Curating Personalization in Hospitality with Ed Scheetz, CEO of Chelsea Hotels
Ed Scheetz, CEO of Chelsea Hotels, spoke with Business Today at the 45th International Conference on the global trends emerging in the hospitality industry. After graduating with a degree in Economics from Princeton University, he entered the real estate investing industry. He began his career at Trammell Crow in Dallas, and he later co-ran Apollo’s emerging real estate fund in New York. Afterwards, Scheetz spent much time specializing in the hospitality industry, acting as the CEO of Morgans Hotel Group, King & Grove Hotels, and now Chelsea Hotels.
In a world of mass-manufacturing, customers have increasingly prioritized personalization and experience in the products they purchase. Today, this sentiment has been extended to the hospitality industry, with consumers valuing hotels that take the extra effort to deliver a personalized touch to their stay.
Across the world, technology has been the primary facilitator by which different businesses can execute personalization. For the hospitality industry, this involves customization in online communications and check-ins. Attention to the most minute details, such as length of stay or the name of the customer, have differentiated hotels from one another in an industry saturated with competitors. In the words of Ed Scheetz, “personal service is the new luxury. It’s not more marble or gold faucets or fancy chandeliers, but it’s being recognized that you’re treated in a place where you should be.”
Alongside technology, staff is key to adding a touch of personalization as well. Offering suggestions for places to visit nearby, for instance, is standard service and allows staff to make connections with the everyday customers they meet. Scheetz highlights the importance of morning staff meetings to set expectations for the attitudes by which customers are treated and outline what needs to get done. Even in language, there are subtleties to be recognized, and hotels must take care to define their service style. For instance, some hotels draw from formal English language, addressing customers by “Mister,” while others offer a more casual atmosphere.
The power of the individual is also evident in the values today’s audience expects of their brands. With an emphasis on health and wellness, along with sensitivity towards the environment, consumers hold hotels to higher standards. These can include small changes, such as being environmentally conscious in the straws or shampoo bottles used throughout the hotel. Though this is not a trend that has emerged recently, it has been brought up more regularly due to the heightened attention placed on climate change and ESG.
At the end of the day, understanding and adapting to changing customers’ needs will always be central to any hotel’s success, especially in an era where traditional hotels compete with startups like Airbnb that make similar promises toward personalization and customization. Nonetheless, hotels can capitalize on their flexibility in creating different experiential spaces for a wide variety of customers. Customers who simply stay the night for business can utilize co-working spaces downstairs with free Wi-Fi; customers whose entire vacation is composed of a resort-style experience can enjoy comedy and art galleries at night in the lobby. As Scheetz has illustrated through his leadership of Chelsea Hotels, outstanding service in today’s hospitality economy requires the hotel’s consideration of each visitor not as one of many, but as their own unique individual.
“Personal service is the new luxury.”