Strategic alliances between hotels and restaurants. In part because of the high cost structure of hotel restaurants, which means high prices relative to other restaurants, they developed among potential customers a reputation for being a poor value, offering indifferent service and inferior food. Today many hotels are rethinking the process. | Strategic Alliances between Hotels and Restaurants Robert W. Strate and Clinton L. Rappole Copyright © 2011 by John Wiley & Sons, Inc. All rights reserved Introduction In the past, hotel restaurants have been managed as a secondary function. In part because of the high cost structure of hotel restaurants, which means high prices relative to other restaurants, they developed among potential customers a reputation for being a poor value, offering indifferent service and inferior food. Today many hotels are rethinking the process. Copyright © 2011 by John Wiley & Sons, Inc. All rights reserved Introduction Cont. Hotel owners and operators are asking at least four key questions about their property-level F&B service: What are the hotel customers’ food and beverage needs and expectations? Which food and beverage concept best aligns with the positioning of the hotel? Would converting the hotel’s restaurant to a brand-name restaurant concept improve the property's overall bottom line? Would turning to a brand-name F&B operation give the property a competitive advantage? Copyright © 2011 by John Wiley & Sons, Inc. All rights reserved Introduction Cont. Two results of owners’ and operators’ new focus on hotel food service are: Innovative hotel F&B concepts are being created. Strategic alliances are being established between well-known brand-name hotel and restaurant companies. Copyright © 2011 by John Wiley & Sons, Inc. All rights reserved Introduction Cont. The results of a strategic alliance should be an improved property image overall, enhanced customer value, increased revenues, and a competitive advantage. The following four main topics will be addressed: The value of the brand-name partner Existing hotel-and-restaurant alliances A description of Bristol Hotel Company alliance with Good Eats Grill Future trends Copyright © 2011 by John Wiley & Sons, Inc. All rights reserved Alliances Five reasons as to why alliances are becoming more frequent: Creates financial . | Strategic Alliances between Hotels and Restaurants Robert W. Strate and Clinton L. Rappole Copyright © 2011 by John Wiley & Sons, Inc. All rights reserved Introduction In the past, hotel restaurants have been managed as a secondary function. In part because of the high cost structure of hotel restaurants, which means high prices relative to other restaurants, they developed among potential customers a reputation for being a poor value, offering indifferent service and inferior food. Today many hotels are rethinking the process. Copyright © 2011 by John Wiley & Sons, Inc. All rights reserved Introduction Cont. Hotel owners and operators are asking at least four key questions about their property-level F&B service: What are the hotel customers’ food and beverage needs and expectations? Which food and beverage concept best aligns with the positioning of the hotel? Would converting the hotel’s restaurant to a brand-name restaurant concept improve the property's overall bottom line? Would
