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Next Generation Lobbies

by Staff -- Hotels, 5/1/2007

Formal lobbies are out. Living space is in. Both brands and independents are capitalizing on their newly designed gathering spaces to better address the needs of their social guests and boost food and beverage profits in the process. Fewer structural walls, decidedly “un-bar” lobby bars and free flow dining spaces are definitely themes. But, every concept has its individual point of view. Here is what some of the industry leaders are doing to redesign their lobbies:

IHG: 14,000 Travelers Can’t Be Wrong
Who says mid-tier hotels have to be dull? IHG retained Landis Strategy & Innovation to survey travelers in the United States, Europe and Asia to find out who its guests are and what they want in a hotel experience. Unsurprisingly, the survey found a target market of sociable, outgoing travelers who like to mix business and pleasure, even on the road.

To create a hotel that provides that opportunity, Holiday Inn’s Next Generation balanced full-service prototype features—a large, open great room that connects the check-in area and lobby with the bar and restaurant. As with many of the new lobby/living room concepts, a fireplace will be a focal point. Seating is less formal and more residentially comfortable. With free Wi-Fi access and a variety of seating/table options, the lobby can accommodate impromptu board game nights as easily as impromptu board meetings.

One goal common of the new model lobbies coming online is free-flow space from the lobby to the bar and restaurant areas. Private televisions in some booths make dining a more attractive experience for guests traveling solo. “This offering allows guest to feel comfortable leaving their rooms to sit down at a table for a real meal. They have the ability to opt in or out of the social scene of the restaurant and bar areas,” says Mark Snyder, senior vice president, brand management, Holiday Inn Hotels & Resorts, Americas.

Free-flow space planning drives up revenue potential while minimizing under-performing square footage. “Hotels used to have one space for breakfast and another for dinner. That was incredibly inefficient. The spaces were either under-utilized or not used all during certain day parts. With fewer partition walls, guests can now register, mingle, eat and drink in the same space,” says James Anhut, senior vice president, brand development, The Americas. Allowing for less public space could save 15% to 20% on some projects.

More importantly, Anhut says the gathering space concept that is transforming expectations from the core Holiday Inn to the trendy Hotel Indigo address owners’ concerns about food and beverage (F&B). “Owners say they don’t want to be in the F&B business. These new concepts bring both efficiencies and economies. We looked at quick-service gourmet restaurants and ask, ‘why can’t we bring that inside?’” says Anhut.

As in their favorite coffee houses and upscale takeaways, Indigo guests in the new lobby/living space simply order at the counter and are served at their table. “We’ve been conditioned to eat that way now,” says Anhut. Design accommodates that with a range of table and chairs that work as well for one person as a small group. “You don’t want to sit at a table for four if you’re the only one at the table,” Anhut says. “We’re giving our guests control of their experience.”


Marriott International: Lobbies That Go 24/7
“Last year, we launched a guestroom that could easily be adapted to unique, individual needs. Now we are doing the same with our lobbies,” says Mike Jannini, executive vice president of brand management, Marriott International.

Years in the planning, Marriott’s new great room lobby concepts “is designed specifically for the 24/7 work patterns of business travelers today” as they transition from work to relaxation, socialization and play throughout the day.

Zones are key to the new floorplan:
The welcome zone. More than a place to check-in at the front desk or kiosk, this zone features a new approach to local information, personalized concierge services and even retail.

The individual zone. Quiet and comfortable, this zone is about small spaces where guests can unwind, work, listen to personal entertainment and enjoy a snack.

The social zone. Offering intimate tables for two, guests can converse “over a glass of wine or a gourmet treat” or have impromptu meetings for breakout discussions.

The business zone. With its multi-functional board room complete with audio/visual equipment, this area expands the traditional meeting offer with state-of-the-art technology for small groups, a revamped business center and quiet spaces for private conversations.

How well does it work? At the Renaissance Schaumburg (Illinois) Hotel & Convention Center, bar revenues are already up 40% in relation to pro forma, says Thomas Robertson, general manager. “After our renovation to this great room concept, there are no walls between the bar and the lobby,” Robertson says. “The bar extends directly into the great room. More guests see it and say, ‘Okay, I’d like a glass of wine.’”

The hotel’s Gather bar offers 30 wines by the glass. Guest can also order drinks and light fare from staff members who can provide speedy service thanks to POS terminals positioned throughout the great room. Additional support from a licensed Starbucks operation and innovative approaches to foodservice have generated a real uptick in sales through the space.

Hyatt Place: The Way We Live Now
Hyatt Corp. looked at a great deal of customer research and retail trends before creating the gathering place concept for its Hyatt Place brand. If there was a unifying buzzword, it was “connection,” says Jim Abrahamson, senior vice president. “We looked at the way people live, what they are buying, how companies are re-inventing themselves and the new launches. What we found is that, unlike Baby Boomers who wanted to work in their rooms, people now want to be connected via technology and with other people.”

That is what sparked the lobby as living room feel of Hyatt Place’s public spaces. One priority was to make the space livable for everyone. “People sometimes feel like prisoners in their rooms. For some guests, especially female travelers, there was no place else to go. You can’t sit and read or work in a traditional hotel bar,” says Abrahamson.

Nor would most families congregate in a formal bar atmosphere. “People are more comfortable in the kind of third-place coffee house environment they probably got to when they’re home,” he adds. That means more comfortable seating that can easily arranged and rearranged; tables of various heights for working, dining or an informal drinking.

It also requires a rethinking of foodservice. “Roomservice is an option sometimes, but it often makes you feel like the loneliest guy in town,” says Abrahamson. What brings guests out of their rooms: lighter healthier fare they can order from a gallery host or a touch screen. “Select-service hotels cannot compete with full-service restaurants. They are just poor cousins. The full-service labor model is difficult for select-service and it is hard to deliver competitive quality. So we wanted to re-invent the idea of restaurants and bars,” he adds.

Combining slow roasted/flash frozen with fresh foods, Hyatt Place hotels provide a menu of familiar are around the clock. “It’s convenient and easy. Guests don’t have to wait for their food and then wait for their checks. They can just relax, have a glass of wine or dinner. It has the feel of home,” Abrahamson says.


Sheraton: From Transition Space To Profit Center
The Sheraton Chicago Hotel & Towers was thinking more “great rooms” than pure “great room” when it launched its recent renovation. “Half of the lobby used to be just transition space. By adding more formal seating, we created a space where guests can gather all day,” says Heather Bolton, vice president, Tishman Hotels, the Sheraton Chicago’s owner.

More than just the footprint changed amidst the introduction of a living room feel.

A traditional lobby bar is now the Java Bar, which transitions from premium coffees during the day to coffee-themed drinks at night. Casual seating makes it work for singles, couples and small groups. An additional 50 seats spill out into the lobby for those who don’t want a bar vibe. The result: a 30% increase in bar business.

Under-performing lobby space at one end of the building becomes banquet space with the pull of a sheer curtain. With its elegant décor and capacity of up to 100 for dinners, the space has already generated US$100,000.
New seating by the floor-to-ceiling windows creates appealing work spaces for guests and gives them another reason to come out of their rooms and see the expanded food and beverage offers in the open lobby.
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