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Special Report from Hotel Management.

The owner of DH Hospitality Group, Scott Hillig, turns attention to sustainability in 2015.


1) How will the hotel industry fare in 2015 in terms of over-all operating metrics and profts?
SH: Both leisure/business travel activity suggest a positive economic outlook. People are more inclined to splurge for ultimate leisure travel. Determining which segments of the industry will fare better boils down to how major brands position against smaller boutique portfolios. Trendy vs. name, security and reputation continue to play largely whe choosing a property. All factors help drive the ADR, leading to the bottom line.


2) What specifc or signifcant goals have you set for your company in 2015?
SH: To become a more sustainable company, understanding the large carbon footprint that our industry creates.


3) What challenges—within the industry or within the world at large—have the possibility to upset the current general optimism within the industry?
SH: Due to recent health concerns and outbreaks, certain markets will suffer greatly while others will reap benefts as being the alternative choice. Due to the fact that we still continue to source much of the product from overseas leaves the industry dependent on the strength of foreign economies. Buying domestically is trending upwards but the gap between foreign and domestic sourcing is still very widespread.


4) In 2015, where are you con-centrating your company’s growth and expansion?
SH: Our company experienced tremendous growth in 2014 in terms of offering a complete turn-key solution with the addition of transportation and warehouse management services. Our volume doubled in size from 2013 and the contracts already secured suggest the opportunity to double the volume again in 2015! We will also venture into other market segments such as health care and retail.


5) What areas within the hotel industry will deserve the most attention in 2015 that may not be on our radar now? For example: Labor issues, govern-ment/economic issues, etc.
SH: Controlling rate of growth and policing of how projects are funded to ensure the industry is protected against another potential economic downturn. Hoteliers became smarter after the struggles a few years back but more start-up companies and individuals are venturing into this industry. There is almost too much too fast again and the industry is struggling to keep up the request to build and turn over more keys.