Ever since the emergence of the coronavirus at the start of the year, all economies and industries have taken quite a hit. In the past six months, consumer habits have been changed and shaped as they adapt to restrictions.
In the span of a few months, the normal experience of eating out with friends has turned into calls by the kitchen counter, and trips outside of the house have been limited to weekly essential errands (and no more than that).
Instead of having to worry about where to go out on the weekend or what to buy next, the concern of consumers today has shifted to staying COVID-free and surviving the current challenges at hand. That makes for a greater challenge that companies and industries must face today.
All kinds of businesses are struggling to turn the tide by adapting and keeping their cash flow running. However, no key factor of the modern economy has taken a greater hit amid COVID-19 than the hotel industry.
The arduous hurdle at hand
As an industry that primarily relies on personal interaction in all its products and services, the hotel industry has been expected by most, if not all, experts to take the hardest hit—and such has been the case for the past few months.
Given the current government-imposed restrictions and exponential growth of paranoia among consumers today, booking rates have completely tanked for the majority of hotels. With the exception of establishments that have been repurposed to accommodate front liners and essential workers to prevent contaminations, most hotels have been forced to do the following:
- Retrench workers to coup losses
- Shut down to avoid racking up costs that they may never recover from
- Hold out and ride the current crisis until a bounce takes place and demand hits a swing
How the hotel industry is set to change over time
If you’ve stuck with the third alternative as your gameplan, the chances are that you’re familiar with the immense speculation over the future of the hotel industry as we know it. Although the end of the current health crisis itself is uncertain, there are a few key developments that constituents can expect to take place as they move through the coming months to build up to normal operations.
From mandatory PPE usage to reduced capacities, here are some of the expected developments that will be part of the UK hotel industry’s new normal during and after the coronavirus:
- Stringent health and safety regulations may be even more unforgiving
While the UK hotel industry is no stranger in enforcing stringent protocols in terms of cleanliness in rooms, facilities, and areas, the healthcare crisis has forced it to rethink and refine its approach to health and safety.
As the possibility of reopening nears day by day, it’s best to expect that the government is set to unload a blueprint of more stringent health and safety regulations. Those are set to protect patrons and employees alike—all of which you can improve upon to your discretion. From the protective wear that your employees use to the cleaning process that will be enforced, every single aspect of your operations in the short and long term is can experience a tremendous change.
- Establishments will need to find new sources of revenue
Given the mandatory set of standards for enforcing social distancing today, hotels are now faced with the unavoidable hurdle of having reduced returns as a result of limited operational capacities. It is a hurdle that will guarantee a few financial sustainability issues along the way. As a result, establishments must now take on a creative approach to keep their cash flow in check by finding new sources of revenue in addition to cutting costs.
From finding new fees to administer and raising prices to generate new services and rework or add restaurants, the possibilities are endless when it comes to adapting. That said, it’s best to start planning ahead as to how you can compensate.
With the coronavirus continuously placing challenges that the hotel industry must face, establishments must now put their best foot forward and plan accordingly to mitigate the effects of the new normal and resume operations. By taking note of the expected changes mentioned above, you can best equip your hotel to improvise, adapt, and overcome the challenges at hand in no time.