The COVID-19 crisis that has rocked the world for a year now has drastically altered the landscape for hotel food and beverage operations, according to Jean-Michel Dixte, global vice president of food and beverage at Dusit International, Bangkok.
“People thought that maybe this was just a phase, but no, we are entering a new era, and we have to transform ourselves and reinvent ourselves,” Dixte said.
Many hotels have cut staff, and many won’t hire back the same number once business resumes. “So now they have to make do with a new staffing structure, and how do you deliver the same product, the same service, the same experience, that’s quality driven with less staff?” he asked.
Staff are being worked almost to the maximum of their abilities. “Whoever is left in the top tiers of management has to be hands on,” Dixte said. His advice: “Give your staff some incentives: Whatever money we make, they need to take a cut of it, and that’s the only way to move forward and to motive them during a time where they have to work hard and be very flexible.”
Technology will become even more important. “Kitchens will be designed differently, and (in some places), the staff is not going to be made up of chefs, but more of kitchen attendants, who will be able to put something inside of an oven and press a button,” he said. Places like Starbucks already employ this kind of technology. “If you actually deliver a quality product and if you put a lot of thought into presentation, and you have the décor and ambiance, then it will be well received,” he said.
To accompany this, hotels will likely hire out different F&B components – from using cloud or ghost kitchens to bringing in pastry, baked goods and ready-made cocktails from local purveyors. Dixte said his own hotels – Dusit has about 36 hotels and resorts in a dozen countries – are working with an award-winning mixologist to do that, at the same time attracting the mixologist’s fan base to the hotels.
These mixologists can also bottle or can their cocktails. “You can have a nice drink with a nice presentation with a bit of flare in serving it with some good music, and you now have a cool bar,” he said. “And you can make very good margins with it, too.”
Hotels will also have to manage customer data more effectively. “This is a mistake that hoteliers have been making for decades – it’s not listening enough to our customer base,” Dixte said. “We often do what we think is right or what we think they’ll like without actually knowing what they want. It’s about having a deeper and more meaningful connection with your clientele.”
Hoteliers who succeed, Dixte said, will follow the 70-30 rule. “They will give their customers 70% of what they want and 30% of what they don’t know that they want,” he said. “If they can do this, with innovation, with quality that is ethically (delivered) and is convenient and value driven, this is the best tip I can give anyone who works in this crisis.”
Brands and brand alliances also will become more important. As will showing that your brand stands for something. Local, sustainable and ethical sourcing for ingredients and foods will continue to be important.
“People are looking for a sense of place that is experientially driven and that can somehow make you feel good about yourself when you purchase it, and I’m not just talking about the wellness factor,” he said. “It’s that with every purchase there has to be a way to do good for the local community or the local economy and to the planet as well.”
Luxury hotels will still be a draw, Dixte said, but the very rich will not want to be ostentatious about it. The number of dining and drinking destinations within luxury hotels, however, will be reduced to the necessities that guests want. If it’s a resort, it will also have a pool or beach club.
“I see two concepts thriving in the industry: The first one is a café or grab and go, which is very flexible, which offers fast, casual food that is value driven, and ultimately, I think this is going to replace room service,” Dixte said. “You either will go downstairs to pick up your brown bag or get it delivered to your room.”
The second concept is a gastropub or place that combines dining and drinking. “It’s a bar-dining type of concept, a place where you don’t feel the formality of having to have a formal meal, but where you can come to have a cocktail or a bite at any time,” he said. “It will be something that has a sense of place, a stronger identity that is connected to the local community, in terms of culture or in terms of food and drink culture. I believe you are going to see many more of those kinds of concepts.”
One hotel that does this well, Dixte pointed out, is the Montien Hotel Surawong in Bangkok. This hotel serves up one of the best chicken and rice dishes to be found anywhere, and it has continued to be a destination in and of itself. “It’s a very simple, affordable dish, but it’s a great way to eat whether for a business lunch or family gathering,” he said. “To me, it’s a great example of a way to thrive in this crisis.”
The next year to two years will continue to be difficult, Dixte warned. “This year is going to be as difficult as last year,” he says. “I see two things happening. The first is the effect of everyone who’s lost their jobs and the (second) is the fear this is going to instill in their spending habits. Even people with disposable income are going to be more reticent about spending.”
He concluded, “We are going to need to reinvent ourselves, and we (might have to) reinvent ourselves every six months. I believe the only way to stand out is to offer something special. Just pick a few items you can really do to the best of your ability, and people will come and your place will be a destination venue.”