanwick, LLP www.mflaw.com . . . . . . . . . . . . . . . .
Chase Paymentech Solutions www.chasepaymentech.com . . . . . . 32
National Hotel & Motel Brokers www.nhmb.com . . . . . . . . . . . 11
Commercial Seating Specialists, Inc. www.comseat.com . . . . . . . 33
Pacific Lodging Supply www.pactex.com . . . . . . . . . . . . . . . 35
Driver Alliant Insurance www.driveralliant.com . . . . . . . . . . . .
3
Pacific Plaza Hotels www.pacificplazahotels.com . . . . . . . . . . . 15
E-Chx www.e-chx.com . . . . . . . . . . . . . . . . . . . . . . . . .
6
PWS Commercial Laundry Systems www.pwslaundry.com . . . . . . 16
Electronic Exchange Systems, West www.exswest.com. . . . . . . . 27
Sacramento Commercial Bank www.scbusa.com . . . . . . . . . . . 33
Fire2wire www.fire2wire.com . . . . . . . . . . . . . . . . . . . . .
3
Scotsman of Los Angeles www.scotsman-ice.com . . . . . . . . . . 33
Frank & Ron Hotel-Motel Supply, Inc. www.motelsupplies.com . . . . 36
Western Exterminator Company www.west-ext.com . . . . . . . . . 29
Huff Construction Company, Inc. www.huffcon.com . . . . . . . . . . 10
Western Pacific/Manitowoc Ice, Inc. www.teamwpd.com . . . . . . . 13
9
Want to find the best quality lodging
supplies at incredibly low prices?
YOU GOT IT!
Pacific Textiles Co. &
Pacific Lodging Supply
The only place you’ll ever need to have your
supplies delivered to you at lightening speed!
>>> CHECK OUT OUR GREAT WEB
SPECIALS! VISIT WWW.PACTEX.COM
1.800.537.7915 Fax: 1.800.973.1862
10140 Norwalk Blvd., Santa Fe Springs, CA 90670
– 35 –
FALL 2006
California Lodging & www.clia.org
– 36 –