Mr Gopinath Sangaran, Senior Lecturer from Taylor’s University shares his insights around the Malaysia hotel industry and how they can stay competitive
The Malaysian hotel industry remains frail during these pandemic times. The movement restrictions meant there was no movement locally or internationally bringing tourism to a halt.
However, the Malaysia hotel industry has a strong record of being resilient and hotels in Malaysia certainly will bounce back in the next two years. With that, hotels must be ready for new policies and standard operating procedures to be implemented to ensure their survivability.
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With the implementation of hygiene-sanitation and social distancing practices, it would create a sense of confidence in them. Revisit intentions can only take place when guests find safety and comfort levels within them towards brand products and services delivered. Guests will be considering this when considering a hotel of their choice.
Virtual site inspection services with 360° views and continual online public relations updates on prevention activities will create and enhance brand awareness. Hotel brands that can portray these standards will attract new followers to their brands creating revisit intentions to hotels that prioritize guest and hotels safety and security.
How hotels in Malaysia are vying for share of a smaller market
Other opportunities will be for the hotels to target local tourism due to closed borders at present to support their survival with deals that complements the locals’ needs while ensuring brand recognition and continual support.
The focus on domestic tourists is crucial when hotel businesses start to operate. Catering towards the needs of the locals will provide the catalyst of continuity for the Malaysia hotel industry.
For instance, some attractive Room packages (Weekend rates, extended Rack rates, converting rooms as workspaces, etc), Food & Beverage promotions (Buffet meals, Set menus, Exclusive private dining, etc), and exclusive deals on local corporate or business facilities could spur sales for the current times.
Apart from that expanding dine-in and takeaway services that include food delivery services will play a role in the continuity and survivability of hotels. We have observed a great increase in the delivery capacity during the pandemic that can and has been adopted by the hotels’ Food and Beverage departments.
Similarly, smaller stay packages will be the way to go. With SOP’s in place, hotels will require to implement carrying capacity where they will control the number of guests patronizing their stay and obtaining their services and this would lead to smaller groups staying in and enjoying their facilities.
During these challenging times, hotels might require to be flexible with their Rooms policy and procedures. For instance, a good way is to upgrade their cancellation policies and allowing modifications and changes to their reservations up to 24 hours, allowing for room upgrades and providing flexible check-in and check-out times where changes can be made in case of unexpected circumstances.
The role of technology in the Malaysia hotel industry
The usage of technology and automation will eventually increase in the operations of the hotels. No contact technological applications and minimal service contact automation will be implemented by certain hotel brands, which eventually will become an expected norm and the way to proceed by hotels in the future. For instance, contactless hotel check-in and check-out, service robots and interactive information panels for guest information retrieval and engagements will be implemented.
Some suggestions provided require ample planning and consideration by the hotels’ management as their brand reputation and image could be altered in the future and the cost factor for implementation and sustaining of such suggested operations is vital. Hotels in Malaysia must ensure that their products and services delivered can achieve their brand standards met to allure both leisure and corporate guests.
Employees are the key to restarting hotel operations. Remaining employees who are still employed to the brand establishment might need retraining and upskilling to enhance and upkeep their skills while adhering to the new standard operating procedures introduced.
Certain hotels might restructure their workforce based on the requirements needed by departments within the hotels allowing for an optimal workforce. Certain hotels in Malaysia may merge and acquisitions by stronger groups might take place for continuous growth and survivability for the future to come. This process will create uncertainties among employees.
Motivating employees is necessary even more during these pandemic times to ensure they are feeling safe to work and have trust in their capabilities to perform duties while avoiding insecurities towards their jobs. Ensuring employees well-being is the way forward, for employees are the key to the hotel’s success with guests.
What’s next for hotels in Malaysia?
The new normal is something the Malaysia hotel industry must adapt to survive. The need to provide their guest with surety that they can use the facilities and services without any doubt is ultimately the priority hotels need to establish.
The hotel needs to pay heed, not to be part of a Covid-19 cluster statistics that would further hinder their reopening and progress. Providing their guest with the assurance that their rooms, outlets, and public areas are kept to the highest hygiene-sanitation and social distancing standards acts as an alluring point for guests.
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Currently, some hotels in Malaysia have implemented or practised some strategies stated to ensure their survivability. Nevertheless, hotels that are planning or yet to fully resume their operations may consider these recommendations to move forward and sustain in the new normal.
This article has been edited for length and clarity. The views expressed are those of the author and do not necessarily reflect the views of Travel Wanderlust
