SMARTreport - Deuromedia
SMARTreport - Deuromedia
SMARTreport - Deuromedia
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<strong>SMARTreport</strong><br />
Information Intelligence by<br />
CLEVERDIS Edition • October 2007 – April 2008<br />
THE ULTIMATE SOURCE BOOK<br />
FOR HOTEL TECHNOLOGIES<br />
CREATING THE MEMORABLE GUEST EXPERIENCE<br />
Including: > IN-ROOM ENTERTAINMENT > COMMUNICATION TECHNOLOGIES<br />
> IN HOUSE AUTOMATION > DIGITAL SIGNAGE AND CUSTOM TV<br />
> CONFERENCE TECHNOLOGIES > RESERVATION SYSTEMS • GDS AND PMS<br />
> SECURITY<br />
Meet the visionaries<br />
Nick Price<br />
CIO/CTO –<br />
Mandarin Oriental<br />
Hotel Group<br />
> page 6<br />
Fraser Hickox<br />
General Manager<br />
Research and<br />
Technology –<br />
Peninsula Group<br />
> page 9<br />
Ian Crabb<br />
Chief Executive<br />
Officer –<br />
Quadriga<br />
Worldwide Ltd<br />
> page 22
<strong>SMARTreport</strong><br />
THE ULTIMATE SOURCE BOOK FOR HOTEL TECHNOLOGIES<br />
03 Tracking Emerging Technology<br />
Interview with Douglas Rice – HTNG<br />
06 Knowing The Guest<br />
Interview with Nick Price – Mandarin Oriental<br />
Hotel Group<br />
09 When Hotels Lead the Way<br />
Interview with Fraser Hickox – Peninsula Group<br />
13 IN-ROOM ENTERTAINMENT<br />
14 Pacific Media Predicts Rapid Growth for Hospitality<br />
HDTV Sales<br />
15 The TV of the Future<br />
15 Internet TV ‘Gold Rush’<br />
16 <strong>Deuromedia</strong> Interactive Platform<br />
Interview with Markus Hiebeler – <strong>Deuromedia</strong><br />
17 Licence to Screen<br />
19 MCOM – First to offer a VC-1/MPEG4 IPTV<br />
platform with a VOD multilingual subtitling service<br />
to the hospitality industry...<br />
Interview with Costas Sakellariou – Media<br />
Communications<br />
20 Convergence – In Room Centric Trends in Hotel<br />
Technologies – The vision of a market leader<br />
22 Meeting New Guest Entertainment Demands The<br />
Trends<br />
Interview with Ian Crabb – Quadriga Worldwide Ltd<br />
24 Massive Roll-out for Genesis System<br />
Interview with Myron Tataryn – Quadriga<br />
Worldwide Ltd<br />
26 CASE STUDY – A Taste of Genesis<br />
27 Quadriga Worldwide Ltd KEY FIGURES<br />
28 NxTV First of Kind to Earn HTNG Certification for<br />
Guest Itinerary Display on Hotel Televisions<br />
29 CASE STUDY – Trump International Hotel & Tower<br />
Chicago Installs Next Generation HD IP Video on<br />
Demand Entertainment Services<br />
31 The Shift from Pay TV Provider to Veritable “Media<br />
Partner”<br />
Interview with Tonio Fruehauf – Premiere Hotel<br />
Entertainment<br />
32 CASE STUDY – Surprising Guests with Simplicity,<br />
Quality and Quantity (of channels)<br />
33 One Step Beyond!!...<br />
Interview with Patrick Goubet – ArtDisplay<br />
34 Strength, Security and Aesthetics<br />
37 COMMUNICATION TECHNOLOGIES<br />
38 IP PABX: Stepping into the Future<br />
A White Paper by Percipia, Inc.<br />
43 Virtual Private Networks<br />
44 Wireless Phones for Staff – a Key to Improved<br />
Service<br />
45 No New Wires!<br />
46 Communication (and other) Technologies that will<br />
impact hotel operations in the future<br />
47 IN HOUSE AUTOMATION<br />
48 Enlightening ideas<br />
49 DIGITAL SIGNAGE & CUSTOM TV<br />
50 "…It's pure marketing, but with an emotional<br />
dimension…"<br />
Interview with Betty Castaldi – Idylle Production<br />
53 CONFERENCE TECHNOLOGIES<br />
54 Conference Room Technologies<br />
57 RESERVATION SYSTEMS<br />
• GDS AND PMS<br />
58 Interview with Kaweh Niroomand – Micros-Fidelio –<br />
EAME (Europe, Africa, Middle East)<br />
60 HTNG Certification for IDeaS Revenue Optimization<br />
61 CASE STUDY – Optimising hotel and conference<br />
center operations on one database…<br />
63 SECURITY<br />
64 CASE STUDY – Security Evaluation and Verification<br />
by HP Strengthens interTouch Service Offering<br />
A CLEVERDIS PUBLICATION - SMARTREPORT ENGLISH Ed n°5 October 2007<br />
65 avenue Jules Cantini - Tour Méditerranée - 13298 Marseille • France • Tel : + 33 4 42 77 46 00 • Fax : + 33 4 42 77 46 01<br />
• E-mail : info@cleverdis.com • www.cleverdis.com • SARL capitalised at ?128,250 - VAT FR 95413604471 • RCS Marseille B 413 604 471 - 00024<br />
• Publisher: Gérard Lefebvre (gerard.lefebvre@cleverdis.com) • Publishing Director: Jean-Guy Bienfait (jeanguy.bienfait@cleverdis.com)<br />
• Editor-in-Chief: Richard Barnes (richard.barnes@cleverdis.com) • Design & Page Setting: Valentina Russo (valentina.russo@cleverdis.com)<br />
• Cover : © Photo: Hotel Principe di Savoia, Milan, Italy • Printing: Imprimerie Toscane (Nice, France)<br />
With the participation of: Katharina Mendel (katharina.mendel@cleverdis.com), Jean-François Pieri (jeanfrancois.pieri@cleverdis.com),<br />
Raphaël Pinot (raphael.pinot@cleverdis.com), Bettina Spegele (bettina.spegele@cleverdis.com)<br />
© CLEVERDIS 2007 - Registration of Copyright October 2007 - ISSN 1771-2815<br />
Information presented in this publication is purely indicative in order to illustrate subjects contained therein. No guarantee can be given as to the accuracy of data or content at time<br />
of printing and thus the latter should not be used to professional or commercial ends. While all efforts have been made as to accuracy and pertinence of content and data contained<br />
in this publication, CLEVERDIS may in no case be held responsible for the consequences, whatever their nature may be, that may result from the interpretation of this data or content,<br />
or any eventual errors therein. All rights are reserved. Any reproduction of the content of this publication, even partial, by any procedure whatsoever, is strictly prohibited without the<br />
prior authorisation of the publisher. Any copy, whether by photography, photography film, magnetic tape, disc or other means constitutes a forgery, liable to punishment under French<br />
law under the legislation of 11th March 1957 covering copyright. All brands cited in this publication are registered trade marks and/or belong to companies which are their respective<br />
proprietors. The publishers and editorial staff decline all responsibilty as to opinions formulated in this publication by those interviewed or cited therein. Their opinions are entirely their<br />
own, and are included with the understanding that they contain, to our knowledge, no malicious intent. The inclusion of all texts, photographs and other documents supplied by those<br />
included in the encyclopaedia imply the acceptance by their authors of their free publication therein. Documents and photgraphs are not returned. It should be understood that this<br />
publication contains forward-looking statements that involve risks, uncertainties and assumptions. All statements other than statements of historical fact are statements that could be<br />
deemed forward-looking statements. Risks, uncertainties and assumptions include assumptions relating to the timing of the record date. If any of these risks or uncertainties materialises<br />
or any of these assumptions proves incorrect, actual results could differ materially from the expectations outlined in these statements. Cleverdis assumes no obligation and does not<br />
intend to update these forward-looking statements during the period of publication. Photo Credits and Copyright: All Rights Reserved<br />
CONTENTS
<strong>SMARTreport</strong><br />
THE ULTIMATE SOURCE BOOK FOR HOTEL TECHNOLOGIES<br />
EDITORIAL<br />
Richard BARNES<br />
Editor-in-chief<br />
Tel. +33 (0)4 42 77 46 08<br />
E-mail: richard.barnes@cleverdis.com<br />
Enhancing Guest Satisfaction<br />
Technology… and the Part it SHOULD Play…<br />
The savvy use of technology in hotels should lead to a number<br />
of positive outcomes… a win-win scenario for both hoteliers<br />
and guests… if approached the right way. The aim of this<br />
<strong>SMARTreport</strong> is not only to demystify some of the latest digital<br />
technologies and their applications in the hotel field, but also<br />
to encourage the intelligent use of these technologies in such a<br />
way that they save money and/or increase profits for the<br />
hotel, while vastly improving the guest experience. We have<br />
timed the launch of this edition to coincide with the European<br />
meeting of HTNG (Hotel Technology Next Generation) in<br />
Lausanne; a conference which truly marks the forward march<br />
of the industry world-wide and underlines a new form of<br />
understanding between hoteliers and service providers. What<br />
is extraordinary today is the extreme effort put in by some<br />
hotel groups, such as the Mandarin Oriental Group and the<br />
Peninsula Group, in beating a path through the jungle as true<br />
pioneers in the field of technology convergence. This is<br />
underlined in interviews with Nick Price of the Mandarin<br />
oriental Group and Fraser Hickox of the Peninsula Group, both<br />
of whom are true visionaries and leaders among their peers.<br />
The time given by people such as these (as well as all those<br />
who have participated in this edition) towards helping their<br />
peers and advancing the industry in general through the<br />
movement created by the HTNG is proof of their selflessness<br />
and dedication to improving guest services across the board.<br />
To this extent, Nick Price has even agreed to give his<br />
“personal touch” to each of our sections in this <strong>SMARTreport</strong>...<br />
an input which is greatly appreciated due to his astute and<br />
broad vision of industry issues. This <strong>SMARTreport</strong> is, I believe,<br />
more than ever in the spirit of Cleverdis, our mother<br />
organisation, in terms of giving a clear and unbiased view of<br />
the industry at large. The broad contribution and support<br />
shown by leading companies from all walks of technology<br />
gives it an unequalled richness and uniqueness, making it a<br />
true reference work. Again thanks to all of you who have<br />
contributed to making this edition a real “keeper”!
© photo: HTNG<br />
www.cleverdis.com<br />
HTNG<br />
(Hotel Technology Next<br />
Generation)<br />
Douglas Rice<br />
Executive Director<br />
Douglas C. Rice has been working as Executive Director of Hotel Technology<br />
Next Generation (HTNG) since September 2004. Mr Rice moved into the<br />
HTNG executive role from a successful career spanning more than 15 years<br />
as a consultant to senior executives throughout the hospitality industry. He<br />
was one of the original visionaries and founders of HTNG, recruited many<br />
of the CIOs that formed its first Board of Directors, and has remained<br />
integrally involved throughout the early years of the organization, serving as<br />
Executive Advisor to HTNG since the organization was formalized.<br />
INTRODUCTION<br />
Interview with...<br />
Tracking Emerging Technology<br />
Spotlight on the HTNG European Meeting in Lausanne<br />
With HTNG’s European meeting again<br />
taking place in Lausanne, we spoke to<br />
Mr Rice about the main thrusts of the<br />
organisation, and what outcomes are<br />
expected from the meeting...<br />
The main thrusts of our conference are<br />
always multi-fold. One is to update our<br />
members on the accomplishments and<br />
directions of our various work group<br />
activities. Each group spends between<br />
20 minutes and more than an hour<br />
going through the specific things they’ve<br />
done, talking about the benefits for<br />
hotels and about how vendors can<br />
engage with some of their initiatives<br />
and some of their future directions. The<br />
other thing our conferences always<br />
emphasise is thought leadership. We try<br />
to identify some areas of emerging<br />
technologies that aren’t being covered<br />
well by other conferences in the industry<br />
and find speakers who can address<br />
those issues and present some thought<br />
provoking ideas about how these<br />
technologies can be used in hotels. As<br />
far as the European activities go, we<br />
have now more and more of our<br />
workgroups that are engaging with<br />
European hoteliers and vendors... we<br />
now have two work-groups that have<br />
regular meetings in Europe. We have<br />
other work-groups that still have most of<br />
their regular meetings in the US, but that<br />
still have significant European<br />
participation, and a lot of the<br />
presentations will be made by the<br />
Hotel <strong>SMARTreport</strong> October 2007 – April 2008 / 3
<strong>SMARTreport</strong><br />
© photo: HTNG<br />
4 /<br />
European participants in the various<br />
work-groups.<br />
The European In-Room Technology workgroup<br />
will be officially meeting for the<br />
first time just after the meeting in<br />
Lausanne. This is something that is<br />
going to be very important for the<br />
forward movement of the HTNG in<br />
Europe...<br />
We certainly think so. We’ve always<br />
believed that the needs of the industry<br />
are global because many of the<br />
companies that operate in our industry<br />
are global... both on the hotel side and<br />
on the vendors’ side. There is no way to<br />
“regionalise” it in a way that doesn’t<br />
disenfranchise someone. So from the<br />
very beginning we have had extensive<br />
participation from a number of<br />
international companies and this is an<br />
opportunity to get more engagement in<br />
Europe in the in-room technology area,<br />
where a lot is going on, and we are<br />
very much looking forward to getting<br />
that greater engagement.<br />
One of the interesting facts that was<br />
brought up during the initial briefing for<br />
the work-group in London was the fact<br />
that there are a lot of differences in<br />
between the issues that have to be dealt<br />
with in the US and in Europe, and which<br />
of course are different to Asia as well. Is<br />
this one of the main factors that will<br />
have to be addressed?<br />
Absolutely. We know some certain<br />
fundamental differences exist in Europe<br />
in terms of the physical structure, in<br />
particular of the older or smaller hotel<br />
buildings. To a degree we have<br />
addressed that already, but we<br />
Hotel <strong>SMARTreport</strong> • October 2007 – April 2008<br />
probably have some more work to do in<br />
that area. There are some major<br />
differences in the entertainment system<br />
technologies ... in particular the speed<br />
at which HD is being deployed is quite<br />
a bit slower in Europe than it is in<br />
America, and all these things change<br />
the landscape of what needs to be<br />
done. Probably even more important<br />
though is the vendor community... it’s a<br />
very different set of vendors... in some<br />
cases more fragmented, because there<br />
may be different vendors in different<br />
parts of Europe that have dominant<br />
positions, and the companies that<br />
operate across Europe need solutions<br />
that work across Europe and across the<br />
world. So both the technology and the<br />
vendor set are different and that’s really<br />
what this work-group, and indeed all<br />
our work-groups need to address.<br />
In different regions of the world, hotel<br />
chains have vastly different levels of<br />
penetration as opposed to privately run<br />
individual establishments. How<br />
important is it for us to come to grips<br />
with the differences in needs for each<br />
category?<br />
To benefit the entire industry I think we<br />
definitely have to. The main thing that<br />
we see different between the major<br />
chains and the independents (and the<br />
smaller chains that fall somewhere in<br />
between) is the amount of resources they<br />
can devote to analysing and selecting<br />
future technologies. Larger chains can<br />
devote some resources to deciding what<br />
they want and engaging vendors to go<br />
build it, driving some of the activities<br />
through HTNG in terms of developing<br />
industry solutions. The independent<br />
hotels don’t have the resources to do<br />
INTRODUCTION<br />
that. They don’t have dedicated<br />
technology resources, so many of the<br />
larger chains view their role as<br />
delivering technology solutions to<br />
independent managed or franchised<br />
hotels within their group. A lot of our<br />
larger participants do consider the<br />
needs of individual hotels that are their<br />
customers. So independents can still<br />
benefit without necessarily being active<br />
participants. We can’t expect a small<br />
hotel to devote the resources, although<br />
we do have a few who want to and we<br />
certainly welcome them, but we have to<br />
find ways to give them the derivative<br />
benefit of the work of the larger groups.<br />
At the end of the day, every one of them<br />
is deploying into individual hotels and<br />
the way they may want to do it may be<br />
different if they are a large chain but the<br />
actual physical things that go into the<br />
hotel are generally the same.<br />
On the one hand there are individual<br />
problems, and on the other we’re<br />
dealing with global issues. How<br />
important are issues such as in-room<br />
technologies in general, flat-screen TVs,<br />
HDTV, new networking technologies like<br />
IPTV and so on?<br />
There’s a balance. The global trends we<br />
see in in-room entertainment are the<br />
move towards converged IP networks,<br />
and a move definitively towards digital<br />
TV and increasingly towards IPTV. The<br />
regional differences are topics like HD<br />
versus SD. Trends differ between<br />
different regions, so this is an important<br />
consideration. Obviously, on a more<br />
technical level, it’s interesting for hotel<br />
operators in different parts of the world<br />
to look at internal signal distribution for<br />
entertainment systems. We’ve seen<br />
some great HD systems in the US (e.g.<br />
Mandalay Bay in Las Vegas etc.) and<br />
it’s no doubt interesting for people to<br />
learn about this... We have one session<br />
that is a group of hoteliers that have<br />
struggled through the deployment of a<br />
distribution with the objective of getting<br />
an all-IP network, and they will talk<br />
about the evolution over the last years<br />
and their ability to do that as technology<br />
has evolved. Some of them have had a<br />
goal of doing this over five, six or seven<br />
years and in their first projects they ran<br />
into a number of barriers ... then in the<br />
next projects, they were able to remove<br />
www.cleverdis.com
a few of these, and some of them are<br />
finally getting close to getting exactly<br />
what they want now... but I hear a lot of<br />
real life horror stories about distribution<br />
within the hotel, and some of the real<br />
barriers you have even in new hotels to<br />
getting systems to work well.<br />
No doubt the US operators attending<br />
the European conference will also be<br />
able to get the inside line on IPTV which<br />
is much more advanced in Europe than<br />
in the States...<br />
Exactly. This is a good opportunity for<br />
both sides to share. We’ll have several<br />
of the major companies who are<br />
involved in the in-room entertainment<br />
systems from both sides of the Atlantic<br />
as well as in the Pacific zone, getting a<br />
chance to see what’s happening in parts<br />
of the world where they may not<br />
operate directly.<br />
We’ve been talking a lot about in-room<br />
technology, which has become a sweet<br />
spot, but obviously everything that is<br />
built around is becoming integrated and<br />
part of an entire system… And this is<br />
one of the most exciting things that<br />
hoteliers can work on as well...<br />
Yes. In Lausanne we will certainly be<br />
talking about bringing together all the<br />
systems. This is particularly valid in a<br />
complex hotel or resort system that has<br />
a spa, perhaps golfing activities,<br />
concierge, theatre tickets, meeting<br />
rooms, etc. The aim is to have a<br />
common way for the different systems<br />
that manage each of these activities to<br />
communicate about the guest and to<br />
manage their schedules and various<br />
appointments and to make that<br />
information available both to the staff<br />
and the guest. We’ve made some really<br />
tremendous strides in that area and<br />
when you have a converged network,<br />
you can share data much more easily. It<br />
doesn’t mean that it happens without<br />
some work, but I think we’ll see some<br />
real live results with hoteliers talking<br />
about how they’re using these solutions<br />
in their hotels. Five years ago people<br />
told us you’d never get the vendors to<br />
share their customer data or work with<br />
each other to manage a guest itinerary<br />
across several of these systems and this<br />
is happening today.<br />
www.cleverdis.com<br />
I guess it comes down to building on<br />
existing IT platforms that are often<br />
proprietary systems and have been builtup<br />
with either home-grown or vendor<br />
specific interfaces?<br />
I think what is happening is that both the<br />
vendors and the hoteliers are realising<br />
that one-off interfaces don’t make a lot<br />
of sense. I think vendors had a lot of<br />
concern that because they got a lot of<br />
their revenue from interfaces,<br />
particularly some of the Property<br />
Management System vendors and other<br />
core system vendors, that this would<br />
threaten their revenue stream. And in<br />
fact what is happening is that they are<br />
Why HTNG?<br />
Hotels deal with scores of technology<br />
systems, but only a few were designed for<br />
hotels! Guests and staff need the systems to<br />
work together:<br />
• Hotel systems, e.g. PMS, PoS, sales &<br />
catering • Telephony systems<br />
• Entertainment systems • Building control<br />
systems • Distribution systems<br />
• Administrative, financial & control systems<br />
• Customer relationship management<br />
systems • Human resource systems...<br />
HTNG Mission<br />
The mission of HTNG is to provide<br />
leadership that will facilitate the creation of<br />
one (or more) industry solution set(s) for the<br />
lodging industry that:<br />
• Are modeled around the customer and<br />
allow for a rich definition and distribution<br />
of hotel products, beyond simply sleeping<br />
rooms<br />
• Comprise best-of-breed software<br />
components from existing vendors, and<br />
enable vendors to collaboratively produce<br />
world-class software products<br />
encompassing all major areas of<br />
technology spending: hotel operations,<br />
telecommunications (PABX), in-room<br />
entertainment, customer information<br />
systems, and electronic distribution<br />
• Properly exploit and leverage a base<br />
system architecture that provides<br />
integration and interoperability through<br />
messaging; and that provides security,<br />
redundancy, and high availability<br />
• Target the needs of hotel companies of all<br />
sizes and geographic locations<br />
• Will reduce technology management cost<br />
and complexity while improving reliability<br />
and scalability<br />
INTRODUCTION<br />
finding that by running with open source<br />
interfaces it reduces costs quite a bit<br />
because they don’t spend so much time<br />
doing custom development and they get<br />
a whole lot more revenue potential<br />
because the customers now look at these<br />
interfaces as something that is not oneoff<br />
but which is reusable. There is a lot<br />
more willingness among hotels to start<br />
to buy these interfaces as they are<br />
starting to become standardised. I don’t<br />
want to overstate this as we have a long<br />
way to go, but certainly if you look at<br />
some of the major vendors and some of<br />
the major customers, all are going<br />
towards HTNG standard interfaces.<br />
• Can be deployed globally, managed<br />
remotely, and outsourced to service<br />
providers where needed.<br />
HTNG Workgroups:<br />
HTNG is moving information technology in<br />
hospitality forward by bringing all industry<br />
constituencies-hoteliers, vendors, consultants<br />
and others--together to address the most<br />
pressing needs. The method by which HTNG<br />
is attacking this problem is Workgroups.<br />
What's a Workgroup?<br />
Workgroups are groups of HTNG member<br />
companies, typically numbering 10 to 25 but<br />
sometimes more, chartered with addressing a<br />
specific business or technical problem. Hotel<br />
companies (technology buyers) and vendors<br />
(technology sellers) work together to solve the<br />
problem and implement one or more<br />
solution(s). Other industry participants<br />
(consultants, academics, media) may also<br />
participate. A key difference between HTNG<br />
and other industry organizations is that<br />
HTNG's focus is facilitating the creation of<br />
industry solution sets. Workgroups are not<br />
think tanks or standards bodies. They may<br />
produce white papers, specifications, and<br />
other documents, but these are simply means<br />
to achieving their primary objective. HTNG's<br />
workgroup process is inclusive of all HTNG<br />
members. Moreover, small and large<br />
companies participate on an equal footing –<br />
one company, one vote.<br />
In-Room Technology Workgroup -<br />
European Chapter<br />
The European Chapter of the HTNG’s In-<br />
Room Technology Workgroup (spawned<br />
originally by Nick Price in 2004) officially<br />
becomes operative in 2007.<br />
Hotel <strong>SMARTreport</strong> October 2007 – April 2008 / 5
<strong>SMARTreport</strong><br />
Interview with...<br />
© photo: Mandarin Oriental<br />
6 /<br />
HTNG<br />
(Hotel Technology<br />
Nick Price<br />
Next Generation)<br />
President Emeritus – HTNG<br />
CIO/CTO, Mandarin Oriental Hotel Group<br />
Nick Price joined Mandarin Oriental Hotel Group in January 2000 as Director of<br />
Technology. A newly created position, the appointment was in line with the Group's<br />
objective of strengthening its corporate and specialist core competencies in areas<br />
most critical to success. With more than 19 years experience in IT and emerging<br />
technologies, Nick brings to Mandarin Oriental, an in-depth understanding of<br />
current and emerging technology trends and their commercial application. Nick<br />
reports directly to the Group's Managing Director, Edouard Ettedgui.<br />
Hotel <strong>SMARTreport</strong> • October 2007 – April 2008<br />
INTRODUCTION<br />
Knowing The Guest<br />
Making Information Accessible In-House<br />
Nick Price is one of the most respected people in the industry when it comes to having a global (in<br />
more ways than one) knowledge about Hotel Technologies and how they should be leveraged to<br />
truly enhance the guests’ experience. We asked Nick what was new at the Mandarin Oriental<br />
Group, and how he is leveraging technology to create a near to perfect guest experience...<br />
To some extent we are refining the path<br />
we’ve been on for a while, especially<br />
since 2003, leveraging networks to be<br />
able to either bring in content to a guest<br />
that makes sense, or enable our staff to<br />
understand something about the guest<br />
and to deliver a service that they<br />
otherwise couldn’t have done. Obviously<br />
we have been very focused on capturing<br />
information about our customers and<br />
making that available across our<br />
company in terms of an xml profile of the<br />
guest, and a fairly rich and deep and<br />
accessible xml profile that you can ask<br />
questions of the system... “What does<br />
somebody like to eat?”... or “What<br />
temperature should the room be at?”, or<br />
“What kind of wine do they like?”...<br />
Things like that... and just to make that<br />
information accessible.<br />
Once you have that information you have<br />
to think about how to deliver it, and that’s<br />
all about networks, and how do you<br />
communicate it to the front line staff, and<br />
that’s really all about access devices that<br />
are hooked onto those networks, and<br />
many of those networks are wireless<br />
today...<br />
www.cleverdis.com
Of course one would have to avoid<br />
saying, “Good morning Mr Smith, you’re<br />
not with your usual girlfriend today ... Oh,<br />
it’s your wife?”...<br />
You know that’s a cliché ... I’ve heard that<br />
so many times. Are we in the business<br />
for? We’re in the business to satisfy<br />
99.9% of our guests or are we in the<br />
business of XXXXing of 0.1% of them? Just<br />
because something can happen doesn’t<br />
mean you should build your company or<br />
operation around the fact that it will.<br />
While I know you meant it as a joke,<br />
there are a whole lot of people going<br />
around saying, “we’re not going to do<br />
this because of that reason. We’re not<br />
going to build information in the systems<br />
about our customer just in case we are<br />
talking about the wife when we should be<br />
talking about the girlfriend, and that’s just<br />
stupid. It’s just an excuse for not doing<br />
things right if you ask me.<br />
One of your pet bugbears is that of<br />
business models for internet. How are you<br />
seeing business models evolving today?<br />
First of all, you have to look at it from both<br />
sides, from the hotel side and the<br />
suppliers’ side. There is no free lunch.<br />
There is no free product today, and from<br />
www.cleverdis.com<br />
a hotel’s point of view you wouldn’t want<br />
to. If you go back five years ago,<br />
everyone was rushing for the revenue<br />
share “land grab” and the suppliers were<br />
very much looking at the long term,<br />
saying “we’ll lose money on 2%<br />
utilisation, but we’ll make it up on 20%<br />
utilisation”, and the hotels were saying “I<br />
don’t care, I just want something that<br />
satisfies today’s guest. Now those hotels<br />
are saying “At 20% look at the amount of<br />
money you’re making, Mr Supplier, and I<br />
still have three years to go on my revenue<br />
share contract!” So both sides have<br />
learnt. On the supplier side, they’re<br />
looking at it and saying “How do I renew<br />
my contract with the certainty that I’m not<br />
going to be able to roll-over a revenue<br />
share contract on the same percentages<br />
as I did before?”... Because the unique<br />
technology I had back then are now<br />
commodities... These can be used today<br />
in a much more accessible “Do It Yourself”<br />
fashion to the hoteliers. So hoteliers if they<br />
wish can assemble these HSIA networks<br />
themselves these days at a cost, but that<br />
cost is generally affordable based upon<br />
the revenues that are a fairly near<br />
certainty today and into the near future,<br />
so there’s a fairly strong ROI for DIY.<br />
Looking out a little bit further, the<br />
attractiveness of a DIY model becomes<br />
INTRODUCTION<br />
less attractive today if you consider the<br />
services you are going to have to bundle<br />
onto that network to make it attractive<br />
over the long term, because again that’s<br />
very much harder to do that it is just to put<br />
a simple HSIE service in place today...<br />
and also the fact that your costs are<br />
definitely going to increase as well,<br />
because the bandwidth is increasing,<br />
significantly so, and that has to be paid<br />
for. So really there are two sides of the<br />
thing. Revenue share was a model that is<br />
not necessarily the right model for the<br />
future, but it may become the right model<br />
again as you add more feature functions.<br />
In the past you have spoken of the<br />
importance of “bringing the technology<br />
islands together”... talking about the<br />
different technology groups within the<br />
hotel. How do you see this evolving? I<br />
guess this is indelibly linked to the HTNG?<br />
It is in a number of ways. Firstly, they are<br />
broadly together these days, or they<br />
certainly are at Mandarin. We have fully<br />
converged networks today in our hotels...<br />
fully converged IP networks. So from a<br />
functional view you have HSIA, Video On<br />
Demand and IP television on the same set<br />
of cables – the same network as the<br />
administrative network, back of house,<br />
© photo: Mandarin Oriental<br />
Hotel <strong>SMARTreport</strong> October 2007 – April 2008 / 7
<strong>SMARTreport</strong><br />
© photo: Mandarin Oriental<br />
8 /<br />
PMS and so on, just as CCTV and<br />
telephone which is now IP as well, and all<br />
of that is wired and wireless. So the main<br />
functional and discreet separate networks<br />
that a hotel typically did install on<br />
separate unique cable systems is, at least<br />
at the Mandarin, a fully converged<br />
network today. We’re just months away<br />
from opening our first hotels that have no<br />
Coax for TV and they have no Coax to<br />
drive CCTV. All of those things are on the<br />
IP network today.<br />
On Cat 5 or Cat 6?<br />
All Fibre! Fibre to the rooms is going to be<br />
a very useful technology. The same model<br />
that telcos are using to take fibre to the<br />
home... that same basic technology, when<br />
you translate it into a fibre to the room,<br />
has some basic advantages. It is subtly<br />
different from a Cat 6 Ethernet model. It’s<br />
more configurable and you can do more<br />
with it. You can reserve elements of the<br />
bandwidth over the fibre to do interesting<br />
things. So it’s definitely a technology that<br />
we’re actively investigating.<br />
How is the use of content changing in the<br />
field of in-room entertainment?<br />
One of the other things we should<br />
absolutely be aware of as hoteliers is that<br />
a vast amount of content walks into our<br />
rooms every day, brought in by the<br />
guests. Whether it’s a USB stick with a<br />
film on it or some form of audio or video<br />
content, or whether it be an i-Pod or i-<br />
Phone or whatever, a huge amount of<br />
content is walking into our rooms, and for<br />
Hotel <strong>SMARTreport</strong> • October 2007 – April 2008<br />
us to be able to make use of that is a very<br />
important thing – providing easily<br />
accessible methods whereby a guest who<br />
has a small and portable device which is,<br />
by definition, very restricted in its picture<br />
and sound quality... to plug that into a<br />
room and make full use of the room to<br />
entertain them or inform them for the<br />
period of time they are there... I think it’s<br />
a really important thing, because one of<br />
the things I think have trained ourselves to<br />
believe is that a guest has an awful lot of<br />
time in our rooms to be entertained and<br />
that is simply not true. The whole notion of<br />
a feature film being a relevant piece of<br />
content in a hotel room is bogus! I don’t<br />
think it ever was correct, but it certainly is<br />
bogus today. People don’t have that time,<br />
and the viewing figures support that it is<br />
irrelevant. So today, really it’s 30 minutes,<br />
and it’s what you choose to do in those<br />
INTRODUCTION<br />
30 minutes. Increasingly what we’re<br />
seeing is that those 30 minutes are being<br />
filled by guests’ own content. It’s that “Let<br />
me be me for 30 minutes and make me<br />
feel human again. I think it’s a very<br />
important thing that we should focus on<br />
and try and satisfy. The ability to be able<br />
to tune into “u-tube” or the guest’s own<br />
DVR via Sling-box or other similar<br />
technology I think is also immense. Things<br />
that were considered teenage or geeky in<br />
the past are now very much mainstream.<br />
You have to be a little bit visionary, but<br />
you don’t have to be VERY visionary to<br />
figure out what people are doing today.<br />
You’ve just got to be open to it and<br />
understand that those expectations, if<br />
they’re met, contribute to your room rate<br />
and occupancy, and if they’re not met,<br />
contribute negatively to your room rate<br />
and occupancy.<br />
© photo: Mandarin Oriental<br />
www.cleverdis.com
© photo: Peninsula Group Hotels<br />
www.cleverdis.com<br />
Peninsula Group<br />
Fraser HICKOX<br />
General Manager<br />
Research and Technology<br />
Peninsula Group Hotels<br />
HTNG Director<br />
INTRODUCTION<br />
Interview with...<br />
Mr. Hickox has spent 21 years with the Peninsula Group, and established the Technology Laboratory in<br />
Aberdeen, Hong Kong, where the Peninsula's guest-room technology is developed and refined for use<br />
exclusively in their properties. He is responsible for the refurbishment of the Peninsula Hotels World-wide.<br />
Twenty years ago he opened Asia's first technology hotel, the Kowloon Hotel, with a network system linking<br />
all rooms to a central database and a fax server enabling their guests the opportunity of performing business<br />
functions in their guest rooms. Prior to joining Peninsula, Mr. Hickox worked in television and radio<br />
broadcasting, at an airline in Papua New Guinea, for a Japanese bank, with the Nauruan Government<br />
during the design and installation of a new country-wide telephone system, and on a development line in<br />
Taiwan to gain production line experience. Mr. Hickox was awarded a Ph.D. for his efforts in radio physics.<br />
He holds a number of accreditations from various institutions and is a Director of the China Light & Power<br />
Research Institute.<br />
When Hotels Lead the Way<br />
The Peninsula Group – at the Forefront of Hotel Technology Development<br />
Peninsula Group's design laboratory does research and development for technology to improve<br />
services in guest rooms and elsewhere in nine worldwide Peninsula hotels... This is somewhat<br />
unique in the industry... We asked Fraser Hickox to tell us about the most recent findings...<br />
We are working on a number of projects,<br />
some to be introduced immediately, some<br />
that will be introduced in time and others<br />
that may or may not ever be used. The<br />
technology is, as a matter of principal,<br />
discreet. It should touch the guests but not<br />
know them out. The greatest compliment<br />
we can receive is when our guest travels<br />
to a non-Peninsula and then realises what<br />
was missed.<br />
HDTV has reached critical mass in the US<br />
– what about Europe and Asia?<br />
It is slowly evolving in Asia... very slowly.<br />
Our broadcasters are still undertaking test<br />
transmissions although I understand there<br />
is a push in China in time for the<br />
Olympics. There are now some HD<br />
broadcasts in the US, but I suggest the<br />
European community is making greater<br />
inroads. However the key is content and<br />
not enough is yet available to satisfy the<br />
demand of the major networks, hence the<br />
proliferation of sport and reality<br />
programming.<br />
Hotel <strong>SMARTreport</strong> October 2007 – April 2008 / 9
<strong>SMARTreport</strong><br />
© photo: Peninsula Group Hotels<br />
What about flat panel TV’s?<br />
We’re pursuing a rapid programme to<br />
have flat panel televisions in all our guest<br />
rooms as quickly as possible. The trend is<br />
toward the use of IP rather than the<br />
modulated coaxial distribution still found<br />
in many hotels today.<br />
It's one thing to specify HD TV's, but what<br />
about getting them up on the walls... not<br />
all properties are suited to this... and<br />
what about cabling?<br />
I have heard of instances of flat panels<br />
falling off walls, but the real challenge is<br />
how to deal with these when not in use.<br />
One hotel in Vegas has a lift to the set<br />
emerges from a piece of furniture and<br />
when in operation sounds like a freight<br />
train, let alone what happens to anything<br />
left on top of the cabinet when the lift is<br />
activated. This is a problem for many<br />
hoteliers who have chosen in the past to<br />
use armoires and some attempts resemble<br />
British pub dart-boards, or are mounted<br />
directly on the wall, offering the incoming<br />
guest a view of a wad of cabling. The<br />
best example of a wall mounting that I<br />
have seen is the Mitsui Garden Hotel in<br />
the Ginza of Tokyo which was relatively<br />
simple but very clean. I look forward to<br />
the availability of OLED TV’s which will be<br />
considerably lighter, cooler and thinner.<br />
IPTV as part of triple play, along with<br />
internet radios... these are all part of your<br />
offering at a number of locations. You are<br />
cutting edge, but how quickly will these<br />
kinds of technologies totally take over<br />
from classic analogue delivery?<br />
Convergence is something we are all<br />
talking about in HTNG, the industry<br />
10 / Hotel <strong>SMARTreport</strong> • October 2007 – April 2008<br />
group of which we are part. Obviously if<br />
we can feed all-out telephony, Internet<br />
services, television, CCTV and guest room<br />
controls through one piece of fibre, this<br />
will give us greater flexibility in the future,<br />
not to mention realising considerable cost<br />
savings. Peninsula and Mandarin are<br />
early adopters of this technology, but we<br />
are taking measured steps. The use of this<br />
technology will become more prevalent in<br />
new builds, but it may take time in<br />
existing properties where its introduction<br />
INTRODUCTION<br />
would be associated with major<br />
refurbishments.<br />
What is the most important goal when it<br />
comes to in-room entertainment?<br />
At the soft opening of our Tokyo property,<br />
our interior designer spoke of the<br />
relevance of “touch and feel” in addition<br />
to the aesthetics and function. I believe<br />
whatever we do in the room should<br />
embrace this need, be it the music played<br />
in the bathroom when in the Spa mode,<br />
the lighting, and of course the<br />
entertainment. It’s interesting to hear that<br />
Sony are working on stimulating the<br />
brain’s cortex to deliver taste and smell<br />
and if successful will introduce a new<br />
dimension.<br />
You're working with Tangerine Global on<br />
CONTENT... tell us about that.<br />
Tangerine has given us an alternative to<br />
Hollywood. They are offering content<br />
covering a large range of subjects, be it<br />
the latest fast cars to yoga... all short<br />
segment, but a great alternative. While in<br />
“As a result of the HTNG meetings I went on<br />
to design the guest room phone that has a<br />
bluetooth capability. This allows for the<br />
phone to be paired with a guest's mobile so<br />
any incoming cell call can be picked up on<br />
any phone in the room (we have 6). The<br />
device is also equipped with a button so the<br />
guest can use Skype rather than PSTN to<br />
dial out… It is a great idea but needs more<br />
European hotel participation…”<br />
© photo: Peninsula Group Hotels<br />
www.cleverdis.com
© photo: Peninsula Group Hotels<br />
Tokyo recently I think I watched all the<br />
musical concerts under one of their<br />
segments.<br />
How important is it to tailor content to<br />
groups or local markets?<br />
Very important. Language is a major<br />
consideration but also there are cultural<br />
considerations. We are starting to see<br />
narrowcasting evolving in some parts of<br />
the world and we should provide access<br />
to this where possible.<br />
How do you expect TV and on-demand<br />
services to evolve in the next years?<br />
I believe the nature of on-demand and<br />
even local broadcasting will change in<br />
the next five years. We will want to watch<br />
programming from where we want when<br />
we want. Sling media and location-free<br />
technology already makes this possible<br />
and will challenge traditional thinking<br />
and distribution. I know of a hotel under<br />
construction in the Philippines that hopes<br />
to provide for their American clientele<br />
who stay for two or more weeks at a time<br />
to watch their home sling box which will<br />
www.cleverdis.com<br />
offer better programming than they can<br />
offer from local cable TV systems. The<br />
limiting factor in many countries today is<br />
the cost of bandwidth, however the<br />
Philippine carrier is willing to consider<br />
bandwidth on demand. It’s only a matter<br />
of time before others will start to consider<br />
these options.<br />
What about telephony? This has been a<br />
bugbear in hotels for many years...<br />
In Tokyo, we installed our own IP<br />
telephone system as part of a converged<br />
network. Our IT people are now<br />
reviewing this to see how we can improve<br />
this further in the other properties.<br />
Certainly it can represent a considerable<br />
saving. The biggest challenge was that<br />
the pricing for these switches is based on<br />
the number of licences, and with six<br />
telephones in each room, we were<br />
particularly battered. However I believe<br />
there is a move afoot to modify the<br />
costing to a per room basis. This is<br />
potentially a very competitive business<br />
and I predict we will see the cost of<br />
hardware fall considerably to make it<br />
attractive to hoteliers who now consider<br />
INTRODUCTION<br />
the service as a loss leading “must have”.<br />
Furthermore in Tokyo, where GSM is not<br />
used, we have provided for a handheld<br />
that may be used in the hotel using the wifi<br />
network and around the city with<br />
charges being transferred to the guest’s<br />
folio immediately.<br />
A couple of years ago, you underlined<br />
that "we are a people business, and while<br />
technology offers great opportunity it is<br />
the outstretched hand of the hotelier that<br />
consummates the relationship." With the<br />
onset of "you are a number"<br />
technologies, do you feel this is even<br />
more important today?<br />
Absolutely. Hospitality is about being<br />
hospitable. We welcome our guests as we<br />
would to our own home. The technology<br />
certainly facilitates a stay, but does not<br />
replace the familiar face and the personal<br />
concern of our staff to serve our guests to<br />
the best of their ability.<br />
Our chairman takes a very close interest<br />
in all aspects of the guest experience and<br />
will pursue the finest detail to ensure it is<br />
the best.<br />
Hotel <strong>SMARTreport</strong> October 2007 – April 2008 / 11
Evolving gently with time…<br />
The Ultimate in Dynamic Aesthetics –<br />
adding value to any Plasma or LCD TV.<br />
Each one of these digital works is a<br />
“creative matrix” that informs and<br />
regenerates its surrounding environment.<br />
... welcome to the wonderful<br />
world of ArtDisplay...<br />
bringing art and emotion<br />
to your walls.<br />
www.artdisplay.fr
IN-ROOM<br />
ENTERTAINMENT<br />
In this section, we look at In-Room Entertainment . Here, the biggest challenge is finding a<br />
partner that really has the vision to deliver the next generation services that are required by<br />
today’s guests. Many hotels are still stuck in the “Hollywood and Adult” model, neither of which<br />
are entertaining in the context necessary for a hotel. What we need is a complete rethink. There<br />
are some new, smaller players out there today, and the future looks interesting. Whether they<br />
can get sufficient foothold to make really significant advances in a landscape dominated by a<br />
few large players who have vested interests in not moving as fast as the hotels would like, that’s<br />
another thing. In terms of the key movements we see, HDTV is one of those movements, but HD<br />
as part of a digital TV. It is part of a digital TV experience, and the move from analogue to<br />
digital is the fundamental shift. To go from an analogue world to a digital world and all that this<br />
means in terms of off-air television, is a huge jump, but it’s a jump that has already been made<br />
by the consumer. If you have a television in your home today, the odds are that you have a<br />
digital feed, whether it be over cable or satellite or terrestrial and you have a wide-screen LCD<br />
or plasma TV with HDMI inputs... The consumer at home has already made that jump and many<br />
of them have augmented their environment with a large number of channels and with a widescreen<br />
TV and DVR with time shift. There is a huge expectation that walks into our rooms every<br />
day and unfortunately in the majority of hotels it’s an expectation that simply isn’t met. The<br />
notion that “We’re an international hotel and we provide CNN, so if you speak English, you<br />
can watch CNN... that should be good enough for you...” It’s simply a notion that’s invalid<br />
today.<br />
Frankly, today when you’re coming from your home environment and you walk into a hotel, it’s<br />
often pretty sad. Among the hotels there are leaders. I think the Mandarin Oriental is one of<br />
those leaders and today we are opening a hotel after renovation in Munich that will have 800<br />
TV channels and they will all be digital. Ease of selection then becomes a huge issue... the<br />
channel up, channel down surfing model soon breaks down even if it ever was the right thing<br />
to do. But assuming you know something about the guest... either you know who they are very<br />
explicitly, or implicitly you know their language, their ethnicity and where they’ve come from<br />
and so on, you can make some fairly astute choices for them and present channels which you<br />
think they’re going to like. I may be just as simple as organising the channel-order so you put<br />
Japanese channels at the top for a Japanese guest. That may be sufficient...<br />
Nick Price
<strong>SMARTreport</strong><br />
14 / Hotel <strong>SMARTreport</strong> • October 2007 – April 2008<br />
IN-ROOM ENTERTAINMENT<br />
Pacific Media Predicts Rapid<br />
Growth for Hospitality HDTV Sales<br />
Large flat panel models provide competitive advantage<br />
Rosemary Abowd<br />
Pacific Media Associates Vice President<br />
In a US-only survey, Pacific Media<br />
Associates have been tracking some<br />
important trends which are of course not<br />
specific to hotels on the other side of the<br />
pond. We thus felt it was very interesting<br />
for hoteliers in all parts of the world to get<br />
wind of this survey. In the study released<br />
in May 2007, PMA reported that flat<br />
panel televisions for the hospitality market<br />
in the Americas accounted for 29% of unit<br />
sales of all professional displays 30” or<br />
larger in 2006. This proportion is forecast<br />
to swell to 40% in 2007.<br />
“The hospitality segment is gaining<br />
importance in the professional flat panel<br />
market,” according to Rosemary Abowd,<br />
Pacific Media Associates Vice President.<br />
“For the moment, a plasma or LCD HDTV<br />
is still a competitive advantage for the<br />
premier properties, but guests will soon<br />
come to expect it as a standard amenity,<br />
much like broadband Internet access.”<br />
Unit sales of in-room hospitality HDTVs<br />
increased 17% from 2005 to 2006, and<br />
are forecast to grow another 23% this<br />
year. The forecast for 2008 calls for<br />
nearly a one-third increase over this<br />
year’s sales<br />
These figures only include models 30” or<br />
larger, equipped for in-room<br />
entertainment. In its coverage of the<br />
professional flat panel market, Pacific<br />
Media includes other hospitality<br />
applications such as digital signage or<br />
public video displays, which are<br />
increasingly popular in hotels and sports<br />
arenas.<br />
“Hotel and motel properties in the lower<br />
tiers are using smaller screen sizes in their<br />
rooms,“ according to Abowd. “These<br />
installations are more price sensitive, and<br />
often use standard consumer models<br />
without any of the extra in-room<br />
hospitality features such as pay-per-view.<br />
These applications will also result in<br />
significantly more sales in the coming<br />
years.”<br />
www.pacificmediaassociates.com<br />
www.cleverdis.com
IN-ROOM ENTERTAINMENT<br />
The TV of the Future<br />
The Consumer TV Wish-list Helps Build the “wow factor” into your rooms<br />
Imagine the day when finding favourite<br />
TV programming is as easy as saying “TV,<br />
tune in the Super Bowl, please” or “TV,<br />
please find me a great action movie to<br />
watch!” Voice recognition is just one of<br />
the gee-wiz features that top consumer<br />
wish lists according to a new poll<br />
conducted by HDTV leader Westinghouse<br />
Digital Electronics, one of the top four<br />
LCD TV manufacturers in the U.S.<br />
Respondents came up with a wide variety<br />
of coveted features when asked, “If you<br />
could design a TV yourself, what would<br />
you add?” Top answers included:<br />
www.cleverdis.com<br />
• Voice recognition<br />
• Touch Screen<br />
• 120hz Refresh Rate<br />
• Wireless<br />
• Energy Conservation<br />
• Built In DVR<br />
• Built In DVD<br />
• Bluetooth<br />
Rey Roque, Vice President of Marketing at<br />
Westinghouse Digital Electronics, states,<br />
”We are always fascinated and<br />
enlightened by the comments and<br />
suggestions we get from our users -- and<br />
we encourage the dialog on an ongoing<br />
basis. Tomorrow’s realities always start<br />
with today’s dreams and desires, and<br />
these insights will inform our product and<br />
feature planning over the years to come.”<br />
More than 1200 consumers responded to<br />
the Westinghouse Digital HDTV Insights<br />
poll, which tapped their input on a<br />
number of hot-button issues of interest to<br />
HDTV users. The results will be issued on<br />
a regular basis.<br />
* The NPD Group/Retail Tracking Service,<br />
based on unit sales, from January through July<br />
2007.<br />
Internet TV ‘Gold Rush’<br />
Advertising revenues on track for $10bn worldwide<br />
Internet TV advertising could achieve<br />
revenues of up to $10bn worldwide by<br />
2011, according to a new industry report<br />
from Understanding & Solutions. This<br />
equates to 18% of the Internet advertising<br />
market for that year, forecast at $57bn.<br />
Delivery of television content over the<br />
Internet is nothing new, with a whole host<br />
of websites across the globe providing<br />
hundreds of free TV channels, many of<br />
which are pirated or re-transmitted without<br />
permission. However, there is an Internet<br />
TV ‘gold rush’ in progress, as mainstream<br />
broadcasters, cable networks and TV<br />
content producers move their content<br />
online alongside a new raft of legitimate<br />
‘Webcasters’ (Internet Video and TV<br />
aggregators) like Joost, Vudu and<br />
Babelgum. “The level of penetration<br />
already achieved by Internet video is mindblowing,”<br />
says John Bird, Principal<br />
Consultant with Understanding & Solutions.<br />
“Globally, we estimate there are more than<br />
20 billion videos being streamed across<br />
the web each and every month. In the US<br />
alone, active Internet video users are<br />
streaming an average of 55 videos per<br />
month – and this is just the beginning.”<br />
“Internet TV will challenge the traditional<br />
broadcast industry through rights<br />
distribution, on-demand content versus<br />
linear broadcast and the generation of<br />
advertising revenues,” says Alison Casey,<br />
Business Director: Content & Services,<br />
Understanding & Solutions. “The<br />
competitive structure of the market will be<br />
under threat as new ‘Webcasters’ compete<br />
with conventional broadcast channels for<br />
audiences and advertiser money. The<br />
national boundaries which govern<br />
broadcasting today will also be challenged<br />
by the global nature of the Internet, as has<br />
been the case with e-Commerce.” Going<br />
forward, Broadband Service Providers,<br />
who are on fixed revenue models, will<br />
need to invest in more infrastructure as and<br />
when high quality Internet TV and online<br />
film distribution becomes widespread,<br />
raising issues of higher consumer tariffs<br />
and possible revenue sharing with content<br />
owners.<br />
Hotel <strong>SMARTreport</strong> October 2007 – April 2008 / 15
<strong>SMARTreport</strong><br />
Interview with...<br />
Markus HIEBELER<br />
CIO<br />
16 / Hotel <strong>SMARTreport</strong> • October 2007 – April 2008<br />
Tel.: +4316986442-1100<br />
E-mail: m.hiebeler@deuromedia.com<br />
www.deuromedia.de<br />
<strong>Deuromedia</strong><br />
IN-ROOM ENTERTAINMENT<br />
New Levels of Personal Service for Your Guests<br />
<strong>Deuromedia</strong> Interactive Platform<br />
In the classic media such as radio and TV, picture and sound<br />
quality have improved greatly in the past few years, but<br />
compared with the revolution every couple of months in the<br />
computer market, the end equipment has been the same for a long<br />
time. So now it's time to take the next step here too. We asked<br />
Markus Hiebeler, CIO of <strong>Deuromedia</strong>, how he sees the roadmap<br />
for the industry...<br />
Indeed, our media landscape is changing.<br />
Many new terms and buzzwords are<br />
becoming familiar: convergence, digital<br />
TV, multimedia, UMTS, Internet and lots<br />
more. All the familiar digital information<br />
channels are merging – the boundaries<br />
between the Internet and television are<br />
vanishing. The key to this is the rapid<br />
transfer of large quantities of data via<br />
broadband technology. Satellites already<br />
provide us with reliable broadcasters.<br />
Other methods of transfer will become<br />
established in the future, e.g. UMTS or<br />
cable networks such as xDSL. As a modern<br />
entertainment system it offers all<br />
possibilities of multimedia entertainment<br />
which guests are knowing from private and<br />
public service providers. Hoteliers combine<br />
these services into their performance<br />
spectrum to offer a high level of experience<br />
and personal service to their guests. The<br />
main benefit for the hotel market is the total<br />
integration of TV broadcast, radio, PayTV,<br />
hotel services, local information services,<br />
shopping, gaming, private and business<br />
communication, served over a modern<br />
system platform. International TV- and<br />
radio broadcasting via satellite are usable<br />
for guests by a comfortable and easy<br />
electronic program guide (EPG). High<br />
speed Internet access and voice over IP is<br />
integrated.<br />
Main features offered by the<br />
deuromedia system...<br />
TV and Radio server: All international<br />
Free To Air channels and Radio stations<br />
receivable via Satellite are presented in<br />
each guest room.<br />
Audio on demand jukebox: Usable for<br />
guests like music CD albums, selected in<br />
several genres, delivered from a digital<br />
server. Same functionality as video<br />
library.<br />
Internet for business guests: High speed<br />
internet access should be a standard<br />
service of each hotel. Surfing and e-mail<br />
by guests notebook computers (CAT5<br />
wired connection or WLAN) is available<br />
in each guest room, in each open area<br />
and all conference rooms.<br />
Internet for leisure guests: High speed<br />
Surfing and e-mail over TV screen by<br />
infrared remote control in the guest room<br />
is available.<br />
Communication VoIP: Voice over Internet<br />
Protocol (VoIP) technology allows to deal<br />
with international Telcos and offer<br />
attractive pricing to the guests.<br />
Other Services:<br />
• In-room shopping • In-room gaming<br />
• DVD player<br />
• Hotel services (An electronic concierge<br />
functionality with services like personal<br />
welcome, wake up call, Video<br />
checkout, messaging)<br />
• Regional information services (weather<br />
forecast, event calendar, traffic info,<br />
ticket services and cultural city program<br />
guide)<br />
• Interface to Property management<br />
system<br />
• Independent of TV manufacturers (All<br />
TV sets (analogue CRT, digital LCD or<br />
Plasma) are usable via serial interface<br />
RS232)<br />
• Independent of hotel infrastructure<br />
(Integrated in hotel network: CAT5/7,<br />
COAX star topology, combination<br />
CAT5 / COAX)<br />
For further information please visit<br />
www.deuromedia.de<br />
© photo: <strong>Deuromedia</strong><br />
www.cleverdis.com<br />
© photo: <strong>Deuromedia</strong>
Licence to Screen<br />
Interested in screening films?<br />
© photo: Filmbank<br />
Guests are more discerning about their<br />
entertainment choices than ever before,<br />
they value their leisure time and<br />
appreciate the highest standards of inroom<br />
hotel entertainment – whether<br />
staying for business or pleasure.<br />
To show a film outside the home<br />
however, you need permission from the<br />
owner of the copyright (the studio) and<br />
for most of the major Hollywood studios,<br />
as well as some of the leading<br />
independents. The non-theatrical market<br />
covers any area that falls between the<br />
cinema and home where films are<br />
screened, for example: schools, film<br />
www.cleverdis.com<br />
societies, coaches, restaurants,<br />
town halls, and more. Permission<br />
must thus be obtained from a<br />
“middle man” company such as<br />
Filmbank. Filmbank Distributors, a<br />
joint venture between Warner Bros<br />
and Sony Pictures, is one of the<br />
leading non-theatrical film<br />
distributors outside North America,<br />
representing most of the major<br />
Hollywood and independent film<br />
studios in the area of film licensing<br />
outside the cinema and home.<br />
Filmbank offer two types of<br />
screening licences:<br />
1) The Public Video Screening<br />
Licence<br />
An annual licence entitling holders<br />
to screen unlimited films throughout<br />
the year to a non-paying audience.<br />
2 The Single Title Licence<br />
A licence issued on a title-by-title<br />
basis, allowing the licence holder<br />
to screen films in either commercial<br />
(paid audience) or non-commercial<br />
(free of charge) environments. The<br />
release dates for a film (in the<br />
cinema, then non-theatrical, then<br />
on video, then on TV services)<br />
change for each film and are called<br />
windows. Many films are available<br />
for a non-theatrical screening before<br />
they come out on video. These are<br />
Filmbank’s Box Office titles.<br />
The latest in-room<br />
entertainment technology<br />
As a leading international distributor of<br />
licensed films, Filmbank is able to supply<br />
films in formats for entertainment<br />
technologies such as Video on Demand<br />
in hotels, which offers guests a premium<br />
choice of films to watch when they want<br />
to watch them. Filmbank works closely<br />
with many licensees (suppliers of in-room<br />
entertainment systems) on the<br />
IN-ROOM ENTERTAINMENT<br />
development of digital content to provide<br />
fully interactive Video on Demand.<br />
For detailed information on the titles<br />
Filmbank can offer your hotel please<br />
contact Sam Partner on<br />
Tel.: +44(0)207 984 5975<br />
e-mail: sam.partner@filmbank.co.uk<br />
or contact your existing technology<br />
provider.<br />
Hotel <strong>SMARTreport</strong> October 2007 – April 2008 / 17<br />
© photo: Filmbank<br />
© photo: Filmbank
© photo: Media Communications<br />
MCOM HOTstream represents the highest<br />
level of innovation and reliability in hotel<br />
in-room entertainment. HOTstream<br />
delivers Video On Demand, free & pay<br />
TV channels, games, access to internet<br />
and email and novel hotel and travel<br />
interactive TV services, designed to meet<br />
the growing needs of the demanding and<br />
exceptional traveller. Its main features<br />
include:<br />
• State-of-the-art High Definition IPTV<br />
technology platform<br />
• Innovative travel content and TV<br />
programming<br />
• First-run movies from Hollywood and<br />
independent studios<br />
www.cleverdis.com<br />
Media Communications<br />
Costas SAKELLARIOU<br />
CEO<br />
Tel.: +302106839454<br />
E-mail: costas@mcoms.com<br />
www.mcoms.com • www.hotstream.eu<br />
• Industry-first Hotel VOD multilingual<br />
subtitling service<br />
• Customization and adaptation to the<br />
needs of each hotel<br />
MCOM HOTstream transforms the hotel<br />
rooms into advanced media & internet<br />
service centers. Moreover it links the room<br />
TVs to the hotel PMS, reservations,<br />
reception, restaurants, bars, spas, stores<br />
and other hotel facilities, increasing the<br />
revenues from the hotel infrastructure.<br />
What new initiatives do you have<br />
planned for your hotel's technology?<br />
MCOM is dedicated to offer state-of-theart<br />
technologies to the leading hotels of<br />
the world. MCOM was among the first to<br />
offer a VC-1/MPEG4 IPTV platform and<br />
the first to combine it with VOD<br />
multilingual subtitling service for the<br />
hospitality industry. Currently our R&D<br />
Department is finalizing our High<br />
Definition service that will allow the hotels<br />
to benefit at last from the new HD-ready<br />
LCD TVs they are currently installing. We<br />
are continuously focusing in bringing the<br />
changing home and office environment of<br />
the guest in the hotel room TV set or the<br />
guest’s mobile devices. Our new 3.7<br />
version includes an instant messaging<br />
application in the Internet on TV<br />
HOTstream portal, allowing guests to chat<br />
through their preferred service, without<br />
the need of their laptops. We are working<br />
IN-ROOM ENTERTAINMENT<br />
Interview with...<br />
MCOM – First to offer a VC-1/MPEG4 IPTV platform with a VOD<br />
multilingual subtitling service to the hospitality industry...<br />
The new version 3.7 of the MCOM HOTstream Interactive TV hospitality platform has just been<br />
released for all system packages, Basic, Standard and Seven Stars. We asked Costas Sakellariou,<br />
CEO of Media Communications (MCOM) to give us a behind-the-scenes look at the system...<br />
also on the popular social networking and<br />
VoIP services. A continuous initiative for<br />
new developments is the HOTstream<br />
Platinum support program, which allows<br />
the hotel to request the development of<br />
new Hotel Interactive TV services at no<br />
additional cost. All the new services, new<br />
features and updates are offered without<br />
charge to the members of the Platinum<br />
program, enabling the hotels and their<br />
guests to enjoy the latest system and<br />
services enhancements.<br />
How do you see the future in hotel<br />
technology progressing?<br />
As an in-room infotainment technology<br />
provider, MCOM focuses on IT and<br />
media technologies. In this area we will<br />
see very soon a quad play integration of<br />
video, internet, voice and hotel related<br />
services in the room TV set, allowing for<br />
unified messaging and billing, as well as<br />
for guest self-service online transactions<br />
with all hotel facilities (reservations,<br />
reception, restaurants, bars, spas, stores<br />
etc). These developments will increase the<br />
“infotainment” revenues from packages of<br />
movies, internet and voice calls, as well<br />
as the “other” hotel revenues from the<br />
restaurants, bars etc.<br />
Media Communications S.A.<br />
Tel.: +302106839454<br />
E-mail: info@mcoms.com<br />
www.hotstream.eu<br />
Hotel <strong>SMARTreport</strong> October 2007 – April 2008 / 19
<strong>SMARTreport</strong><br />
© photo: Otrum<br />
20 / Hotel <strong>SMARTreport</strong> • October 2007 – April 2008<br />
IN-ROOM ENTERTAINMENT<br />
Convergence – In Room Centric<br />
Trends in Hotel Technologies - The vision of a market leader<br />
In their last annual report, Otrum, known throughout the business for their in-room technology<br />
solutions, gave their “point of view” as to the current state of affairs and the outlook for the<br />
industry. We are pleased to be able to reproduce this extract from Otrum’s annual report in this<br />
<strong>SMARTreport</strong>.<br />
Digital TV becomes the<br />
standard<br />
During 2007 we will see the first<br />
European country completely switch off<br />
analogue terrestrial TV transmissions.<br />
Finland may well be the first, but there is<br />
a long list of countries to follow soon after,<br />
with most of Europe completing the<br />
analogue switch off by 2010-2011. In<br />
place of the old analogue TV signals, we<br />
will see the broadcast of digital TV in the<br />
form of DVB-T. Digital TV offers the viewer<br />
a highly improved audiovisual<br />
experience, with crystal clear picture and<br />
sound quality, complimented by a range<br />
of additional services sent along with the<br />
program broadcast.<br />
For the hotel, some focus is required to be<br />
prepared for this digital revolution. Being<br />
prepared is not necessarily expensive, it<br />
just means that any new equipment<br />
should be chosen for its upgradeability<br />
when DVB standards become<br />
mainstream. In the consumer environment,<br />
it is an easy procedure to add a new set<br />
top box and remote control in the living<br />
room, but obviously this is not a cost<br />
effective solution for the hotel room.<br />
Many hotel TVs today include DVB<br />
receivers as standard, but for those hotels<br />
which do not install DVB ready TVs,<br />
Otrum can provide cost efficient retrofit<br />
solutions to enable digital TV to be shown<br />
on the existing TV in the room. Although<br />
the DVB protocol has become a standard<br />
for the transmission of digital TV over<br />
terrestrial, cable and satellite networks, it<br />
is also possible to exploit the benefits of<br />
an IP infrastructure inside the hotel.<br />
IPTV allows digital TV broadcasts to be<br />
transmitted across the hotel’s IP data<br />
networks. Some new hardware is needed<br />
in the room, and of course some new<br />
head-end infrastructure, however IPTV is<br />
certainly on the roadmap for most<br />
international hotel chains in 2007. IPTV<br />
offers a fully digital experience for the<br />
guest, while giving the hotel much better<br />
control of the service delivery to the<br />
rooms.<br />
HD - High Definition<br />
During 2006, the hotel market saw an<br />
explosive growth in the number of new<br />
LCD screens installed in hotel rooms, with<br />
most new hotel installations taking only<br />
LCD screens for the guest rooms. All LCD<br />
screens delivered today carry the HD-<br />
Ready ‘logo’, certifying that they are<br />
100% ready for the transition to High<br />
Definition signals.<br />
2007 is seeing the launch of interactive<br />
HD platforms for the hotel business,<br />
allowing the in-room display of high<br />
definition movies, HDTV, interactive<br />
menus and of course the ‘true’ Internet on<br />
TV experience. HD is built for widescreen<br />
LCD displays, and it only makes sense to<br />
use the right content on these new LCD<br />
screens.<br />
The industry is just waiting for the content<br />
and transmission costs to reduce to a<br />
more affordable level, however<br />
widespread uptake of HDTV in the<br />
consumer market will see these content<br />
and transmission costs dropping to an<br />
affordable level in the very near future. As<br />
with DVB, some focus is required to be<br />
prepared for HD content – meaning that<br />
any new equipment should be chosen for<br />
its upgradeability.<br />
www.cleverdis.com
© photo: Otrum<br />
Centralised marketing<br />
Centralised marketing offers many<br />
advantages to hotel chains and individual<br />
hotels, allowing authorized personnel to<br />
create marketing campaigns, special<br />
offers, as well as advertising hotel and<br />
third party services via the in-room TV.<br />
This can be achieved through<br />
personalised welcome messages, pop up<br />
messages and information channels.<br />
Ultimately, centralised marketing will<br />
positively impact the hotel brand.<br />
Centralised marketing tools allow staff to<br />
plan and execute chain-wide or region<br />
specific marketing campaigns. For a<br />
chain-wide promotion, the central<br />
marketing team can develop a<br />
standardised template according to brand<br />
standards and this template can then be<br />
released to the regional property base.<br />
The centralised marketing team retain all<br />
ownership and control of the promotion,<br />
such as timeframes and pricing, or can<br />
allow the regional marketing teams to<br />
have full control.<br />
Through the use of a centralised<br />
marketing campaign, hotels can schedule<br />
time-sensitive campaigns (e.g. Easter,<br />
Christmas, summer, etc.). Through the onscreen<br />
marketing function, a chain can<br />
ensure that all hotels offer the same<br />
promotions over the same period of time,<br />
and that the parameters of the campaign<br />
fall within the specifications set centrally.<br />
By putting the hotels online, this gives the<br />
central marketing team simultaneous<br />
access to control the distributed hotel<br />
screens. This enables full monitoring of ongoing<br />
campaigns and concise<br />
comparisons of marketing initiatives<br />
within individual hotels, ultimately<br />
resulting in the possibility to share<br />
competencies and best practices across<br />
the entire chain.<br />
www.cleverdis.com<br />
Digital signage<br />
Information sharing is, and always will<br />
be, a critical factor in the successful<br />
operation of a hotel. By providing clear<br />
information in key areas of the hotel, such<br />
as the lobby, reception desk and<br />
conference areas, guests will have a<br />
sense of confidence in the hotel and there<br />
will be a reduction in the number of<br />
questions to the reception desk and hotel<br />
staff.<br />
Digital signage is an attractive and simple<br />
way to display information to guests, the<br />
total solution consists of highly visible<br />
screens placed in key areas and a PCbased<br />
update tool that is simple enough<br />
for all staff to use. Hotels can use digital<br />
signage in its simplest format, or enhance<br />
the total information experience with<br />
screens showing hotel details, current<br />
promotions, airline information and an<br />
infinite number of novel applications. At<br />
the same time, the hotel can promote their<br />
brand by using a customised template<br />
including corporate colour schemes and<br />
logos for on-screen use.<br />
Conference hotels can benefit further, with<br />
details of conferences taking place and<br />
the location, delegate information and<br />
special information from the conference<br />
organisers. Conference organisers can<br />
utilise dedicated screens to provide<br />
information to their delegates, such as the<br />
IN-ROOM ENTERTAINMENT<br />
agenda, meal times and important<br />
messages.<br />
Hotels can enhance their security<br />
procedures by adding information that is<br />
displayed in any type of emergency; this<br />
could be information regarding the nature<br />
of the emergency, evacuation procedures<br />
or directional arrows to show the guest<br />
the nearest emergency exit.<br />
Customisation and Brand<br />
Awareness<br />
Without doubt, all guests will either turn<br />
on the in-room TV during their stay, or<br />
look at a public area TV while walking<br />
through the hotel. This contact with the<br />
guest should be used by the hotel or chain<br />
to maximise the brand awareness of the<br />
hotel. On-screen customisation is a huge<br />
opportunity for promotional brand<br />
building, direct marketing, and<br />
strengthening the hotel's image. Hotels<br />
and hotel chains should look to develop a<br />
user interface that suits their needs and is<br />
visually pleasing for the guest.<br />
The choice also comes down to corporate<br />
colours, infusing elements of your<br />
corporate websites and utilising common<br />
visual component to promote your brand,<br />
as well as providing a user-friendly<br />
interface for your interactive TV system.<br />
Hotel <strong>SMARTreport</strong> October 2007 – April 2008 / 21<br />
© photo: Otrum
<strong>SMARTreport</strong><br />
Interview with...<br />
22 / Hotel <strong>SMARTreport</strong> • October 2007 – April 2008<br />
Quadriga Worldwide Ltd<br />
Ian CRABB<br />
Chief Executive Officer, Quadriga Worldwide Ltd<br />
Tel.: +44 (0) 1189 306030<br />
E-mail: ian.crabb@quadriga.com<br />
www.quadriga.com<br />
Appointed as CEO in 2004 – Previously with Permira and formerly CEO of<br />
IKON Office Solutions Europe.<br />
IN-ROOM ENTERTAINMENT<br />
Meeting New Guest Entertainment Demands<br />
The Trends – Tracked by Market Giant QUADRIGA<br />
In the increasingly demanding world of in-room entertainment, customers are seeking more depth<br />
and breadth of content, while at the same time hotels seek to differentiate through brand equity.<br />
As a long standing provider of both entertainment and Internet solutions to hotels, Quadriga are<br />
well placed to see how hoteliers’ requirements within these areas are changing. We asked Ian<br />
Crabb, CEO of Quadriga, to explain Quadriga’s strategy and how the company aims to meet guest<br />
demands for the future.<br />
Central to Quadriga’s strategy and<br />
product development is the ability to<br />
provide hotels with tangible benefits –<br />
enabling them to optimise guest<br />
satisfaction and generate additional<br />
revenue. We achieve this by anticipating<br />
and responding to:<br />
1) the evolving needs of our hotel<br />
customers<br />
2) the evolving expectations and<br />
requirements of the hotel guest<br />
3) rapid developments in technology,<br />
content and distribution channels<br />
In terms of entertainment, a key priority<br />
for hotels is to respond to guests’ growing<br />
demand for more depth and breadth of<br />
content – not only for more blockbuster<br />
content but also local content from<br />
national studios and shorter / “snacking”<br />
content for those guests who have a<br />
limited time in their room. Additionally as<br />
hotels increasingly segment their own<br />
products to appeal to different guest<br />
profiles we are being asked for content in<br />
specific genres and languages. Hoteliers’<br />
demands for internet solutions are also<br />
changing. High Speed Internet Access is<br />
an essential requirement and now as a<br />
key driver of guest satisfaction, hotels are<br />
searching for ways to improve their<br />
offering. Security and reliability are<br />
important considerations and have to be<br />
considered with guests demand for more<br />
bandwidth as they access more<br />
bandwidth hungry websites. Increasingly<br />
hotels are also discussing the merits of<br />
“free” internet provision to their guests<br />
and all of this has to be delivered in such<br />
a way that the overall guest experience is<br />
the most positive. In addition to the trends<br />
within Quadriga’s traditional service<br />
areas, we are also seeing hoteliers<br />
harnessing digital technology to bring<br />
benefits to their guests in other public<br />
areas, for example through digital<br />
signage solutions.<br />
One of the most significant changes we’re<br />
experiencing is an intense demand across<br />
© photo: Quadriga Worldwide Ltd.<br />
www.cleverdis.com
© photo: Quadriga Worldwide Ltd.<br />
all hotel segments, not just in the 5 star<br />
category, for brands to increasingly<br />
differentiate themselves and here the inroom<br />
TV is considered a powerful sales<br />
and marketing tool. Hoteliers are looking<br />
for every opportunity to reinforce their<br />
brand, their services, their loyalty<br />
programmes and their third party partners<br />
and suppliers like Quadriga, need to be<br />
positioned to enable their hotel customers<br />
to do this.<br />
Finally, to avoid dealing with multiple<br />
suppliers for a growing number of<br />
services, which can be both costly and<br />
time consuming, hotels will increasingly<br />
seek to work with just one supplier and as<br />
part of this they will request faster, on-line<br />
access to performance data and service<br />
information and statistics.<br />
So what exactly are guests now doing<br />
differently?<br />
Today’s guest is an accomplished internet<br />
user. A reliable and robust service in the<br />
hotel is a ‘must have’ for the business and<br />
leisure traveller as their usage of the<br />
internet is changing. The guest not only<br />
needs access to office applications or to<br />
surf local information but they now need<br />
access to the increasingly popular brands<br />
– You Tube, Facebook and Messenger<br />
where content sharing and video<br />
www.cleverdis.com<br />
streaming is more commonplace and at<br />
the same time places more and more<br />
demand on hotel bandwidth.<br />
Also, with the introduction of devices<br />
which enable home TV to be watched<br />
from anywhere (e.g Slingbox), the hotel<br />
now provides an environment for “place<br />
shifting”. Guests can view their own<br />
content from home, using the hotel’s<br />
bandwidth – but this can cause<br />
bandwidth availability issues for the hotel.<br />
Additionally, both business and leisure<br />
guests alike are now carrying into hotels<br />
a range of personal devices, digital<br />
cameras, iPods, sophisticated mobiles<br />
and PDA’s or indeed devices which can<br />
perform all these functions in one.<br />
Consequently hotels want to enable<br />
guests to interface these devices as<br />
appropriate with the TV in the room. So<br />
all of this means that guests are<br />
demanding more choice of content and<br />
more control over how they watch or<br />
listen to it.<br />
Can you summarise the changes that you<br />
are seeing in other key areas of your<br />
business such as technology?<br />
Today, technology in hotels is evolving<br />
rapidly and bringing many new and<br />
additional benefits. Digitalisation is<br />
providing us with huge opportunities;<br />
IN-ROOM ENTERTAINMENT<br />
superb quality, a greater choice of ondemand<br />
content and services, DVD type<br />
functionality and the ability to integrate<br />
services e.g. laptop internet access and<br />
entertainment.<br />
With the analogue switch-off in Europe<br />
already underway – Finland switched off<br />
on 31 st August 2007 – hotels need to be<br />
‘digital-ready’. Digital TV provides the<br />
ideal solution, also allowing hotels to offer<br />
guests a choice of hundreds of TV<br />
channels in superb digital quality. TV and<br />
screen technology is advancing at a fast<br />
pace – Hotels are rapidly replacing<br />
conventional analogue CRT screens with<br />
digital flat panel LCD screens and<br />
manufacturers are integrating more and<br />
more functionality into the TV.<br />
The next major technology trend is ‘High<br />
Definition’ and this will have a major<br />
impact on the TV – by 2010 it is forecast<br />
that 12 million European TV households<br />
will receive HDTV programmes and watch<br />
them on HD-ready television sets. This will<br />
provide hotels with even more<br />
opportunities in the next few years.<br />
Can you outline your strategy for the<br />
future?<br />
Our customers are at the very centre of<br />
our strategy, now and in the future and<br />
we are working with them to deliver the<br />
real benefits of digital entertainment and<br />
internet solutions. Whether it is migrating<br />
customers from an analogue platform to<br />
Genesis, adding new services and<br />
capabilities to Genesis or supporting our<br />
customers as they adopt increasingly<br />
global strategies, meeting our hotel<br />
customers needs is our number one<br />
priority.<br />
We will continue to invest extensively in<br />
technology and new product development<br />
in order to leverage our European market<br />
leading position and offer business<br />
benefits and service differentiation to our<br />
customers. We are looking at new<br />
services for outside of the hotel room and<br />
developing additional functionality for<br />
Genesis, to optimise guest satisfaction<br />
and reinforce the hotel’s brand, providing<br />
customers with a truly compelling sales<br />
and marketing tool and essentially<br />
generating additional revenues for the<br />
hotel.<br />
Hotel <strong>SMARTreport</strong> October 2007 – April 2008 / 23
<strong>SMARTreport</strong><br />
Interview with...<br />
© photo: Quadriga Worldwide Ltd.<br />
Our scale is absolutely a key<br />
differentiator. Our launch of Genesis on a<br />
coax network infrastructure in 2005<br />
effectively enabled us to deliver a cost<br />
effective solution to all hotels – whatever<br />
their network or budget. Customer data<br />
proves that Genesis revenue achieved is<br />
typically 3 times higher than that obtained<br />
with traditional analogue systems – in<br />
fact, most recent data proves it to<br />
contribute substantially higher than 3<br />
times. This demonstrates how Genesis is<br />
designed not only to enhance the guests’<br />
24 / Hotel <strong>SMARTreport</strong> • October 2007 – April 2008<br />
Quadriga Worldwide Ltd<br />
Myron TATARYN<br />
Sales and Marketing Director, Quadriga Worldwide Ltd<br />
Tel. : +44 (0) 1189 306030<br />
E-mail: myron.tataryn@quadriga.com<br />
www.quadriga.com<br />
Appointed as Sales and Marketing Director in February 2005 – Previously<br />
Director and Head of Sales at Radianz bringing extensive experience providing<br />
IP connectivity, hosting services and new business solutions to multi-nationals.<br />
Involved in setting up global networks for the majority of the major international<br />
hotel chains.<br />
stay but at the same time, increase room<br />
revenues. A major differentiator is that<br />
Genesis is the only proven entertainment<br />
solution to offer a single, fully integrated<br />
internet and entertainment capability. This<br />
enables guests to benefit from ‘bundled’<br />
special offer pricing where all Genesis<br />
services can be purchased for a single<br />
preferential price.<br />
Last, but not least – our customers know<br />
we are here to stay. We have 25 years<br />
experience in the industry – we are<br />
IN-ROOM ENTERTAINMENT<br />
Massive Roll-out for Genesis System<br />
Full Integration of Internet and Entertainment Arrives!<br />
Quadriga’s Genesis system is today firmly established as an industry standard with over 130,000<br />
fully digital Genesis rooms across Europe and the Middle East – no other supplier is close to<br />
matching this scale in both high and mid market segments. We asked Myron Tataryn to explain<br />
the factors which differentiate Quadriga and the Genesis solution...<br />
proven and successful in over 50<br />
countries. We continue to invest<br />
extensively in our product, with our<br />
customers at the heart of everything we<br />
do. We enable hotels to keep pace with<br />
changes in their guest requirements and<br />
technology, and in effect, future-proof the<br />
Genesis solution for them. All of these<br />
factors mean our customers are confident<br />
in us as a long-term ‘business partner of<br />
choice’. This is what differentiates<br />
Quadriga.<br />
So what does Genesis offer a hotel<br />
today?<br />
In addition to the array of on-demand<br />
video and music entertainment, Genesis<br />
offers the hotel and its guests a choice of<br />
hundreds of superb quality digital TV and<br />
radio channels. Available on both coax<br />
and CAT5, HSIA (High Speed Internet<br />
Access) for laptop users is integrated into<br />
Genesis enabling guests to benefit from<br />
our “all services” bundle. HSIA is<br />
available using both wired and wireless<br />
connections and guests have the ability to<br />
roam seamlessly between the two<br />
environments so they don’t have to log in<br />
twice. The hotel is able to direct guests to<br />
a specific landing page to promote hotel<br />
www.cleverdis.com
services and credit card payment is also<br />
available. Guests not carrying a laptop<br />
are also able to access the internet via the<br />
TV.<br />
We’re also finding that Genesis is<br />
increasingly becoming a valuable sales<br />
and marketing tool for the hotel, helping<br />
them to reinforce their brand. Our Web<br />
Promotions service enables hotels to<br />
integrate web content directly into the<br />
Genesis menu promoting specific hotel<br />
services and special offers – thus<br />
communicating and interacting directly<br />
with their guests in the comfort of their<br />
room via the TV. Recognising the<br />
importance of the TV itself to the hotel we<br />
are extending our interactive range to<br />
incorporate models from top brands<br />
including Philips, B&O, LG and Samsung.<br />
Similarly, we recognise the significant<br />
potential of HD – we’re already installing<br />
HD ready TVs and are actively<br />
progressing a complete HD solution.<br />
Underpinning this and unique to<br />
Quadriga and Genesis, is the ‘NOC’<br />
(Network Operating Centre), a<br />
sophisticated customer support tool<br />
enabling us to proactively identify and<br />
solve potential problems before the<br />
hotelier or guest even becomes aware of<br />
them. It remotely monitors and checks all<br />
Quadriga digital-IP based hotel<br />
installations across Europe and the<br />
Middle East every 6 minutes, and<br />
provides hotel customers with real peaceof-mind.<br />
How are you developing your<br />
entertainment and internet offering to<br />
respond to the key market trends?<br />
Recognising its strategic importance to<br />
our customers we are working with our<br />
partners to provide an unrivalled depth,<br />
breadth and quality of choice of content.<br />
Quadriga is able to offer a wide selection<br />
of movie titles sourced from all the ‘Big 7’<br />
Hollywood studios, including Universal,<br />
Paramount, Dreamworks, Warner Bros.,<br />
Sony Pictures, Twentieth Century Fox, and<br />
Buena Vista International – through an<br />
established agreement with United<br />
International Pictures (UIP) and a recently<br />
signed agreement with Filmbank<br />
Distributors.<br />
We enable hotels to offer the best and<br />
most appropriate content selection<br />
through providing a range of packages<br />
www.cleverdis.com<br />
where the volume and mix of content can<br />
be matched to guest profiles.<br />
Additionally we are providing a greater<br />
variety of shorter programmes and local<br />
content. We have established<br />
relationships with more specialist studios<br />
– for example Canal Plus for local French<br />
content. With the expectation of a true<br />
‘home from home’ TV experience,<br />
hoteliers need to provide more TV choice<br />
from around the world. Genesis Digital TV<br />
provides exactly this, and is delivered in<br />
superb digital quality direct to the room<br />
with crystal clear digital sound.<br />
What about High Speed Internet Access?<br />
We provide over 65% of our customers<br />
with HSIA and as such it is a key area of<br />
development. It represents a major<br />
opportunity for our customers to drive<br />
additional revenues and is an important<br />
factor influencing customer satisfaction.<br />
When integrated with Genesis, we’ve<br />
found in city centre hotels for example, an<br />
uplift in guest room revenue of nearly<br />
80%. We are partnered with industry<br />
leading SolutionInc, and are working with<br />
them to provide new solutions for our<br />
hotel customers to optimise their guest<br />
experience. Our future offer is influenced<br />
by the growing demand of guests to<br />
access more bandwidth intensive<br />
applications as well as the growing<br />
recognition in Europe of hotels wanting to<br />
offer ‘Internet for free’. This could lead to<br />
hotels offering lower levels of bandwidth<br />
IN-ROOM ENTERTAINMENT<br />
for free as well as a chargeable, more<br />
superior service with higher bandwidth<br />
levels.We also recognise the requirement<br />
for internet solutions tailored for the<br />
growing hotel conference business, with<br />
multi-user access codes and the ability to<br />
direct delegates to a specific portal for<br />
promotional purposes and conference<br />
information.<br />
Can you tell us about other areas of<br />
development?<br />
Building on the success of our Web<br />
Promotions tool it is our intention to further<br />
expand upon the many customisable<br />
components of Genesis; for example by<br />
providing further flexibility and branding<br />
capabilities within Genesis itself and<br />
utilising web based applications with Web<br />
Promotions. We know hoteliers require an<br />
array of multimedia components from<br />
music, video and internet links to be used to<br />
promote their brands and sell services and<br />
these are components that we would aim to<br />
accommodate in future development.<br />
For further information visit<br />
www.quadriga.com<br />
Hotel <strong>SMARTreport</strong> October 2007 – April 2008 / 25<br />
© photo: Quadriga Worldwide Ltd.<br />
© photo: Quadriga Worldwide Ltd.
<strong>SMARTreport</strong><br />
CASE STUDY<br />
A Taste of Genesis<br />
The S Group<br />
During July and August 2007 Quadriga<br />
installed its Genesis solution including<br />
Digital TV in to over 2100 rooms in<br />
Sokos, Holiday Club and Radisson SAS<br />
Hotels in Finland. In addition to the well<br />
established on-demand Genesis<br />
entertainment and internet services, Sokos<br />
guests are also benefiting from an<br />
unlimited choice of superb quality digital<br />
TV and radio channels, now an essential<br />
component of their offer as analogue<br />
transmissions were turned off in Finland at<br />
the end of August. These digital channels<br />
also enable guests to access both teletext<br />
and subtitle functionality.<br />
26 / Hotel <strong>SMARTreport</strong> • October 2007 – April 2008<br />
Marriot Rive Gauche<br />
The Paris Marriott Rive Gauche Hotel and<br />
Conference Centre officially opened its<br />
doors to the public in May 2007<br />
following a major refurbishment which<br />
included the adoption of a range of hotel<br />
and guest services provided by<br />
Quadriga’s Genesis solution. As part of<br />
this refurbishment the Paris Marriott Rive<br />
IN-ROOM ENTERTAINMENT<br />
Roll-out of Quadriga’s Genesis Solution Hits Top Locations<br />
Quadriga solutions are today installed in 4000 hotels across Europe and the Middle East, with<br />
Genesis, the industry standard digital hotel entertainment and internet solution, live in over<br />
130,000 rooms – the largest installed base of true digital solutions in our industry. On this page,<br />
you can read about how Quadriga is working with some of its hotel customers, delivering<br />
entertainment and internet solutions to enable them to provide the best possible guest experience<br />
and achieve real competitive advantage.<br />
© photo: the S Group<br />
© photo: Marriot Rive Gauche<br />
Gauche chose to use sales and marketing<br />
tools available within Genesis including<br />
the recently introduced Web Promotions.<br />
This enabled it to integrate its own<br />
website content into the Genesis main<br />
menu on the TV in order to promote its<br />
hotel services and Marriott Reward<br />
loyalty scheme directly to each guest in<br />
the comfort of their room.<br />
Luiten Van der Valk Beheer<br />
Luiten Van der Valk Beheer B.V, a Van der<br />
Valk Hotels group recently decided to<br />
upgrade its analogue Pay TV system in<br />
some of its hotels to a fully digital Genesis<br />
entertainment and internet solution. This<br />
decision reflected their desire to<br />
modernise the in-room entertainment<br />
service and to offer the ultimate guest<br />
experience, with a wider and more<br />
flexible range of service options and<br />
stylish and contemporary flat-screen TVs.<br />
It also reflected their confidence in<br />
Quadriga as a reliable partner. Following<br />
a successful installation in 3 or 4<br />
properties, Genesis was installed in a<br />
total of 10 hotels and over 1500 rooms –<br />
providing Luiten Van der Valk Beheer with<br />
the ability to deliver an outstanding guest<br />
experience, offering a full range of<br />
services including a wide range of ‘ondemand’<br />
entertainment as well as HSIA<br />
and Internet on TV. Consequently,<br />
revenues are up significantly in the<br />
installed hotels and Genesis virtually sells<br />
itself, making the investment a profit<br />
centre as well as a sales tool.<br />
www.cleverdis.com
IN-ROOM ENTERTAINMENT<br />
Quadriga Worldwide Ltd KEY FIGURES<br />
Belonging to: Quadriga Holdings Limited<br />
Legal form: Limited Company<br />
Year of creation: 1964<br />
Headquarters : Theale, Berkshire, UK<br />
CONTACTS<br />
COMPANY PROFILE<br />
Quadriga is the market leader in Europe and the<br />
Middle East in the provision of state-of-the-art<br />
digital-IP based entertainment and internet<br />
services for business and leisure guests staying<br />
in hotels, with over 130,000 fully digital<br />
Genesis rooms, more than 415,000 total<br />
installed rooms and an annual audience of<br />
some 100 million guests. The company<br />
operates in over 50 countries throughout Europe<br />
and the Middle East and serves a substantial<br />
share of the room base of Europe’s leading hotel<br />
chains including InterContinental Hotels Group,<br />
Accor, Starwood Hotels & Resorts, Marriott<br />
International, Hyatt, Best Western International,<br />
Four Seasons, Hilton, Le Meridien, Rica Hotels<br />
and Sol Melia.<br />
KNOW HOW & MAIN<br />
PRODUCTS<br />
Provision of entertainment and internet services<br />
delivered to the hotel guest via the TV and<br />
computer laptop, enabled through digital-IP<br />
technology and satellite content delivery<br />
allowing hotels to generate revenue, reduce<br />
costs and encourage guest loyalty.<br />
www.cleverdis.com<br />
Number of staff / offices Europe: 321<br />
Number of offices Worldwide: 50+<br />
Ian CRABB<br />
Chief Executive Officer, Quadriga Worldwide Limited<br />
ian.crabb@quadriga.com<br />
Number of rooms under contract: More than 415,000<br />
Number hotels under contract: circa 4000<br />
Appointed as CEO in 2004 – Previously with Permira and formerly CEO<br />
of IKON Office Solutions Europe.<br />
Myron TATARYN<br />
Sales and Marketing Director, Quadriga Worldwide Limited<br />
myron.tataryn@quadriga.com<br />
Appointed as Sales and Marketing Director in February 2005 – Previously<br />
Director and Head of Sales at Radianz bringing extensive experience<br />
providing IP connectivity, hosting services and new business solutions to<br />
multi-nationals. Involved in setting up global networks for the majority of the<br />
major international hotel chains.<br />
Marc BUDIE<br />
Director of Technology, Quadriga Worldwide<br />
marc.budie@quadriga.com<br />
Joined in 1997 – extensive knowledge and experience of both the hotel<br />
sector and interactive digital technology. Previously, 20 years technical<br />
industry experience in a variety of technology, networking, software<br />
development and delivery roles.<br />
Genesis is the first fully digital-IP based<br />
entertainment and internet services solution<br />
developed specifically for the hotel industry.<br />
With content delivered via satellite, Genesis<br />
offers a unique and comprehensive array of<br />
guest services. These include the latest<br />
blockbuster movies and popular music<br />
selections, available ‘on-demand’, an unlimited<br />
choice of digital TV and radio channels and<br />
Internet on TV or high speed internet access for<br />
laptop users using either wired connection or<br />
WiFi, through a partnership with market leading<br />
HSIA provider, SolutionInc. To further enhance<br />
the guest experience, a comprehensive range of<br />
flat-panel LCD screens is offered and a unique<br />
Network Operating Centre provides proactive<br />
monitoring and support, ensuring peace of mind<br />
for every hotel customer.<br />
PARTNERS<br />
• SolutionInc - High speed internet access<br />
services<br />
• Philips and B&O - Suppliers of interactive<br />
screens<br />
• Globecast - Distributors of content by satellite<br />
• Cisco Systems - Network / switch specialists<br />
• IBM - Provision of processor units<br />
HOTEL ENTERTAINMENT &<br />
INTERNET SERVICES<br />
www.quadriga.com<br />
REFERENCES<br />
Forum 1 - Station Road,<br />
Theale, Berkshire<br />
RG7 4RA<br />
United Kingdom<br />
Tel. : +44 (0) 1189 306030<br />
Fax :+44 (0) 1189 033970<br />
Quadriga works with many of the leading<br />
hotel brands across Europe and the<br />
Middle East including:<br />
InterContinental Hotels Group, Accor,<br />
Starwood Hotels & Resorts, Marriott<br />
International, Hyatt, Best Western<br />
International, Four Seasons, Hilton, Le<br />
Meridien, Rica Hotels and Sol Melia.<br />
Hotel <strong>SMARTreport</strong> October 2007 – April 2008 / 27<br />
© photos: Quadriga Worldwide Ltd.
<strong>SMARTreport</strong><br />
NxTV, Inc., who claim to be the “first and<br />
largest provider” of Internet Protocol<br />
Video on Demand (IP VOD) and<br />
interactive digital IP-based in-room<br />
entertainment and technology solutions in<br />
the hospitality industry, have announced<br />
they have earned HTNG certification for<br />
'single guest itinerary' display<br />
functionality. NxTV is the first and only inroom<br />
entertainment provider to comply<br />
with HTNG industry standards that<br />
enable NxTV to interface with other<br />
certified third-party systems to display<br />
guest reservation information including<br />
hotel check-in and check-out, spa<br />
appointments, golf tee times and<br />
restaurant reservations on hotel room<br />
televisions. One of HTNG's primary<br />
missions is to help the industry by creating<br />
new software standards enabling different<br />
hotel systems, which previously could not<br />
communicate with each other (or at most<br />
in a very limited manner), to connect and<br />
share guest-related data, opening up the<br />
flow of information between systems and<br />
enabling new and innovative services to<br />
hotel operators and guests. "HTNG's<br />
Property Web Services workgroup<br />
members invested hundreds of hours to<br />
28 / Hotel <strong>SMARTreport</strong> • October 2007 – April 2008<br />
create the 'single guest itinerary' standard<br />
and indeed, NxTV should be<br />
congratulated as the first company to<br />
certify against this new specification,<br />
other than companies directly involved in<br />
its creation," said Douglas Rice, Executive<br />
Vice President and CEO of HTNG. Barry<br />
Shuler, President of HTNG commented,<br />
"With standardized products, hotel<br />
operators are able to install new systems<br />
at their properties and be confident they<br />
will integrate with existing systems and<br />
technologies." NxTV's IP VOD system<br />
allows hotel owners to take full advantage<br />
of new technologies today and in the<br />
future. Designed specifically to carry<br />
digital information securely, an IP<br />
infrastructure is the only way to operate<br />
on a converged network. Without an IPbased<br />
solution, even the digital VOD<br />
systems on the market today are not<br />
scalable or capable of integration with<br />
other hotel applications on a converged<br />
network. NxTV's system runs over the<br />
hotel's existing converged IP network,<br />
which enables the property to<br />
communicate with a wide variety of inroom<br />
technologies without the cost and<br />
effort of installing and maintaining<br />
separate networks for each hotel<br />
technology. "The number one technology<br />
trend in hospitality today is the transition<br />
from analogue legacy systems to digital<br />
converged communications<br />
platforms," said<br />
Russell P. Reeder,<br />
President and<br />
COO of NxTV.<br />
"NxTV's versatile<br />
IP platform<br />
enabled us to<br />
easily adapt to<br />
HTNG's global<br />
industry standards<br />
that establish crosssystem<br />
communication<br />
IN-ROOM ENTERTAINMENT<br />
NxTV First of Kind to Earn HTNG Certification<br />
for Guest Itinerary Display on Hotel Televisions<br />
Leading IP provider, NxTV is only in-room entertainment vendor to win certification<br />
Russell P. Reeder<br />
President and COO of NxTV<br />
© photo: NxTV<br />
to benefit operators and guests." Reeder<br />
noted that the FCC's mandate that all<br />
television broadcasters must transition to<br />
digital content delivery by February 2009<br />
necessitates that hotels must rethink their<br />
digital entertainment strategy. "IP is the<br />
future of technology delivery for the<br />
hospitality industry and many hotel<br />
operators and chains are already making<br />
the decision to upgrade to IP-network<br />
systems that provide the benefits of a<br />
converged network platform," Reeder<br />
said. NxTV has been delivering IP-based<br />
in-room services to its<br />
customers for almost a<br />
decade.<br />
With converged IP<br />
networks, HD VOD,<br />
IPTV Free to Guest<br />
content, high-speed<br />
Internet access and<br />
communication with minibar,<br />
Voice over IP,<br />
reservation and POS<br />
systems all utilize one<br />
multi-application IP<br />
network for greater cost<br />
savings, reliability,<br />
improved applications<br />
integration, scalability and<br />
increased operator<br />
revenue.<br />
www.cleverdis.com
NxTV, Inc., currently claiming to be the<br />
world’s biggest provider of Internet<br />
Protocol Video on Demand (IPVOD), IPTV<br />
and interactive digital IP-based in-room<br />
entertainment and technology solutions in<br />
the hospitality industry, will be supplying<br />
a wide range of in-room entertainment<br />
services featuring high-definition IPVOD,<br />
for the new Trump International Hotel &<br />
Tower Chicago.<br />
www.cleverdis.com<br />
The property is scheduled to open in<br />
December 2007.<br />
“NxTV was selected for Trump<br />
International Hotel & Tower Chicago<br />
because they are the largest and most<br />
experienced provider of IP guest<br />
entertainment systems to the hospitality<br />
industry worldwide,” said Jerry Chang,<br />
Director of IT for Trump International<br />
Hotels Management.<br />
“Delivery of entertainment via a<br />
converged IP network is the<br />
future of guestroom<br />
technology and our<br />
research has shown that<br />
NxTV provides the clearest<br />
picture and widest range of<br />
content,” Chang added.<br />
NxTV is providing digital<br />
high definition IP VOD<br />
services for all 339 hotel<br />
rooms in the mixed-use<br />
development that includes<br />
hotel suites and residences.<br />
Russell P. Reeder, President and<br />
COO of NxTV, said, “Guests<br />
who stay at any Trump luxury<br />
hotel property expect the very<br />
best, and NxTV’s extensive suite of<br />
ultra-crisp HD IPVOD entertainment<br />
and other personalized video<br />
services consistently exceed<br />
expectations.” NxTV stores its content<br />
on the hospitality industry’s highest<br />
capacity digital entertainment servers and<br />
delivers VOD movies to guest rooms via a<br />
hotel’s converged IP network to best serve<br />
guest needs while maximizing revenuebuilding<br />
opportunities for its clients.<br />
NxTV’s lineup features more than 250<br />
movies on demand, the largest selection<br />
in the industry, including recent<br />
Hollywood blockbusters, episodes of<br />
IN-ROOM ENTERTAINMENT<br />
Trump International Hotel & Tower Chicago Installs Next<br />
Generation HD IP Video on Demand Entertainment Services<br />
Guests to receive NxTV 100% digital HD VOD content delivery<br />
popular television shows, family content<br />
and smaller box-office independent films.<br />
The 92-story Trump International Hotel &<br />
Tower, designed and engineered by<br />
Skidmore Owings & Merrill, has a<br />
building area of 2.6 million gross square<br />
feet and is located on the site of the<br />
former Chicago Sun-Times building. The<br />
new $740 million complex features 486<br />
ultra-luxury residential condominiums,<br />
from studios to three-bedrooms, as well as<br />
up-to-five-bedroom penthouses. In<br />
addition, the Trump International Hotel<br />
features 339 luxury hotel one- and twobedroom<br />
suites.<br />
CONTACTS:<br />
estern@nxtv.com<br />
http://www.nxtv.com<br />
CASE STUDY<br />
Hotel <strong>SMARTreport</strong> October 2007 – April 2008 / 29<br />
© photo: Trump International Hotel & Tower
www.cleverdis.com<br />
© photo: Premiere Hoel Entertainment<br />
Today it is essential… and creating this<br />
added value is precisely the challenge<br />
that we as a service provider have set<br />
ourselves. It is no longer enough to offer<br />
mere pay TV or TV systems - our role in<br />
the future will be that of a professional<br />
media partner offering intelligent,<br />
networked entertainment and marketing<br />
solutions from a single source. And<br />
Premiere Hotel Entertainment GmbH<br />
(PHE) is positioned excellently to do just<br />
that. As a subsidiary of Germany’s<br />
leading pay-TV group Premiere, we are,<br />
of course, in a very good position: we<br />
are able to profit from the competence,<br />
experience and support of our parent<br />
company. PHE is actually among the first<br />
to reflect the altered market conditions in<br />
its business model, and we are one of the<br />
few companies to offer hotels an<br />
integrated portfolio which goes far<br />
beyond classic pay TV. Another<br />
emerging development is the increasing<br />
significance of new technologies such as<br />
IP. In combination with classic TV<br />
entertainment, a new dimension of<br />
Internet infotainment is opening up which<br />
can be adapted to the individual needs<br />
of the specific hotel and which facilitates<br />
innovative sales and marketing activities<br />
within the hospitality industry. However,<br />
Premiere Hotel<br />
Entertainment<br />
Tonio FRUEHAUF<br />
Vice President Hotel & Gastronomy<br />
let me point out that we don’t only cater<br />
for high-end customer needs, we actually<br />
offer a wide range of hotel solutions to<br />
suit very individual requirements. This<br />
includes attractive, affordable<br />
entertainment packages in the low-end<br />
and middle-class sectors. In terms of<br />
future trends, we also see exclusive<br />
content such as live sports and HDTV<br />
become an increasingly important factor<br />
with which hotels can differentiate<br />
themselves from the competition.<br />
What about convergence?<br />
Convergence is a crucial topic. Whether<br />
we’re talking about in-room<br />
entertainment, telephone services, billing<br />
or Internet applications in hotel rooms,<br />
the future clearly belongs to a mix of<br />
web-based and classic hotel<br />
entertainment. In other words, our vision<br />
for the future is to offer hotels an effective<br />
combination of web-based entertainment,<br />
classic TV solutions with first-class content<br />
and value-added services.<br />
Please tell us about your offer.<br />
As already mentioned, PHE offers much<br />
more than just pay TV. Exclusive program<br />
IN-ROOM ENTERTAINMENT<br />
Interview with...<br />
The Shift from Pay TV Provider to<br />
Veritable “Media Partner”<br />
The hospitality industry is on the verge of a paradigmatic shift. The close cooperation of Premiere<br />
Hotel Entertainment with hoteliers gives them an insight into the pace the hotel market is taking on:<br />
faster than ever before… and the fact that the competition is getting ever harder. We asked Tonio<br />
Fruehauf how important it is today for hotels to stand out from their competitors and attract guests<br />
through real added value.<br />
content, complete TV and IP-based system<br />
solutions, covering the whole spectrum<br />
from high-end to basic, and a broad<br />
selection of various TV equipment are<br />
things which we regard as standard. And<br />
this allows us to respond to the increasing<br />
multi-media expectations of hotel guests.<br />
But we aren’t just focused on the latest<br />
technology; we are also committed to<br />
multi-media value-added services. These<br />
services all focus on making in-room<br />
entertainment a profitable business – and<br />
a real asset for guests.<br />
Innovative online platform:<br />
www.premiere-hotel.de<br />
© photo: Premiere Hoel Entertainment<br />
Hotel <strong>SMARTreport</strong> October 2007 – April 2008 / 31
<strong>SMARTreport</strong><br />
CASE STUDY<br />
Surprising Guests with Simplicity,<br />
32 / Hotel <strong>SMARTreport</strong> • October 2007 – April 2008<br />
IN-ROOM ENTERTAINMENT<br />
Quality and Quantity (of channels)<br />
Le Byblos – St Tropez<br />
Stéphane Personeni<br />
Hotel Director – Le Byblos, St Tropez<br />
Le Byblos sets itself apart by not only<br />
being a fabulously luxurious hotel on the<br />
French Riviera, but also through major<br />
annual refits, whereby sections are<br />
completely torn down, with everything<br />
rebuilt, from the wiring right up to the final<br />
finishing touches, with every room totally<br />
individual in character. This year, an allnew<br />
in-room entertainment system was<br />
installed that is leaving many a guest<br />
“gobsmacked”! We asked hotel director<br />
Stéphane Personeni to explain...<br />
We wanted to personalise the technology<br />
with the rooms, so we installed a new<br />
system designed and installed by Intens<br />
France. We chose 40 and 46 inch LCD<br />
Loewe TVs fed by IP distribution from a<br />
satellite system. This means we have more<br />
than 1,500 TV channels and on the TV<br />
you can also connect your i-Pod and use<br />
the TV as a sound system. If guests don’t<br />
have an i-Pod, we lend them one, with<br />
music from the “Cave du Roi”. The system<br />
is really excellent and very easy to use for<br />
the guest. In many hotels, the TVs are<br />
great, but they’re difficult to use. With the<br />
Loewe it is very easy and we can<br />
personalise the TV for the guest, meaning<br />
for example if you are Indian, when you<br />
press one you get the first Indian channel<br />
and so on. In this system you just have<br />
one menu, and if you want, for example,<br />
CNN, you just press “CN” and all TV<br />
stations starting with CN come up on the<br />
list. We also now have VOD via Internet<br />
which is a unique system designed by<br />
Intens. A number of channels are in HD,<br />
and the picture is fantastic! We are one of<br />
the first hotels to have such a<br />
sophisticated system.<br />
Does this surprise people?<br />
For the moment people are surprised<br />
because we are one of the only hotels to<br />
propose this, but I think it will become<br />
something normal. When you stay in a<br />
luxury hotel, you need to feel you’re at<br />
© photo: Le Byblos<br />
home, and I think with the music and the<br />
picture this helps. This year we will also<br />
add a new feature whereby you can<br />
leave your own picture (family, pets etc.)<br />
on the TV or use it as a computer. So we<br />
personalise the room with our ambience,<br />
but in the future it will be important to give<br />
the opportunity to the guest to customise<br />
the room with his own ambiance... either<br />
photos or music.<br />
How do you see the future?<br />
While the design of TV is excellent, the TV<br />
should become an artwork... like a<br />
painting, when not being used to transmit<br />
TV and video. The TV will also be used as<br />
a computer and we will be testing a new<br />
remote control which will give guests<br />
access to e-mail on an individual screen<br />
on the unit from anywhere in the hotel.<br />
For more information on the Intens system:<br />
Patrick Corchia<br />
pc@intensfrance.com<br />
Tel.: +33 4 72 17 04 09<br />
© photo: Le Byblos<br />
www.cleverdis.com
© photo: ArtDisplay<br />
The deluxe hotel trade has always been<br />
avant-garde when it comes to adding<br />
culture and ingenuity to their offering. The<br />
arrival of dynamic digital art onto the<br />
scene is no exception.<br />
Many establishments have created an<br />
audio/visual “ambience”. Thus has been<br />
spawned the role of “Sound Designer”,<br />
incarnated by Béatrice Ardisson in France<br />
with her work on an “audio identity” for<br />
such places as the Indian “Jaipur” lounge<br />
in the Vernet Hotel, the Fouquet’s<br />
Brasserie on the Champs Elysées, the<br />
www.cleverdis.com<br />
ArtDisplay<br />
Kong, the Bristol, le Crillon and the Louis<br />
Vuitton boutique.<br />
But today, sound is only one component<br />
of a digitally enhanced ambience. Going<br />
one step beyond this is a new art form<br />
which is beginning to appear in top-of-theline<br />
hotels. A pioneer in the field, the<br />
Mandarin Oriental is reported to be<br />
including dynamic digital art in its 48<br />
spacious rooms and 25 suites at the<br />
newly refurbished Mandarin Oriental in<br />
Munich. Nick Price, the charismatic CTO<br />
of the group, has been one of the first in<br />
the trade to recognise the attraction of<br />
including art on TV screens that would<br />
otherwise be somewhat unsightly when<br />
turned off, or which otherwise have to be<br />
hidden behind two-way mirrors or in<br />
motorised cabinets.<br />
In Paris, it was Raymond Visan (George V<br />
Group) who led the way, installing 4<br />
dynamic artworks in the Bound Bar in<br />
avenue Georges V. According to Visan, “I<br />
was looking for somebody who could<br />
create something that was fixed but that<br />
would change... but not like a video. I am<br />
against video in a restaurant. I think it’s<br />
better to have something like a painting or<br />
a photo ... to have something that<br />
changes but that you don’t see straight<br />
away. Everybody really loves it. People<br />
are curious and they look, and they really<br />
love it.”<br />
Patrick GOUBET<br />
Founder ArtDisplay<br />
patrickgoubet@artdisplay.fr<br />
IN-ROOM ENTERTAINMENT<br />
Interview with...<br />
One Step Beyond!!...<br />
DYNAMIC Digital Art in Hotels<br />
The “Creator” behind these works is<br />
Patrick Goubet, who has formed<br />
“ArtDisplay”, combining the talents of a<br />
number of artists with the advantage of<br />
digital technology – by “bringing the<br />
works to life”. Indeed, the works of<br />
ArtDisplay, virtual paintings or 3D<br />
sculptures, are unique in the way in which<br />
they “evolve” with time in such a way as<br />
to intrigue and fascinate the viewer, while<br />
not creating a distraction through the use<br />
of moving images such as video. Dynamic<br />
Digital Art may source existing traditional<br />
works, such as paintings, sketches,<br />
photos, engravings or texts, but may also<br />
be entirely conceived and made from<br />
digital sources (pictures and sounds made<br />
by computer)…<br />
Extra Dimension<br />
A new marriage has just been<br />
announced... that of dynamic digital art<br />
with an aural dimension. Idylle Production<br />
(see also interview in this section) has<br />
formed a partnership with ArtDisplay in<br />
order to add an extra dimension to these<br />
extraordinary works, imagining musical<br />
atmospheres to be included in the<br />
package!<br />
For further information, please visit:<br />
www.artdisplay.fr<br />
Hotel <strong>SMARTreport</strong> October 2007 – April 2008 / 33
<strong>SMARTreport</strong><br />
© photo: Chief Manufacturing<br />
Having flat screens on the wall is one<br />
thing, but their correct mounting is<br />
another matter. To this end, the mounting<br />
solutions should not be an afterthought,<br />
but should be an important part of your<br />
project. Innovative sleek designs, quick<br />
installations and integrated security are<br />
now within reach of all categories of<br />
hotels. So what are some of the main<br />
things to consider?<br />
Safety: The robustness and build quality<br />
of a screen mount must be such that under<br />
no circumstances could it come adrift and<br />
fall on someone... children are prone to<br />
pulling on anything they can reach, so on<br />
the one hand keep the screen out of the<br />
reach of children, but also be sure that the<br />
mounting solution is strong enough to<br />
withstand abuse.<br />
Security: Anti-theft mounts are essential.<br />
Aesthetics: This goes without saying... But<br />
why install highly aesthetic LCD or Plasma<br />
TVs with an ugly mount?<br />
Ease of Installation: If you have a large<br />
number of rooms, this will be a key factor<br />
in calculating real costs, as mounts that<br />
are “good value for money” but which<br />
take hours to install will cost more in the<br />
long run.<br />
34 / Hotel <strong>SMARTreport</strong> • October 2007 – April 2008<br />
Chief – Number one in<br />
Mounting Solutions – brings a<br />
broad range of solutions for<br />
hotel operators<br />
Rock-solid and flexible solutions for digital<br />
displays, hotel conference room projects<br />
and touch-screen applications where a tilt<br />
adjustment is needed are currently<br />
available from Chief.<br />
Chief's full line of wall-mounts for small,<br />
medium and large flat panels provide<br />
flexible mounting solutions using unique<br />
features such as<br />
• Rapid Level system for quick levelling of<br />
the screen<br />
• Open wall plate for quick cable access<br />
• Integrated lateral shift provides perfect<br />
position of the screen post-installation<br />
• Integrated security<br />
Flat panel mounting solutions include:<br />
• Fixed and tilt mounting solutions<br />
• Swing arm mounting solutions<br />
• Ceiling mount solutions<br />
• Projector mounting solutions<br />
Mounts provide maximum extension while<br />
remaining low profile when latched in the<br />
home position. Included features are:<br />
IN-ROOM ENTERTAINMENT<br />
Strength, Security and Aesthetics<br />
Important Factors to Consider when Choosing<br />
Display Mounts for Hotel Interiors<br />
• G-Force gravity-centered tilt system<br />
• CableTrac system for 'in-arm' cable<br />
management<br />
• Unmatched extension, remains low<br />
profile in home position<br />
The Q-Latch mounting system provides:<br />
• Integrated lateral shift, allows the<br />
screen positioning to be adjusted after<br />
installation<br />
• Integrated security<br />
Now You See It, Now You<br />
Don’t!<br />
Designer, decorative frames by Chief<br />
Manufacturing help flat panel technology<br />
blend seamlessly into any décor, while<br />
preserving viewing clarity. These designer<br />
frames are perfect for residential or highend<br />
commercial applications, including<br />
boardrooms, lobbies and bar/restaurant<br />
applications. Frames are available for<br />
32”, 42” and 50” flat panels. Chief’s<br />
Decorative Frames are constructed of high<br />
quality, real wood, and are offered in four<br />
different colour options: Black, Dark<br />
Pecan, Gold or Silver. An optional optical<br />
mirror kit can be ordered, giving the flat<br />
panel a reflective mirrored appearance<br />
when the flat panel is powered off.<br />
© photo: Chief Manufacturing<br />
www.cleverdis.com
© photo: Chief Manufacturing<br />
All frames include an easy-to-install<br />
Infrared Kit, allowing you to continue<br />
using your current television remote. The<br />
frames are quick to install with a<br />
convenient spacer to perfectly align the<br />
frame on the flat panel, while specially<br />
designed V-straps help secure the frame<br />
for a snug fit.<br />
Product Feature - Dual Arm TV<br />
Mount for Hotel Applications<br />
Chief’s “ultimate” mid-size wall mount –<br />
Chief JWD dual-arm wall mount for 26in-<br />
40in flat panel TVs, part of Chief's<br />
Cynergy Series, supports up to 34kg and<br />
installs in three easy steps. It has a simple,<br />
design with hidden hardware and broad<br />
range of motion for maximum flexibility.<br />
The JWD is part of Chief's new and<br />
innovative medium flat panel mounting<br />
solutions for 26in-40in TVs. Chief's<br />
exclusive Centris technology self-adjusts<br />
to support different TV weights and<br />
provides effortless, fingertip adjustments<br />
so you can position your screen to the<br />
perfect viewing angle. The JWD offers<br />
ultimate flexibility with a low-profile<br />
design that extends over 50cm for<br />
maximum range of motion.<br />
The JWD's teardrop hole pattern makes<br />
mounting the flat panel quick and easy.<br />
Plus, the wall mount hardware is<br />
completely hidden and cables are routed<br />
through a channel in the swing arm for a<br />
clean installation.<br />
www.cleverdis.com<br />
New Architect/Consultant<br />
Centric Website<br />
Chief has launched a newly designed<br />
website focused on the architect,<br />
consultant and interior designer. Chief<br />
works with you to integrate technology<br />
into your projects, respecting the integrity<br />
of the structure and overall design. One<br />
can find up-to-date information,<br />
specifications and drawings on the<br />
largest line of mounting solutions<br />
worldwide for flat panels and projectors.<br />
The site features a 'product specs' tab<br />
with downloads for CAD drawings and<br />
technical manuals. The FAQ section<br />
makes it easy to choose the right custom<br />
IN-ROOM ENTERTAINMENT<br />
or universal mount for your application.<br />
You can also register on the site to receive<br />
the latest news and product updates from<br />
Chief.<br />
Conference Rooms, Front and<br />
Back Office Applications<br />
Here again it is important to complement<br />
and increase functionality of LCD desktop<br />
screens, projectors etc., and it is vital that<br />
the mounts are compatible with all<br />
equipment used. For full information,<br />
please consult:<br />
http://www.hotelmanagementnetwork.com/contractors/interiordesign/chief3<br />
CONTACT<br />
Melinda von Horvath<br />
Tel.: +31 (0) 40 2668 620<br />
E-mail:melinda.von.horvath@csavinc.com<br />
www.chiefmfg.com<br />
Hotel <strong>SMARTreport</strong> October 2007 – April 2008 / 35<br />
© photo: Chief Manufacturing<br />
© photo: Chief Manufacturing
COMMUNICATION<br />
TECHNOLOGIES<br />
The hotel industry needs a wake-up call! If, ten years ago, hotels were receiving as much profit<br />
from their telephones as they do today, then telephones would not exist in a guestroom. They<br />
would never have been put in. You have all these companies today trying to sell a new version<br />
of what they did in the past, but they’ve completely missed the point that these telephones are<br />
there for one purpose only. On the cost side, we need to lower the costs of telephony to match<br />
the income stream we have. One of the ways you can do that in an IP environment is by<br />
reducing the number of handsets, because much of the costs is expressed in the handsets, while<br />
in the old analogue world, many of the costs were in the basement in a huge machine. How<br />
many handsets do we really need? Do we really need handsets in the bathroom? If there is just<br />
one, what should it be? It’s something worth considering. Customers simply no longer trust hotels<br />
to provide a telephone service at a known cost. One of the main uses of the little LCD screen<br />
on the phone should do that... to explain what the cost of the call will be, how much it is costing<br />
and how much it did cost. If you can do this, people will start using the phone again. If you<br />
pass on your cost reductions to the guest and show them you are doing that, you’ll do a lot to<br />
increasing trust. What we as hoteliers have failed to understand is that if someone mistrusts you<br />
sufficiently to avoid making a phone call on your in-room phone, then what do they think of your<br />
mini-bar, or your bar downstairs or your restaurant or spa? Surely they will have the same level<br />
of distrust!<br />
In terms of networks, the hotel industry has missed what’s been happening over the last ten<br />
years! If you just take a look at a PBX telephone system, there have really been three generations<br />
of modern telephone systems. You a wholly analogue product; you had a proprietary digital<br />
product and then now you have the IP product, and there has been transition between each one<br />
of those that has happened over the last 20 years. The proprietary digital product has really<br />
been available since the mid 90’s. But that product in the most part has been completely ignored<br />
by hotels which stayed with the analogue product because it was cheaper and because they<br />
were making a lot of money out of that expensive dial-tone, thank you very much! They didn’t<br />
really need to spend any more. The fact is today, if you were sensible and you were going out<br />
to buy a new PBX for a hotel, you really can’t buy an analogue PBX... they just don’t exist.<br />
They’re that old. So your choice is really one of buying a proprietary digital PBX or buying one<br />
of the open IP PBX’s. Frankly speaking I think it would be far more intelligent decision to buy an<br />
IP PBX today than it would be to take a proprietary digital model.<br />
Nick Price
<strong>SMARTreport</strong><br />
38 / Hotel <strong>SMARTreport</strong> • October 2007 – April 2008<br />
COMMUNICATION TECHNOLOGIES<br />
IP PABX: Stepping into the Future<br />
A White Paper by Percipia, Inc.<br />
For the past 30 years, the communication needs of the hospitality industry have been served by<br />
traditional telephone systems, referred to as PABXs (private branch exchanges, for language<br />
historians). These systems provide basic voice communication services to guests and staff.<br />
However, in the past few years, a new technology has appeared: IP telephony. It has the potential<br />
to dramatically change the role of telephony in hotels, and to reverse the decline of hotel telephony<br />
as a critical strategic component in a hotel’s revenue picture.<br />
In this paper we’ll take a look at both traditional and IP PABXs, focusing not so much on the<br />
technology as on the different impact that each can have on the success of a hotel business.<br />
© photo: Percipia<br />
www.cleverdis.com
In the interests of full disclosure, we want<br />
to make sure you realize that we have an<br />
axe to grind here: Percipia develops and<br />
sells hotel communication software for IPbased<br />
phone systems. We were the first<br />
company to introduce this technology into<br />
a hotel environment. We’re both the<br />
principal leader and cheerleader for IP<br />
telephony in the hotel industry, with<br />
18,000 rooms installed. Our customers<br />
include global luxury hotels and resorts,<br />
smaller boutiques, traditional properties,<br />
casinos and many more. Naturally, we<br />
think that IP telephony is the wave of the<br />
future. However, we also maintain<br />
traditional hotel phone systems, a<br />
business which continues to be important<br />
to us and our customers.<br />
Traditional PABXs in the Hotel<br />
Industry<br />
PABXs have played an extremely<br />
important role in the history of the hotel<br />
industry. Simply put, they gave hoteliers<br />
freedom from the phone company and<br />
hence control over their own destinies.<br />
This led to a long, glorious period in<br />
which phone revenues rose to become the<br />
2nd or 3rd line item on hotel income<br />
statements, just behind room revenues.<br />
The systems themselves were expensive,<br />
but they worked well and they paid for<br />
themselves in a few short years. It’s true<br />
that maintaining and repairing them<br />
required specialized and expensive skills<br />
but that was OK because the systems<br />
were money makers.<br />
In the late 80s, though, travellers began<br />
using alternatives to the in-room phone for<br />
their long distance calls. In the 90s this<br />
trend accelerated. Calling cards gave<br />
way to credit cards which have now<br />
given way to cell phones. The resulting<br />
decline in phone revenues has worked its<br />
way into the consciousness of every<br />
hotelier. Today it isn’t unusual to hear<br />
people in and around the industry<br />
speculating on the possibility of phoneless<br />
hotels, in which a guest arriving<br />
without a cell phone is simply handed one<br />
for the night.<br />
Today, PABXs look quite different from the<br />
way they looked even a decade ago. We<br />
still need them to open a new property:<br />
How would guests reach 911? How<br />
would they get their wake up calls?<br />
However, PABXs make no financial or<br />
www.cleverdis.com<br />
strategic contribution to the property. In<br />
addition, the cost of buying the system<br />
lengthens the breakeven period for a new<br />
property and the cost of supporting and<br />
maintaining it impacts operating profits.<br />
The best that can be said is that it’s a<br />
burden which everyone has to deal with<br />
equally, so at least there’s no competitive<br />
disadvantage in owning a PABX. Or is<br />
there?<br />
The IP Revolution<br />
Data communications based on internet<br />
protocol (IP) has emerged over the past<br />
decade to completely change the way<br />
information of all kinds is used, managed<br />
and communicated. Information in the<br />
form of voice, previously the domain of<br />
PABXs and the phone network, is no<br />
exception.<br />
The predecessor of today’s IP telephony<br />
technology first appeared as ‘voice over<br />
IP’ in the early 90s. At the time it was<br />
principally promoted as way of making<br />
cheap phone calls over the internet.<br />
Unfortunately, though, the internet wasn’t<br />
designed to carry voice traffic, so the<br />
quality of the connection was usually very<br />
bad. Many people still associate IP<br />
telephony with the experience of these<br />
early days. The fact is, though, that<br />
today’s IP-based phone systems (IP PABXs)<br />
provide a calling experience which at its<br />
best is far superior to that offered by<br />
traditional phone systems. The interest of<br />
most customers is no longer on how to<br />
beat long distance charges, but rather on<br />
reducing operating and support costs and<br />
on taking advantage of IP telephony’s<br />
tremendous potential for creating new<br />
customized services.<br />
COMMUNICATION TECHNOLOGIES<br />
IP-based systems have exploded onto the<br />
general market for business phone<br />
systems. Although they’re rather reluctant<br />
to say so in public, many manufacturers of<br />
PABXs have stopped development of their<br />
traditional models and directed all new<br />
R&D activities at mastering IP telephony<br />
technology.<br />
The IP Telephony Advantage<br />
This growth is being driven by a number<br />
of factors which distinguish IP PABXs from<br />
traditional systems.<br />
Single cable plant. A traditional PABX<br />
requires its own dedicated cable network.<br />
Since every property also requires a data<br />
communication network, hotels need to<br />
buy, install and maintain two completely<br />
separate cabling infrastructures. Each<br />
cable network is sophisticated, complex<br />
and requires extensive documentation.<br />
With an IP PABX, only one wiring<br />
infrastructure is needed. This single cable<br />
plant supports both voice and data<br />
communications. There are significant<br />
economic benefits related both to capital<br />
expense and ongoing maintenance, and<br />
these benefits are becoming even more<br />
compelling as in-room entertainment<br />
migrates to IP technology, allowing the<br />
elimination of the cable network for TV as<br />
well.<br />
Availability of maintenance expertise.<br />
Traditional PABXs are unique beasts<br />
technologically. Every manufacturer has<br />
its own proprietary software with its own<br />
unique administrative interface. What this<br />
means is that a technician trained on<br />
Mitel systems, for example, cannot<br />
support Avaya, and technicians trained<br />
on Avaya cannot support Nortel. As a<br />
© photo: Percipia<br />
Hotel <strong>SMARTreport</strong> October 2007 – April 2008 / 39
<strong>SMARTreport</strong><br />
© photo: Cisco<br />
result, people who support PABXs have<br />
become a very specialized breed. This<br />
can translate into higher costs and a<br />
limited talent pool. IP PABXs, in contrast,<br />
are designed to work as an integral part<br />
of a data network. It’s relatively easy for<br />
an individual with data network expertise<br />
to learn the incremental skills needed to<br />
manage and maintain an IP PABX. The<br />
reverse cannot be said of a phone system<br />
technician because the domains are quite<br />
different. The need for data networking<br />
expertise is widespread and very<br />
obvious, so many individuals possess<br />
these skills.<br />
Technology competitiveness. PABXs are<br />
designed to last for 10 to 15 years. This<br />
sounds very appealing, because data<br />
networks certainly are not. The flip side,<br />
though, is that a property which buys a<br />
traditional PABX is locked into PABX<br />
technology for that same 10 to 15 years.<br />
As we’ve mentioned above,<br />
manufacturers aren’t putting any more<br />
development resources into these<br />
products, so buyers will find themselves<br />
falling farther and farther behind their<br />
competitors who invest in IP-based<br />
systems, where the pace of innovation is<br />
feverish.<br />
Interchangeability of components. With<br />
traditional PABXs, components can’t be<br />
interchanged from one manufacturer to<br />
another. Mitel cards won’t work on Nortel<br />
systems; Avaya digital phones can’t be<br />
used with NEC. Once a customer chooses<br />
a manufacturer, he’s locked in for the<br />
useful life of the equipment. With IP PABXs<br />
the picture is different. The IP PABX is<br />
40 / Hotel <strong>SMARTreport</strong> • October 2007 – April 2008<br />
actually a controller which works with<br />
routers, data switches, gateways and IP<br />
telephones to provide voice<br />
communication services. All of these<br />
devices communicate with each other<br />
using internet protocol. This means that<br />
the controller can be one manufacturer’s<br />
product while the routers and gateways<br />
are another’s, with data switches and<br />
phones coming from yet a third or a<br />
fourth. The customer is not locked in to a<br />
single vendor, and as better products<br />
become available, possibly from<br />
companies which may not even exist<br />
today, they can be put into service with<br />
little or no disruption.<br />
Application possibilities. The openness<br />
described above, and the fact that the<br />
underlying data communication<br />
technology is based on internet protocol,<br />
means that innovative software<br />
companies like ours can create new<br />
services that run on or with IP PABXs.<br />
With an IP PABX, we and our customers<br />
can dream up and actually implement<br />
new guest and staff services which can<br />
bring the phone system back into the<br />
strategic and financial mainstream of the<br />
hotel.<br />
The New World of Services<br />
Our expectations of telephony in hotels<br />
have been lowered to the extent that all<br />
we demand of it is dial tone, wake up<br />
calls and similar services. But why<br />
shouldn’t we have higher expectations?<br />
Shouldn’t we expect it to help us sell<br />
rooms? To personalize our guest services?<br />
COMMUNICATION TECHNOLOGIES<br />
To bring in incremental revenues?<br />
Shouldn’t it give us a competitive<br />
advantage on RFPs? Communication is a<br />
central need of every human being.<br />
Instead of being a marginal service,<br />
almost an afterthought, shouldn’t our<br />
communication system help us build better<br />
bridges with our guests around their<br />
communication needs?<br />
IP telephony brings the toolset which<br />
makes this possible, and companies like<br />
ours use these tools to create the<br />
innovative services which are the promise<br />
of the technology. These are the basic<br />
building blocks of the new services, as<br />
provided by IP telephony.<br />
1. IP telephones.<br />
Many models come with screens capable<br />
of displaying visual content. Some offer<br />
colour, some touch screen capabilities.<br />
There are also programming tools which<br />
allow input to be collected from the user.<br />
What results is the possibility of creating<br />
interactive applications which can<br />
provide information to guests and provide<br />
many convenient self-service<br />
opportunities.<br />
2. Telephony interface software.<br />
This is a set of programming tools which<br />
allows an outside application to control<br />
what the IP PABX does and how it does it.<br />
For example, conference calling is a need<br />
which many hotel guests have. However,<br />
on most phones, people actually need to<br />
be trained the procedures for initiating a<br />
conference call, so it’s impractical to offer<br />
this as a service on guest room phones.<br />
With the interface software mentioned<br />
above, however, a programmer can<br />
create a conference calling application<br />
which guests will be able to use without<br />
any training, much as they can use hotel<br />
voice mail without any training.<br />
3. Superior data communication<br />
capabilities.<br />
IP technology excels at moving data<br />
transparently between systems which may<br />
be based on completely different<br />
operating systems and programming<br />
languages. In the hotel industry, systems<br />
have always had difficulty communicating<br />
due to proprietary interfaces,<br />
technologies and methods of<br />
communication. The result has been that<br />
hotel data and communication systems<br />
www.cleverdis.com
© photo: Percipia<br />
have been isolated and unable to share<br />
data with the richness and flexibility<br />
needed to offer dramatic new services. IP<br />
changes that through the use of XMLbased<br />
communication protocols. The<br />
group Hotel Technology Next Generation<br />
(HTNG – www.htng.org), of which we’re<br />
a charter member, is actively promoting<br />
inter-vendor cooperation using XML and<br />
other IP-based tools, and for the first time<br />
in the industry’s history it looks as though<br />
active and flexible data sharing are about<br />
to become the norm. These building<br />
blocks allow the creation of applications<br />
and services which address critical<br />
strategic and revenue-generating<br />
objectives.<br />
Attracting group business. Make your<br />
property more attractive to meeting<br />
planners by offering communication<br />
services that their clients can’t get from<br />
others in your competitive set.<br />
• Group directory<br />
As they check in, group members’ names<br />
appear in a list on the screens of IP<br />
phones. Only the members of the group<br />
see the list, and individuals can opt out if<br />
they don’t want their names to appear.<br />
Room numbers are not shown. By<br />
selecting a member’s name and pressing<br />
the ‘dial’ button, the guest can<br />
automatically dial the room of the<br />
colleague.<br />
• Group events<br />
Events scheduled for group members are<br />
listed on the screens of their phones.<br />
Each event is described and its location<br />
indicated, providing a convenient way for<br />
delegates to plan their time and navigate<br />
through the sessions.<br />
• Group text broadcasts<br />
Group leaders can send text messages<br />
automatically to the phones of all group<br />
members.<br />
www.cleverdis.com<br />
Recognize guests and up sell products<br />
and services. Use your special knowledge<br />
of the guest, as captured in the PMS user<br />
profile or other CRM type of system, to<br />
enhance your relationship and sell<br />
services, every time he or she picks up the<br />
phone.<br />
• Guest language<br />
All buttons, menus and displays<br />
automatically reset to the language of the<br />
incoming guest. Guests can also set the<br />
language of the phone independently,<br />
whenever they want.<br />
• Profile-enhanced call delivery<br />
When the guest calls room service, food<br />
and beverage preferences and food<br />
allergy information show up on the room<br />
service phone as the call is ringing in.<br />
The staff member can offer the guest a<br />
favourite wine or dish, or steer him/her<br />
away from a food which contains (for<br />
example) nut products. A call to the spa is<br />
delivered with information about spa<br />
preferences or spending patterns, a call to<br />
the pro shop is delivered with handicap<br />
information and so forth.<br />
Capture direct and indirect revenues by<br />
directing guests to internal amenities or<br />
outside businesses. Using the phone<br />
screen, promote your own services or<br />
those of merchant partners. A single press<br />
of the ‘dial’ button on the phone connects<br />
the guest with the service of interest. Bill<br />
your merchant partners for their listings.<br />
• Dining directory<br />
Let guests find the type of cuisine they<br />
want, then display descriptions from a list<br />
of establishments which you know to be<br />
worthy of referral.<br />
• Area attractions<br />
Provide a listing of attractions, along with<br />
descriptive information.<br />
• Rotating promotional display<br />
Use the display of the IP phone to rotate<br />
colour messages about services, catching<br />
the eye of the guest and drawing him or<br />
her to respond with a press of the ‘dial’<br />
button.<br />
Enhance your guest’s productivity and<br />
convenience with ‘always-on’ access to<br />
information. Using the IP phone screen,<br />
display useful information retrieved in real<br />
time from the internet or from other<br />
COMMUNICATION TECHNOLOGIES<br />
external sources. Unlike a TV or a laptop,<br />
the phone is always on and the<br />
information is always available.<br />
• Flight information<br />
Current flight times; delays.<br />
• Traffic delays<br />
Let guests verify the travel time to the<br />
airport so that they can decide how early<br />
to leave to catch a flight.<br />
• Stock prices<br />
Guests can determine current prices by<br />
entering a ticker symbol.<br />
• Current weather<br />
Guests can identify cities by name or<br />
postal code and get information about<br />
weather conditions and forecasts.<br />
Find out about guests’ concerns while<br />
there’s still time to fix problems. Guests<br />
can use an interactive ‘Guest satisfaction<br />
alert’ application on the IP phone to<br />
indicate their level of satisfaction or<br />
dissatisfaction with services offered by the<br />
property. If they indicate dissatisfaction,<br />
an immediate alert to management can<br />
be sent by email or pager. These are<br />
examples of the kinds of services which<br />
can be offered using IP telephony and the<br />
marriage it allows between information<br />
and action in very different kinds of<br />
systems. Most of these services, though<br />
not all, are actually installed and running<br />
in our current customer base.<br />
In addition to these services, which are<br />
applicable in most higher-end hotels,<br />
applications can be created to address<br />
the needs of specific types of hospitality<br />
establishment. These might include casino<br />
hotels, condo hotels, fractional ownership<br />
properties, resorts and more. Each of<br />
these has a distinct business model which<br />
demands different guest and staff<br />
services, or different implementations of<br />
common services.<br />
IP telephony technology offers the<br />
possibility of creating a diversity of<br />
services to meet the needs of these<br />
various segments of the industry.<br />
Traditional telephony, which can only<br />
deliver dial tone, cannot offer<br />
comparable strategic and financial<br />
benefits.<br />
Hotel <strong>SMARTreport</strong> October 2007 – April 2008 / 41
© photo: iBAHN<br />
Proprietary data is recognised as one of a<br />
company’s most valuable assets. More<br />
and more corporations are deploying<br />
Virtual Private Networks (VPNs) as a way<br />
of giving their employees a direct and<br />
secure tunnel to the corporate network via<br />
the internet whilst they are "on the road".<br />
VPN issues are a significant source of<br />
complaints among business travellers<br />
when using hotel networks that are not set<br />
up for VPN usage. Providers thus need to<br />
address VPN connectivity issues at hotels<br />
through private end-to-end network and<br />
corporate VPN certification services,<br />
meeting guests’ expectations more fully<br />
and noticeably improving results in guest<br />
satisfaction surveys.<br />
What is a VPN and why<br />
should I care?<br />
VPN is an acronym for Virtual Private<br />
Network. Although VPNs use public<br />
networks, they inherit the characteristics of<br />
a private network, thus the "Virtual"<br />
Private Network. A VPN provides a secure<br />
way to access network resources over the<br />
internet or other networks by allowing a<br />
person to connect to a remote network and<br />
become a node on that network and is<br />
usually used to give employees access to<br />
corporate resources while they are located<br />
in remote locations. VPN functionality is of<br />
www.cleverdis.com<br />
vital importance to some HSIA providers.<br />
At iBAHN installed hotels over 70% of a<br />
hotel’s business guests depend on VPN<br />
connections to their private networks while<br />
they are “on the road.” However, the very<br />
VPNs they depend upon to connect to their<br />
companies' networks can also cause<br />
serious connectivity issues with many hotel<br />
internet services. When guests cannot<br />
launch their corporate VPNs and connect,<br />
they are unable to complete their work.<br />
What is changing with VPN<br />
technology and how does it<br />
affect me?<br />
The way corporations conduct business<br />
continues to change. As more business<br />
travellers become mobile, the traditional<br />
lines of “inside the corporate network” vs.<br />
“outside the corporate network” have<br />
blurred. VPNs have provided mobile<br />
travellers with the means to connect<br />
securely to the corporate enterprise<br />
network remotely - mainly via their laptop<br />
computers. Today, the use of VPN<br />
technologies is expanding - and becoming<br />
more complex. VPNs are now used with<br />
new mobile communication technologies<br />
such as Smartphones. “Mobile VPNs are<br />
the future of remote access,” says Robert<br />
Whiteley, senior analyst for enterprise<br />
networking at Forrester Research. VPNs<br />
COMMUNICATION TECHNOLOGIES<br />
Virtual Private Networks<br />
Is YOUR Hotel Set-up for VPN Usage?<br />
“When guests cannot launch<br />
their corporate VPNs and<br />
connect, they are unable to<br />
complete their work.”<br />
are being tailored for these other mobile<br />
environments. With the introduction of<br />
new technologies and applications,<br />
companies will look for new tools to allow<br />
users to access a VPN solution with more<br />
devices and in more ways.<br />
So what does all this mean to<br />
hoteliers?<br />
Many hoteliers are unaware of the fact<br />
that for a VPN to function, it requires an<br />
individual Internet Protocol (IP) address for<br />
each VPN connection. Many HSIA<br />
providers have a limited pool of IP<br />
addresses to give hotels. Once the IP pool<br />
runs out, additional guests can no longer<br />
access their VPN – leaving them “locked<br />
out” of their corporate network. This<br />
shortage of individual IP addresses is<br />
made more critical by expanded use of<br />
Wi-Fi demand imposed by these new<br />
technologies. The “lock out” nightmare<br />
grows for both the guest and the hotelier.<br />
To summarize, all of the speed and<br />
security in the world doesn’t matter if a<br />
guest is unable to connect in the first<br />
place. From an hotelier’s perspective, it<br />
should be absolutely critical to provide<br />
guests with a network that is not only<br />
secure, but is capable of handling these<br />
emerging technologies.<br />
iBAHN offer free corporate VPN<br />
certifications. Find out more at<br />
http://www.ibahneurope.com/vpn.html<br />
Contact:<br />
E-mail: eurovpn@ibahn.com<br />
Tel.: +44 (0)870 1500 111<br />
Hotel <strong>SMARTreport</strong> October 2007 – April 2008 / 43
<strong>SMARTreport</strong><br />
44 / Hotel <strong>SMARTreport</strong> • October 2007 – April 2008<br />
COMMUNICATION TECHNOLOGIES<br />
Wireless Phones for Staff<br />
A Key to Improved Service<br />
The Royal Hideaway Playacar use Polycom’s SpectraLink Wireless Telephones<br />
for In-house Communications<br />
Overview<br />
The Royal Hideaway Playacar is a fivestar,<br />
all-inclusive luxury resort in Playa del<br />
Carmen, Mexico. The property covers<br />
5.5 acres and is host to 200 guestrooms.<br />
This member of Leading Hotels of the<br />
World was awarded the coveted AAA<br />
Five Diamond Award in 2007, thereby<br />
establishing the Royal Hideaway as the<br />
first adult-only, all-inclusive resort in the<br />
world to achieve this prestigious<br />
accolade. Its parent company, Occidental<br />
Hotels & Resorts, is the first Spanish<br />
hotelier to be recognized with such an<br />
honor.<br />
The Challenge<br />
Maintaining the highest standards in<br />
guest services requires that staff always<br />
be available to tend to guest requests and<br />
always be in touch with one another no<br />
matter where they are throughout the<br />
property. In early 2006, the resort’s<br />
management team sought a new<br />
communications system to equip staff with<br />
the tools they need to perform their jobs<br />
as efficiently and effectively as possible.<br />
The hotel was using two-way radios to<br />
keep staff in contact, however the radios<br />
were noisy and there was no integration<br />
with other information systems or the<br />
property’s telephone system. In its search<br />
for a communications solution that met its<br />
needs, management identified several<br />
criteria they were hoping to meet. They<br />
wanted to have a device that offered all<br />
the features of a business telephone along<br />
with two-way radio functionally, but also<br />
capable of integrating with the hotels<br />
CRM system, Triton by Knowcross. Lastly,<br />
they wanted to be sure that staff would<br />
have coverage anywhere on property.<br />
Wireless Telephony Keeps Resort Staff<br />
Connected with Guests and One Another<br />
Royal Hideaway evaluated several<br />
different wireless telephone systems and<br />
decided to deploy Wi-Fi handsets from<br />
Polycom. They chose 30 SpectraLink i640<br />
Wireless Telephones to be used by the<br />
concierge, management, and<br />
housekeeping teams. Management liked<br />
that the handsets interfaced directly into<br />
the existing Nortel PBX and leveraged the<br />
existing property-wide Wi-Fi network<br />
consisting of access points from Cisco,<br />
Proxim and 3Com. The system offered<br />
integration with the Triton CRM system,<br />
allowing for automated two-way text<br />
messaging so that guest requests could be<br />
addressed in real time. The SpectraLink<br />
handsets allow users to make and receive<br />
phone calls and make internal calls by<br />
dialing an extension. Management also<br />
like that the handset offers a unique pushto-talk<br />
(PTT) feature so that staff can either<br />
use the telephone or broadcast<br />
information depending upon the<br />
circumstances. In addition, the design<br />
allows staff to maintain quiet, discreet<br />
conversations whereas the noise<br />
generated from the two-way radios often<br />
disrupted the guest experience. The<br />
response time to guest requests has<br />
improved through the use of wireless<br />
telephones. For example, there is often a<br />
staff member assigned to a guest at checkin<br />
to ensure each guest receives a VIP<br />
level of service. In the past when a person<br />
checked in, tracking down the assigned<br />
staff member was done manually, and<br />
often took several steps to accomplish.<br />
Now through the integration with the<br />
Triton system, a message is automatically<br />
sent to the appropriate staff’s handset to<br />
let them know the guest has checked in.<br />
Staff can then greet the guest right away.<br />
The same is true when a guest checks out.<br />
The staff member receives a message on<br />
the handset and can then check the room<br />
to make sure that the guest has left<br />
nothing behind. In addition, a message is<br />
sent to the housekeeping team so that they<br />
know the room is ready to be cleaned.<br />
The text messaging capability allows staff<br />
to address issues that are urgent or gives<br />
them the option to put less urgent requests<br />
on hold so they can refer back to them<br />
later in the day. Liliana Martinez, the<br />
property’s director of rooms said, “Once<br />
you have a handset, you don’t want to<br />
lose it. It is so handy and easy-to-use. We<br />
are able to complete tasks more quickly<br />
than ever before.” She added, “We<br />
picked Polycom’s SpectraLink Wireless<br />
Telephones and Knowcross so that we<br />
could continue to provide our guests the<br />
highest level of service. We can address<br />
guest requests more quickly than ever, it’s<br />
easier access our staff, and we like the<br />
ability to receive information in textmessage<br />
format.” Hotel management has<br />
seen consistently high guest satisfaction<br />
scores of 95 percent and higher, and they<br />
are confident that the wireless telephone<br />
system has played a role in this. They are<br />
delighted with the telephone system and<br />
plan to add additional handsets so that,<br />
eventually, all team members will be<br />
equipped with their own wireless<br />
telephones.<br />
© photo: Netlink<br />
www.cleverdis.com
© photo: Telkonet<br />
No New Wires!<br />
Guests today expect High Speed Internet<br />
Access (HSIA) as a given and it has<br />
become a must-have service for every<br />
type and size of venue. Until relatively<br />
recently, the choices were either to install<br />
a totally wireless system or cabling a<br />
building with a CAT 5 network – costly,<br />
and potentially very disruptive, with<br />
limitations regarding coverage and<br />
installation flexibility. The third way takes<br />
a very different path – US company<br />
Telkonet’s solution enables a building’s<br />
existing electrical wiring to be<br />
transformed into a broadband Internet<br />
and data networking backbone. For the<br />
Best Western (BW) Midland Hotel in<br />
Derby, UK, this was the optimum fast track<br />
path to broadband Internet within its<br />
historic 100-bedroom building.<br />
At the 4-star BW Midland, every guest<br />
has the freedom to choose either hardwired<br />
or wireless broadband access.<br />
Built in 1841, the Grade II listed hotel is<br />
the oldest operating railway hotel in the<br />
world and any Internet access system<br />
installation had to be accomplished<br />
without damaging the fabric of the<br />
www.cleverdis.com<br />
building, or any disruption to the hotel’s<br />
business or guests. Telkonet’s system, a<br />
preferred solution for Best Western GB<br />
hotels, met all the hotel’s requirements,<br />
including the critical need to offer hardwired<br />
access to any guests concerned<br />
about security – an important<br />
consideration for many of the hotel’s<br />
customers, which include government<br />
departments.<br />
The Telkonet iWire System transformed<br />
the hotel’s electrical wiring into an IP<br />
network backbone, allowing every<br />
electrical outlet to be used as a<br />
COMMUNICATION TECHNOLOGIES<br />
The BW Midland Hotel Fast Tracks its Broadband Internet<br />
Installation<br />
CASE STUDY<br />
broadband access data port, via Telkonet<br />
iBridge interface units installed in every<br />
guest room. The IP backbone also drives<br />
wireless access points, which are<br />
strategically located around the hotel’s<br />
corridors to provide site-wide WiFi<br />
coverage. Further Telkonet iBridge units<br />
are kept at reception, for use by delegates<br />
in the hotel’s conference and training<br />
suites.<br />
Roger Coe, Chief Executive of Midland<br />
Hotels Limited, commented: “Broadband<br />
is absolutely essential to our guests, as it<br />
is to our own operation – it’s the lifeblood<br />
of our on-line booking system. The choice<br />
of Telkonet’s solution was simple and<br />
logical. It was really the only option that<br />
satisfied all our requirements – in terms of<br />
the flexibility to offer wired and wireless<br />
from the same system, the speed and<br />
unobtrusiveness of the installation, and<br />
the high reliability of its day-to-day<br />
operation. As it harnesses a building’s<br />
existing electrical wiring, it elegantly<br />
avoids the time, expense, and inevitable<br />
damage and disruption caused by<br />
running new cabling. It has also<br />
successfully added to our venue’s unique<br />
benefits – a city centre hotel, close to the<br />
station, with free onsite parking and a<br />
large garden. Now we can offer the dual<br />
benefit of wired and wireless broadband,<br />
fully supporting our ethos of a traditional,<br />
quality-focused hotelier.”<br />
© photo: Telkonet<br />
Hotel <strong>SMARTreport</strong> October 2007 – April 2008 / 45
<strong>SMARTreport</strong><br />
46 / Hotel <strong>SMARTreport</strong> • October 2007 – April 2008<br />
COMMUNICATION TECHNOLOGIES<br />
Communication (and other) Technologies that<br />
will impact hotel operations in the future<br />
Intertouch Looks into the Crystal Ball...<br />
Charles Reed<br />
Chief Executive Officer of interTouch<br />
The travel industry is always seeking new<br />
ways to improve guests experience and<br />
operational efficiency and it is becoming<br />
increasingly clear that technology has the<br />
potential to deliver tangible benefits.<br />
Rather than a barrier, technology is now<br />
being harnessed for its potential to lower<br />
cost, improve yield and retain guests.<br />
InterTouch, a global provider of<br />
broadband wired and wireless services,<br />
predicts that developments in the<br />
following three areas, will have the<br />
greatest impact in the way a hotel will<br />
operate in the future.<br />
Trend 1: Rise of the IP networks – More<br />
hotels are investing to building their own<br />
IP networks, which once in place will<br />
enable hotels to easily enhance many of<br />
their current applications. These networks<br />
which are installed to carry phones calls,<br />
video and internet connects, can also<br />
support the hotels’ security systems as well<br />
as connect lights, air conditioners and<br />
other room devices to a central system.<br />
Trend 2: Customisation brings more<br />
options – It will be a matter of time when<br />
the same technologies enabling<br />
passengers to select their seat on an<br />
airplane will become widely available for<br />
hotels. With these technologies, guests<br />
will be able to choose the type and<br />
location of rooms, and going a step<br />
further, they will even be able to dictate<br />
amenities they want in them.<br />
Trend 3: Unlocking doors with just a look<br />
– Finally, retina scans and fingerprints,<br />
more common in high security<br />
organisations, may eventually make their<br />
way to more daily applications. We<br />
already have phones with fingerprint<br />
scanners, so it is highly possible in<br />
tomorrow’s high tech hotels for biometrics<br />
to replace card access to enter a room,<br />
and fingerprint scans to be combined with<br />
code access as added security to open<br />
the in-room safe.<br />
“Hotels are beginning to realise how<br />
important technologies are in the running<br />
of their business and how they could reap<br />
benefits in terms of improving guest<br />
satisfaction as well as their overall<br />
efficiency,” said Charles Reed, Chief<br />
Executive Officer of interTouch.<br />
“In the past, hotels have always focused<br />
on the soft features, but now, more are<br />
investing in making sure that on the<br />
technology front, they are able to deliver<br />
the same if not better level of attention<br />
and efficiency as their other services and<br />
thereby enhance their most important<br />
hotel brands,” he added.<br />
© photo: Intertouch<br />
www.cleverdis.com
IN HOUSE<br />
AUTOMATION<br />
When it comes to such things at lighting controls, it’s not so much a question of how you control<br />
light, but it’s why you would want to control lighting. Many of those things in the past were not<br />
networked, or were networked in a proprietary way. Clearly, if you don’t have a mini-bar<br />
network, you are going to have to send people up several times a day to figure out whether it’s<br />
empty or it needs re-stocking. That’s a very expensive thing to do. If you look at lighting for<br />
example, the two primary drivers behind lighting are: 1) if lighting is left on it is extremely<br />
expensive, and 2) it is very, very difficult, technically, to deliver a high quality lighting product<br />
using high voltage circuits. It’s particularly difficult in a luxury world where we’re trying to create<br />
a good sense of ambiance and simply so people don’t have to go around and turn off every<br />
single light individually. It’s a heroic task trying to do this using traditional high-voltage circuits.<br />
So you are, by definition, saying we are going to have to control these in a soft way, in a way<br />
that is slightly more intelligent. That then gives you the opportunity to look at the same time into<br />
how you link up that soft control with other things so that it can be more effective. It’s the same<br />
control that turns the light out when nobody is in the room, and it’s exactly the same control that<br />
turns the heating down or the air conditioning off. All of these are very valid and appropriate<br />
“green” things to do! They also happen to be exactly the same technology that can transform<br />
the ambiance of a room simply by doing lighting in a controlled and high quality way, and that<br />
the lighting you need in a room to get dressed with is a very different set of lighting that that<br />
you need when you watch a film at ten o’clock at night.<br />
Nick Price
<strong>SMARTreport</strong><br />
© photo: Lutron<br />
48 / Hotel <strong>SMARTreport</strong> • October 2007 – April 2008<br />
IN HOUSE AUTOMATION<br />
Enlightening ideas<br />
Intelligent Hotel Guestroom Lighting Controls – Making Life<br />
Simple for Guests and Saving Money for Hotels<br />
At a recent IHOF meeting in Prague,<br />
bringing together a number of hotel<br />
professionals together with manufacturers<br />
and service providers, a “brainstorming”<br />
session came up with a number of “pet<br />
gripes” of those present as to problems<br />
still existing in hotels... and one of the<br />
main ones was that of LIGHTING controls.<br />
Virtually everyone present agreed that in<br />
most cases, lighting controls are difficult<br />
to understand, to the point occasionally<br />
that one has to call reception to ask how<br />
to switch off all the lights. As rooms<br />
become more complex and featurepacked,<br />
this problem will become more<br />
and more prevalent.<br />
Finding specific simplified<br />
solutions:<br />
Designed to meet the needs of hotel<br />
guests, the Stanza lighting control system<br />
by Lutron provides stand-alone lighting<br />
control in each room. It can also be<br />
upgraded to integrate with other<br />
guestroom systems, including automated<br />
window treatments, key cards, occupancy<br />
and property management systems.<br />
Guests can control lights individually with<br />
a local control, or all together with a<br />
master keypad. Guest security and safety<br />
are enhanced thanks to Master on/off<br />
capability and Night Light functions. By<br />
the same token, a master off button by<br />
entrance meets today’s energy standards,<br />
supports sustainable designs, and allows<br />
guests to save energy easily at the touch<br />
of a button.<br />
Energy Savings – We Can Do<br />
Our Bit!<br />
EcoSystem is a revolutionary lighting<br />
control system comprised of digital<br />
electronic dimming ballasts, controls, and<br />
environmental sensors. EcoSystem can<br />
generate energy savings of 50% to 70%,<br />
increase occupant comfort, and increase<br />
space flexibility.<br />
In Meeting Rooms<br />
EcoSystem offers meeting and conference<br />
rooms flexibility, preset light levels, and<br />
energy savings. This translates into<br />
financial savings that quickly pay for<br />
EcoSystem. EcoSystem offers wall controls<br />
with four preset light levels to provide the<br />
right light at all times, and allow energy<br />
conscious individuals to reduce lighting<br />
levels whenever possible.<br />
• Provide general lights at an 80% level,<br />
• Dim the lights for PC presentations,<br />
• Highlight a white board area for formal<br />
meetings,<br />
• Provide full intensity for cleaning and<br />
team projects.<br />
As preferences change or meeting room<br />
walls are moved, it’s possible to re-<br />
programme the EcoSystem without<br />
rewiring. As needs and preferences shift,<br />
one can adjust a space with a handheld<br />
PDA, simply and economically. The<br />
combined effect of EcoSystem sensors<br />
and controls, operating together, brings<br />
major energy savings in the real world.<br />
© photo: Lutron © photo: Lutron<br />
www.cleverdis.com
CUSTOM TV AND<br />
DIGITAL SIGNAGE<br />
These two fields are quite separate, but also can be grouped together from the point of view<br />
that they both require specific individual input from the hotel. Nick Price gave us some insight<br />
into his experience in the field of Custom TV:<br />
“In our group, we were quick to realise that the television offered to our guests was of poor<br />
source quality. It didn’t matter how good we made the content look on the television, the fact<br />
was that someone who had taken a private jet to New York didn’t want to watch Mrs Long<br />
making noodles on the TV. There had to be something more. We work with a company called<br />
Tangerine Global who have developed about ten channels of customised hotel TV which are<br />
very channelled and targeted towards the upper-end guest. That doesn’t mean you couldn’t<br />
apply the same model, just using different content, at a 3 or 4-star level. The fact is that one<br />
thing we don’t see is the regional or national barriers, fundamentally breaking down, and<br />
ceasing to be barriers, to enable us to receive the same content from the same supplier across<br />
a wide geography, and that will enable us to do one very interesting thing. It will enable us to<br />
target a global niche market. Imagine having exactly the same channel line-up from the same<br />
supplier in Japan as you do in New York!” –<br />
Nick Price<br />
...Digital signage is also becoming a major field of interest for hotel operators, and here,<br />
specific “easy to use” software packages are emerging for the management of such systems.<br />
Highly specific vertical market specialists are also emerging. To learn more about this<br />
fascinating field, please refer to the Cleverdis <strong>SMARTreport</strong> – “Out of Home Digital Media”...
<strong>SMARTreport</strong><br />
Interview with...<br />
© photo: Idylle Production<br />
Betty CASTALDI<br />
President, Idylle Production<br />
50 / Hotel <strong>SMARTreport</strong> • October 2007 – April 2008<br />
Tel.: +33 (0)4 92 60 60 20<br />
E-mail: info@idylleproduction.com<br />
www.idylleproduction.com<br />
Idylle Production<br />
DIGITAL SIGNAGE AND CUSTOM TV<br />
"…It's pure marketing, but with<br />
an emotional dimension…"<br />
With major references such as<br />
the Lucien Barrière Casino<br />
group, Idylle Production has<br />
moved to the forefront of the<br />
exploding market for custom<br />
TV solutions.<br />
While it all started with audio, around 4<br />
years ago, flat screens began appearing<br />
in various locations. The Casino groups<br />
were the first to trust us in this area. In was<br />
in a sense the beginning of “custom TV”.<br />
This concept is now mature and we have<br />
evolved greatly. Our first aim was to<br />
develop a programme that would work<br />
like a TV channel, in other words with<br />
different programmes from one hour to<br />
the next... accompanied with<br />
advertising... and all this of course<br />
accompanied by audio. A system with<br />
only the visual aspect can only<br />
communicate 50% of a message.<br />
Are your clients sensitive to the<br />
advantages you bring with this<br />
combination of sound and images?<br />
That’s for sure. This is why we have<br />
references such as a major retail group<br />
selling articles for the home as well as DIY<br />
and garden supplies. We initially<br />
equipped their stores with audio systems,<br />
and progressively they are moving over to<br />
the use of a visual support together with<br />
the sound. This group, Leroy Merlin, has<br />
bought its own TV channel on the national<br />
www.cleverdis.com
network, which is called "A Côté de Chez<br />
Vous" and is available on satellite and<br />
cable TV, broadcasting reports and<br />
programmes throughout the day (see our<br />
case study in this SPECIALreport)… and<br />
they now also broadcast this channel in<br />
their stores. We have created a system for<br />
them that allows for having commercial<br />
breaks every 10 minutes.<br />
What differentiates your visual offer?<br />
We have developed a very flexible system<br />
which allows the client to have<br />
programming that completely fits with their<br />
frequentation according to the days of the<br />
week. Take the example of a casino. The<br />
number of people is not the same on a<br />
Monday and on a Saturday, but what also<br />
changes is the type of clientele: different<br />
people go to play at the casino on a<br />
Monday than over the weekend. The fact<br />
that the advertisements change every day<br />
and are adapted to the type of clientele<br />
shows the real possibilities of this media.<br />
Does this idea come from your experience<br />
in radio with the "day-parting"?<br />
Of course. Thanks to this experience, we<br />
don't develop our products in the same<br />
way as our competitors, and we don't sell<br />
in the same way. I personally involve<br />
myself in every project, and above all, we<br />
share with the clients what they experience<br />
every day. They talk about their customers<br />
www.cleverdis.com<br />
and their habits… In the morning at Leroy<br />
Merlin, you will find single women or DIY<br />
amateurs in a hurry, while on the weekend<br />
there will be a lot more couples who will<br />
make big purchases like a change of<br />
kitchen or bathroom. You have to put<br />
yourself in their position and understand<br />
what the customers want to hear on a<br />
Saturday morning in a Leroy Merlin store,<br />
when they are at the point of making a<br />
major and very personal decision,<br />
implying an investment, choice and<br />
financing... You really have to take into<br />
account the emotional dimension because<br />
the clients are waiting for us to give them<br />
this advice. When I sell my product,<br />
whether it is sound or image, I say to the<br />
client "If you only buy to broadcast, it is<br />
not worth it…" Today, the two products,<br />
audio and visual, developed the way they<br />
are, it’s 99% marketing. We’re talking<br />
about pure sales but with an emotional<br />
dimension. We are able to create a<br />
unique sound ambience. The human brain<br />
has an extraordinary capacity... for<br />
example it records the "gaps". When you<br />
listen to a radio programme, music is<br />
cross-faded without any "gaps" between<br />
the tunes. Why? Because the brain<br />
registers the gap as meaning something<br />
has finished, provoking a lapse of<br />
attention. In the Idylle Production system<br />
each song is mixed in such a way that the<br />
ear does not register any aural<br />
interruptions. This a one of the plusses we<br />
bring.<br />
DIGITAL SIGNAGE AND CUSTOM TV<br />
Is there an international vocation for the<br />
future?<br />
Absolutely! We have a nice business in<br />
Canada that runs very smoothly, with<br />
approximately 50 stores in Toronto and in<br />
Québec, and now starting to move in the<br />
US. I think that Idylle's destiny will be<br />
decided between 2007 and 2008. In<br />
Europe, we are present in Belgium and in<br />
Switzerland.<br />
In terms of market expansion where do<br />
you plan to develop?<br />
The hotel sector is one of our main<br />
priorities. We have already made<br />
demonstrations for Accor and Novotel. I<br />
think that we have a place in this business<br />
and that we can bring a lot to it, but that<br />
the problem is we are not well known<br />
enough yet. We can create and<br />
programme just as they want, and provide<br />
content (video, clip, report, emotional)...<br />
Our “top of the line” aspect is an<br />
advantage for this market. Through its own<br />
channel, a hotel can also communicate via<br />
the screens in the bedrooms on all the<br />
services and derived products it has to<br />
offer, it can inform the client about the<br />
casino or the lounge bar downstairs for<br />
example… Hotels are not aware of the<br />
fact that today we can provide them with<br />
this service at a truly affordable price. It’s<br />
now important that we communicate in<br />
order to be known in this sector.<br />
© photo: Idylle Production<br />
Hotel <strong>SMARTreport</strong> October 2007 – April 2008 / 51
CONFERENCE<br />
TECHNOLOGIES<br />
Conference facilities have always been a major part of hotels. In some way they have always<br />
been THE product, as there are a large number of hotels that drive a substantial proportion of<br />
their rooms business through meetings and conferences. The fact is that technologically, I think<br />
that conference facilities in most hotels have lagged behind sadly a long way. Evidence of that<br />
is the amount of sticky tape running across floors to locate on the floor cables, simply because<br />
the points at which they’re located were not thought through properly. Or the other one of<br />
somebody trying to connect up a laptop to a projector and... Guess what? It doesn’t work!<br />
We’ve all seen it a hundred times. It shouldn’t be that difficult, so I think modern hotels have to<br />
re-think about the kind of facilities they’re putting in place. For example, the notion that you<br />
could have a conference room for maybe 150 people and maybe 120 of them want to have<br />
an active internet session and you might want to switch between many different sources, not just<br />
a PowerPoint presentation, and you have a large number of presenters and some may be<br />
remote in other parts of the world – doing a joint presentation. That’s the future but it’s already<br />
here today, and it’s not very well met. The same could be said for the audio at most conference<br />
facilities which I think in many cases is shocking. We have put a huge amount of effort into<br />
making sure the audio works... so that wherever you’re sitting, in a meeting room or a large<br />
conference area, you can have a very high quality of sound, without running cables all over the<br />
place, or hiring in vast amounts of equipment to do what should already be part of the<br />
infrastructure! You have to understand the reason people are there in the first place and you<br />
have to help them with that, and to a very, very large extent it comes down to making the<br />
technology work, getting the right bandwidth in, getting the right power in, and getting the A/V<br />
systems working. Some hotels do it a lot better than others!<br />
Nick Price
<strong>SMARTreport</strong><br />
© photo: Amx<br />
54 / Hotel <strong>SMARTreport</strong> • October 2007 – April 2008<br />
CONFERENCE TECHNOLOGIES<br />
Conference Room Technologies<br />
New Products on Market – Touch Panel Technologies<br />
Reach New Levels of Sophistication<br />
The recent CEDIA Expo in the US was the launching point for a number of new products in the field<br />
of room automation, in particular by two popular companies in the conference automation field:<br />
AMX and Crestron. On these pages, we highlight a few of the latest products...<br />
AMX provided a sneak peak at its nextgeneration<br />
Modero Touch Panel line as it<br />
unveiled its 5.2” Modero ViewPoint<br />
Widescreen Touch Panel (MVP-5200i).<br />
The MVP-5200i combines a stylish design<br />
with high-resolution graphics, wireless<br />
mobility, digital intercom functionality and<br />
extended battery life.<br />
"Beyond its exterior aesthetics, it (the<br />
MVP-5200i) packs a whole lot of<br />
technology innovation into an ultra-thin,<br />
compact design," said Robert Noble,<br />
AMX chief technology officer. "With the<br />
MVP-5200i, AMX has redefined the style,<br />
form, and function of our flagship Modero<br />
Touch Panel line, and in the process,<br />
we've raised the bar for all touch panels -<br />
industry wide."<br />
According to AMX, the MVP-5200i<br />
provides fast, power-efficient processing –<br />
supporting up to eight hours of continuous<br />
use and four days of standby time – while<br />
its 5.2" widescreen delivers the highest<br />
resolution of any AMX MVP Touch Panel –<br />
800 x 480 WVGA (Wide Video Graphic<br />
Array) at 180 DPI (Dots Per Inch). It<br />
supports JPEG and PNG images, as well<br />
as streaming motion-JPEG video, and can<br />
play MP3 and WAV audio files.<br />
The ultra-compact MVP-5200i weighs 1.2<br />
pounds and is only 0.8" thick. It features<br />
an integrated kickstand; wireless mobility<br />
(802.11b/g); digital, full-duplex intercom<br />
for panel-to-panel communication<br />
throughout a home, business or campus;<br />
and a navigation wheel for levels and<br />
functions. It also incorporates the highest<br />
wireless network security standards,<br />
including WEP, WPA, WPA2, EAP-TLS,<br />
EAP-TTLS and PEAP.<br />
Options and Availability<br />
The MVP-5200i, along with its optional<br />
Table Charging Station and Wall<br />
Charging Station, will be available in<br />
gloss white and gloss black.<br />
AMX expects the products to ship in<br />
January 2008.<br />
Wall Integration of Keypads<br />
Rises to a New Level<br />
AMX has announced the launch of a new<br />
line of Metreau Keypads. The keypads fit<br />
in any Decora-style wallplate and provide<br />
a convenient, flexible and cost-effective<br />
way to communicate with any AMX<br />
Control or Distributed Audio System.<br />
Metreau Keypads are available in two<br />
distinct varieties – one can be used with<br />
any AMX Control System, while the other<br />
© photo: Amx<br />
www.cleverdis.com
© photo: Amx<br />
is designed for the company's growing<br />
line of distributed audio products. In<br />
addition to music, the keypads can<br />
control lighting, video, projection, HVAC<br />
and window treatments. They are an<br />
ideal solution for homes, offices, small<br />
meeting rooms, hotel rooms and many<br />
other environments.<br />
The Metreau Keypad line features a<br />
navigation wheel – an innovative, new<br />
interface feature that is designed to<br />
simplify the way people<br />
interact with, and use, the<br />
keypad. The wheel<br />
provides a natural and<br />
intuitive way to expand the<br />
keypad's functionality.<br />
Simply turn the wheel to the<br />
left or right to quickly and<br />
easily adjust audio volume,<br />
lighting levels and more, or<br />
press the top, bottom, left,<br />
right or center of the wheel<br />
to activate, set or select any<br />
level or function. This new<br />
interface feature is also<br />
incorporated into AMX’s<br />
new 5.2" Widescreen<br />
Modero ViewPoint Touch<br />
Panel (MVP-5200i).<br />
New Wall Mount<br />
Touch-panel from<br />
Crestron<br />
TPS-6L 5.7-inch touchpanel<br />
offers CAT5 audio/video<br />
www.cleverdis.com<br />
and Ethernet connectivity. Crestron<br />
introduced its latest Isys touch panel at<br />
Cedia 2007. Featuring a bright, highcontrast<br />
5.7" colour touch screen with 16bit<br />
Isys graphics, 640 x 480 resolution,<br />
video window display, the TPS-6L panel<br />
delivers a world of control capability yet<br />
leaves a very small footprint. High-speed<br />
Ethernet communication provides easy<br />
network integration and seamless<br />
communications with Crestron home<br />
automation solutions.<br />
CONFERENCE TECHNOLOGIES<br />
Crestron touch panels offer a userinterface<br />
for controlling audio, video,<br />
lighting and HVAC. Both Cresnet and<br />
high-speed Ethernet are standard in the<br />
TPS-6L, providing easy network<br />
integration and seamless communications<br />
with Crestron control systems.<br />
The TPS-6L can display full-motion video<br />
from an external source such as security<br />
cameras, video servers and cable TV on<br />
the touchscreen display. The video image<br />
is fully scalable for viewing in any sized<br />
window or full screen. The choice of<br />
balanced or unbalanced composite inputs<br />
allows compatibility with both<br />
conventional coaxial and CAT5 AV<br />
distribution systems.<br />
Each TPS-6L is furnished with two front<br />
bezels - with or without 12 programmable<br />
softkey pushbuttons. The optional<br />
pushbuttons are positioned to align with<br />
dynamically changing text and graphics<br />
onscreen, supporting context-sensitive<br />
menu functions such as digital media<br />
titles, channels, or lighting presets.<br />
Custom engraving of the bezel is also<br />
available, with a choice of solid or backlit<br />
text. A light sensor is built into the TPS-6L<br />
to automatically adjust the display<br />
brightness for optimal visibility under<br />
varying light conditions.<br />
© photo: Crestron<br />
Hotel <strong>SMARTreport</strong> October 2007 – April 2008 / 55
RESERVATION SYSTEMS<br />
• GDS AND PMS<br />
This is one of main missions of HTNG... Joining-up the islands. This has largely meant joining<br />
up PMS with the outside world. One of the elements we want to join up to is the various flavours<br />
of incoming reservations, whether they be GDS or a web-based intermediary. There has been<br />
huge work done to date to transition a lot of reservation activity away from the hotel out to web<br />
based services. I still think however there is a lot more to be done, particularly in the world of<br />
GDS, where it’s so information poor, that it is very difficult to receive at the hotel level any<br />
quality of information about the customer you are going to receive, even if that customer has<br />
stayed with you many, many times before. The reliability and the ease with which a reservation<br />
arrives has definitely been improved, and this is very automatic and joined-up today, where<br />
even a few years ago a lot of manual processes, a lot of faxes, a lot of telephone calls, a lot of<br />
manual transcribing of reservation information... That to a large extent has been solved today.<br />
Nick Price
<strong>SMARTreport</strong><br />
Interview with...<br />
58 / Hotel <strong>SMARTreport</strong> • October 2007 – April 2008<br />
Micros-Fidelio<br />
EAME (Europe,<br />
Africa, Middle East)<br />
Kaweh NIROOMAND<br />
President Micros-Fidelio<br />
EAME (Europe, Africa, Middle East)<br />
RESERVATION SYSTEMS / GDS AND PMS<br />
In the past, Micros-Fidelio provided hotels and restaurants with a complete suite of products,<br />
including PMS, catering systems, and everything around those products. But the central hotel<br />
systems, where their customers sold their own products (their rooms) were not covered. We asked<br />
Kaweh Niroomand to give us the background as to how Micros-Fidelio developed its new<br />
“converged” system...<br />
© photo: Micros-Fidelio<br />
Hotels sell rooms through different<br />
channels... through their own web-sites,<br />
through Alternate Distribution Systems<br />
(ADS) and through Global Distribution<br />
Systems (GDS). Another way is of course<br />
via their own call centres. Until a certain<br />
point these were all completely split.<br />
Fidelio was providing the PMS system<br />
and we had interfaces to products which<br />
could sell the room for our customers<br />
through these different channels. The<br />
question for us was “Why should we not<br />
develop a suite of products which is an<br />
integrated solution for PMS and central<br />
system solutions which can immediately<br />
go to the different channels, directly<br />
connecting the sales from the end user to<br />
the hotel, and no longer through third<br />
party products?” This is the big change in<br />
what we have developed with our product<br />
suite. In developing Opera as a complete<br />
suite of products – as an enterprise<br />
solution – we are able to give to the enduser<br />
direct access to the last available<br />
room of a chain so that they can book<br />
directly into that room, whereas before<br />
this was not possible.<br />
Tell us about some of the successful<br />
projects...<br />
After initial testing of several systems,<br />
Micros’s solution has been chosen by the<br />
Louvre Group* because of what they saw<br />
as the centralised benefits it offered over<br />
a competing provider. At a comparable<br />
cost, Micros was able to provide Louvre<br />
Hotels a scalable contract supported by a<br />
single data centre located in Frankfurt,<br />
Germany. The Micros-Fidelio Data Centre<br />
could house all of the Micros applications<br />
in a multi-property and integrated<br />
environment, allowing Louvre Hotels to<br />
use a secure, private network connection<br />
to access Opera. Since Opera’s<br />
reservation and property management<br />
systems would be integrated on one<br />
database, all reservations could be<br />
distributed down to each hotel in real-time<br />
providing single image inventory. With<br />
an integrated Central Reservation System<br />
interfacing to the global travel agency<br />
community, all data could be<br />
accommodated in one single database<br />
securing single image guest records and<br />
hotel inventory. In other words, traditional<br />
interfacing between central and hotel<br />
systems would become obsolete.<br />
Furthermore, direct sales via Louvre<br />
Hotels’ corporate hotel websites using the<br />
Opera Web Suite, would dramatically<br />
increase web presence and direct<br />
bookings.<br />
The deployment of the Centrally Hosted<br />
Opera Property Management Systems<br />
with installations at over 500 Louvre<br />
Hotels took only eight months. This seems<br />
to be very fast... How was this achieved?<br />
Micros worked closely with Louvre Hotels<br />
to speed the deployment pace and meet<br />
important milestones prior to sending the<br />
www.cleverdis.com
installer on site. A key practice involved<br />
complete staging of hardware before it<br />
was sent to the hotel to minimize the level<br />
of effort on-site. The length of each<br />
deployment averaged two and a half<br />
days. Several weeks before the<br />
installation, end-users were able to utilise<br />
a customised e-learning tool developed<br />
by Micros and Louvre Hotels to streamline<br />
the training process. Following a week to<br />
10-day specific Louvre Hotels solution<br />
training period, a Micros representative<br />
was available onsite for an additional two<br />
days to help supervise the launch. Due to<br />
effective communication and a positive<br />
approach, Micros was able to tailor the<br />
deployment speed for Louvre Hotels and<br />
successfully deploy over 30 hotels<br />
simultaneously per week, which provided<br />
valuable time and costs savings.<br />
Has the group been able to measure<br />
Return on Investment?<br />
Absolutely. By consolidating all Opera<br />
applications to the Micros-Fidelio Data<br />
Centre and including both support and<br />
hardware on a “1 contract, 1 contact”<br />
centralised solution, Micros has helped<br />
Louvre Hotels to reduce its maintenance<br />
support costs by 70%, which in-turn has<br />
improved financial controls. IT<br />
Management especially values its cost<br />
savings from the simultaneous upgrade<br />
process. Reservations in direct Internet<br />
bookings have also increased by 300%<br />
for the 500 hotels deployed. Interfacing<br />
work with global portal partners is easier<br />
to manage due to the direct link between<br />
the portal partner and Louvre Hotels’<br />
database and application. Productivity is<br />
higher, now that the IT team is able to<br />
redirect its focus to other IT projects.<br />
You also recently announced the results (to<br />
date) of Global Hotel Alliance’s state of<br />
the art central reservations system,<br />
GHA.net, launched in February 2007,<br />
Kempinski Hotels, Leela Hotels and Pan<br />
Pacific Hotels have been the first to<br />
deploy your system... Tell us about this.<br />
The GHA team has been working closely<br />
with Micros-Fidelio to address the special<br />
needs and requirements of the world’s<br />
largest hotel alliance, and we are on<br />
track to switch three of the four remaining<br />
GHA members to this new distribution<br />
technology throughout the remainder of<br />
www.cleverdis.com<br />
2007. There has been an immediate and<br />
positive impact for each of the brands,<br />
with enhanced productivity and customer<br />
service giving measurable results in<br />
inventory and rate integrity across all<br />
distribution channels in a real-time<br />
environment combined with reduced<br />
operating expenses. Since the switch in<br />
February, all three brands have seen their<br />
combined voice, GDS and internet<br />
revenues increase. Pan Pacific has<br />
witnessed a staggering 50% increase,<br />
with Kempinski growing 39% and Leela<br />
26%.<br />
So finally, how would you best describe<br />
the key advantages of the Opera system?<br />
RESERVATION SYSTEMS / GDS AND PMS<br />
Firstly, and importantly, there are two<br />
purchase models – full out-and-out<br />
purchase, or transaction based. Secondly,<br />
we offer complete administration with<br />
everything based in our data centre in<br />
Frankfurt, and engineers on hand 24<br />
hours a day ensuring smooth operation...<br />
and thirdly, we are able to roll-out systems<br />
very rapidly. It’s possible to get a system<br />
up and running in 500 hotels in just 6<br />
months, whereas before, something like<br />
this would have taken up to 3 years.<br />
* Societé du Louvre is now owned by<br />
Starwood Capital and covers brands like<br />
Concorde, Campanile, Kyriad<br />
© photo: Micros-Fidelio<br />
Hotel <strong>SMARTreport</strong> October 2007 – April 2008 / 59
<strong>SMARTreport</strong><br />
60 / Hotel <strong>SMARTreport</strong> • October 2007 – April 2008<br />
RESERVATION SYSTEMS / GDS AND PMS<br />
HTNG Certification for IDeaS<br />
Revenue Optimisation<br />
Linda HATFIELD<br />
Vice President, Product Management<br />
IDeaS<br />
IDeaS, the leading provider of hospitality<br />
revenue optimisation solutions and one of<br />
America’s fastest growing technology<br />
companies, has announced that IDeaS V5i<br />
Revenue Management solution has been<br />
certified under the Hotel Technology Next<br />
Generation (HTNG) Certification Program.<br />
"We are pleased to have successfully<br />
completed the HTNG certification<br />
process,” said Linda Hatfield, Vice<br />
President Product Management, IDeaS.<br />
“As a founding member of HTNG, we are<br />
strong supporters of their initiatives and will<br />
continue to work on behalf of our clients<br />
with other vendors to move forward the<br />
Intelligence: - in·tel·li·gence ( n-t l -j ns) n.<br />
a) The capacity to acquire and apply knowledge.<br />
b) The faculty of thought and reason.<br />
c) Superior powers of mind.<br />
Whichever way you look at it, intelligence is a good<br />
thing to have. At Cleverdis, our mission is to give the<br />
necessary intelligence to make the right decisions in<br />
business. Our vertical market <strong>SMARTreport</strong>s are part of<br />
that mission. But complementary to these publications,<br />
we have developed an extremely powerful tool… even<br />
more finely honed… in the form of our SPECIALreports.<br />
acceptance and use of the HTNG<br />
standards.”<br />
News: IDeaS Revenue<br />
Optimisation and Agilysys<br />
Bring Their Systems Integration<br />
to the Next Level<br />
IDeaS has announced the availability of a<br />
full two-way integration between IDeaS<br />
Revenue Optimisation Solution and Visual<br />
One Property Management System (PMS)<br />
by Agilysys. The solution offers joint clients<br />
and future prospects the ability to fully<br />
leverage the strengths of both products in<br />
addition to the assurance of compatibility<br />
into the future. “This is a major<br />
advancement in our existing partnership<br />
with Agilysys. The joint work we have done<br />
to seamlessly update IDeaS revenue<br />
management controls into Visual One PMS<br />
by Agilysys is highly valuable for our<br />
clients,” said Linda Hatfield, IDeaS Vice<br />
President, Product Management. “Our<br />
development teams have been able to<br />
quickly bring to market this functionality<br />
due to our shared vision of serving the<br />
needs of our respective client bases. The<br />
clear product focus and ongoing<br />
innovation demonstrated by IDeaS<br />
Revenue Optimisation Solutions has made<br />
their product essential for hoteliers looking<br />
to maximize their revenues in an ever<br />
changing marketplace. This two-way<br />
integration allows us to deliver maximum<br />
Cleverdis SPECIALreports are aimed at educating<br />
highly specific groups of people to gain intelligence<br />
through targeted information. Sponsored individually<br />
by companies with a mission to educate and inform,<br />
such as Panasonic, Sharp, Sony, Alcatel Lucent, Canon,<br />
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gathered and edited by Cleverdis.<br />
You can download PDF samples of our SPECIALreports<br />
on www.cleverdis.com.<br />
Cleverdis SPECIALreports – a CLEVER way of bringing<br />
Intelligence to the market.<br />
benefit to our customers,” said Tina Stehle,<br />
Senior Vice President at Agilysys.<br />
Major rollout by Millennium<br />
Meantime, in recent news, IDeaS has also<br />
announced that its on-demand Revenue<br />
Optimisation system V5i is being deployed<br />
by Millennium and Copthorne across its<br />
portfolio of hotels throughout Asia Pacific,<br />
EAME and the Americas. Millennium<br />
Hotels and Resorts completed an extensive<br />
due diligence of the Revenue Management<br />
Systems available and selected the IDeaS<br />
on-demand solution V5i. “Having multiproperty<br />
imple-mentation and working<br />
experience of several other RMS, I<br />
particularly value the very strong and<br />
dedicated service and account support that<br />
IDeaS provides across the globe. It<br />
contributes significantly in the global rollout<br />
of our RMS program, both pre and post<br />
implementation. It is great to see how this<br />
intensive co-operation has helped us<br />
achieve more accurate forecasts, ultimately<br />
resulting in optimal results.” said Hannes<br />
Bos, Global Director of Revenue<br />
Management. “We are proud of our long<br />
standing relationship with Millennium<br />
Hotels and Resorts. Their Revenue<br />
Management initiative has been innovative<br />
and decisive and we are pleased to be<br />
playing a vital part in its successful<br />
deployment.” said Grahame Tate<br />
Managing Director IDeaS Asia Pacific<br />
www.cleverdis.com
www.cleverdis.com<br />
RESERVATION SYSTEMS / GDS AND PMS<br />
CASE STUDY<br />
Optimising hotel and conference center<br />
operations on one database…<br />
For greater staff productivity, stronger financial management<br />
and better guest tracking<br />
Lodge of the Ozarks Drives<br />
Higher Profitability with<br />
Maestro System at the Largest<br />
Convention Center in Branson,<br />
Missouri – USA.<br />
Branson, Missouri is a booming vacation<br />
destination that attracts hundreds of<br />
thousands of families annually to its<br />
award-winning headliner entertainment,<br />
theme parks, and golf courses. It is a<br />
favorite location for conferences and<br />
military and family reunions, and one of<br />
the largest spaces for conventions in<br />
Branson is operated by the Lodge of the<br />
Ozarks. Branson works to keep its<br />
“country” roots, and The Lodge of the<br />
Ozarks is a beautifully decorated<br />
property providing rustic elegance to the<br />
guests. But there is nothing rustic about<br />
the new, single-image database<br />
technology from Northwind-Maestro PMS<br />
that the property installed to automate its<br />
resort, convention center, club, spa and<br />
food services operations.<br />
“Lodge of the Ozarks is among the busiest<br />
conference center hotels in Branson,” said<br />
Randy Park, business agent for Morrell<br />
Hospitality, the property’s owner. “Our<br />
property operates its own Club, similar to<br />
a Las Vegas supper club, and Timber<br />
Creek restaurant. Today we are in the<br />
midst of upgrading the entire property to<br />
attract a new, higher-rated guest segment.<br />
To make our operation as efficient as<br />
possible, we installed the Maestro<br />
Enterprise Suite of hotel software to<br />
automate and integrate our entire<br />
operation on one database for greater<br />
staff productivity, stronger financial<br />
management and better guest tracking.”<br />
Maestro automates the entire<br />
conference resort<br />
In June 2007 the property implemented<br />
Maestro PMS to automate hotel<br />
management operations and Maestro<br />
Sales and Catering to computerize its<br />
conference sales management and<br />
catering business. The hotel also installed<br />
Maestro POS on the same database for<br />
guest charge posting and uses Maestro<br />
Work Order Scheduling to oversee its<br />
upgrade projects. When the property’s<br />
new Spa is completed, Lodge of the<br />
Ozarks will install Maestro’s Spa system<br />
to automate client scheduling, billing and<br />
reservations. “The Maestro single-image<br />
database technology is ideal for any<br />
complex conference center property<br />
because every module is integrated to<br />
give a 360-degree picture of each guest,”<br />
said Park. The system tracks guest’s<br />
activities, whether in the hotel, convention<br />
center or dining to capture charges at<br />
every touch point. The property will use<br />
Maestro Analytics business intelligence<br />
solution to mine guest information to<br />
create effective marketing campaigns<br />
based on each guest’s historical<br />
preferences. According to Park, “The<br />
system is so intuitive that our staff and<br />
management learned to use it quickly.<br />
NORTHWIND understands the hotel<br />
business and its team took time to see<br />
how we do business, then applied their<br />
system to optimize our property’s<br />
operation.” Park is also impressed with<br />
Maestro’s financial and operations<br />
reporting. “As business manager for<br />
Morrell Hospitality, I appreciate solid<br />
reporting. We never looked for a report<br />
that the system did not already provide.”<br />
Park noted that when the property’s<br />
renovation is completed he expects the<br />
Lodge of the Ozarks will attract a more<br />
highly rated guest segment. “The Maestro<br />
system has an integrated Yield<br />
Management program that will enable us<br />
to optimize our rates when we finish<br />
upgrading all areas of the hotel,<br />
conference center, dining outlets and<br />
club.”<br />
“Branson is a family destination that<br />
understands the importance of caring for<br />
every guest during their stay,” said Park.<br />
“Northwind-Maestro is a client-focused<br />
technology partner that delivered on<br />
every part of our agreement.”<br />
Contact:<br />
info@maestropms.com<br />
www.maestropms.com/HOL<br />
© photo: Ozarks<br />
Hotel <strong>SMARTreport</strong> October 2007 – April 2008 / 61
SECURITY<br />
All forms of security are becoming much more important than they were. Today, we are living<br />
in what we perceive as a more insecure world than we were living in ten years ago. There is a<br />
physical notion of security, whether that means security guards, number of staff or locked doors<br />
or lifts that only go to certain floors. Obviously there is also CCTV and the sheer explosion in<br />
the number of cameras everywhere... not just in hotels. We need to provide that level of security<br />
to our customers... but the flip side of it is that you are increasingly the guardians of a large<br />
amount of very sensitive, personal information - that is information about the customers. And you<br />
need to keep that information safe. Overlay that the fact that you have a converging of networks<br />
today and it makes the job of the IT security specialists hundreds of times more important and<br />
difficult than it was ten years ago in a hotel. In my company I have someone who does nothing<br />
else but security and many companies would be wise to follow the same practice. We regularly,<br />
every quarter, physically – on site – send an outside hired specialist to try to penetrate and<br />
break our networks... every hotel... every quarter... and we act upon the results very quickly.<br />
Nick Price
<strong>SMARTreport</strong><br />
CASE STUDY<br />
64 / Hotel <strong>SMARTreport</strong> • October 2007 – April 2008<br />
SECURITY<br />
Security Evaluation and Verification by<br />
HP Strengthens interTouch Service<br />
Offering<br />
For 9 years, interTouch has been the<br />
provider of wired and wireless<br />
Broadband and Internet access services<br />
to international hotel chains such as Hilton<br />
Hotels, Hyatt Hotels and Resorts, Four<br />
Seasons Hotels and Resorts,<br />
InterContinental Hotels Group, Le<br />
Meridien, Pan Pacific Hotels and Resorts,<br />
Shangri-La Hotels and Resorts, and<br />
Sheraton Hotels and Resorts. While<br />
interTouch services enable travellers to<br />
stay connected no matter where they are,<br />
the company is responsible for the<br />
prevention of spam and virus attacks on<br />
users logged on to their network.<br />
Essentially, security, reliability and<br />
trustworthiness of their services are crucial<br />
elements influencing the reputation of the<br />
company. Thus, interTouch recently took<br />
steps to ensure that the latest security<br />
features were adopted into their new<br />
version of iBIS. In order to ensure that<br />
these features conform to industry<br />
standards, interTouch engaged the<br />
services of HP to conduct evaluation and<br />
verification specifically on the security<br />
functions of iBIS 7.0. Ultimately,<br />
interTouch’s decision to work with HP was<br />
influenced by a previous assessment in<br />
which HP delivered excellent results. This<br />
experience resulted in interTouch turning<br />
to HP again for this evaluation.<br />
The Security Vulnerability Assessment<br />
consisted of 2 modules:<br />
• Module 1: Black Box Penetration Testing<br />
(External)<br />
An external assessment was performed to<br />
mimic the behaviour of a malicious<br />
hacker attempting to penetrate the system<br />
from the Internet. In this instance, a<br />
security evaluation method was utilized to<br />
stimulate an attack. This also incorporated<br />
an active analysis of the system to<br />
uncover weaknesses, technical flaws or<br />
vulnerabilities.<br />
• Module 2: Vulnerability Scanning<br />
(Internal)<br />
An internal assessment analyzes possible<br />
threats and weaknesses that can be<br />
exploited within WAN and LAN<br />
environments. This exercise was<br />
performed on-site, from within interTouch’s<br />
internal network. Specifically, the<br />
objective of this exercise was to uncover<br />
possible system vulnerabilities, and<br />
subsequently recommend mitigation<br />
measures as well as to identify areas for<br />
improvement.<br />
HP’s comparison study indicated that<br />
interTouch had successfully enforced<br />
strong measures of security protection.<br />
There were no vulnerabilities found during<br />
the external assessment, and the year-toyear<br />
comparison on the number of<br />
vulnerabilities has significantly<br />
decreased. This represents a positive<br />
system improvement, providing users with<br />
improved security while surfing the<br />
Internet via the interTouch network.<br />
Some of the main findings of the<br />
assessment:<br />
• Denial of Service (DoS) attacks: The<br />
VBN disables the connection from the<br />
source IP when TCP connections exceed<br />
80,000 TCPs/second.<br />
• Unauthorized access to file and<br />
database servers: Not possible without<br />
valid access credentials as TCP ports<br />
are filtered and protected by the<br />
firewall.<br />
• Visibility between users logged on to<br />
the network: As connectivity between<br />
ports (rooms) is prevented, traffic<br />
sniffing or virus infections between<br />
users on the same network are virtually<br />
impossible.<br />
• Guests attempting to gain free internet<br />
access: Attempts to alter URLs to bypass<br />
access failed, and thus free Internet<br />
access cannot occur.<br />
However, HP’s assessment also revealed<br />
areas where the system could be<br />
improved upon. The following were<br />
proposed recommendations from HP:<br />
• Display authorization usage banners on<br />
Administration pages. A statement<br />
communicating a requirement for<br />
compliance before accessing system<br />
resources need to be displayed on the<br />
login page, before granting access into<br />
the system.<br />
• Deploy Intrusion Detection/Prevention<br />
systems to detect malicious activities on<br />
hosts and network.<br />
These recommendations will be<br />
addressed in upcoming versions of iBIS as<br />
part of interTouch’s continuous product<br />
improvement initiatives.<br />
© photo: Intertouch<br />
www.cleverdis.com