Find optimal solutions to operating costs and increase profits in hotels

NDO - At the workshop "Optimizing operating costs in hotels" organized by the Vietnam Hotel Association, delegates discussed solutions to optimize operating costs in hotels, maintain profits and growth.

On the afternoon of March 18, in Hanoi , the Vietnam Hotel Association organized a workshop on "Optimizing operating costs in hotels".

At the workshop, Ms. Do Thi Hong Xoan, Vice President of Vietnam Tourism Association, President of Vietnam Hotel Association said that currently, the tourism industry in general and hotels in particular are facing many difficulties and challenges, especially the prices of raw materials, equipment and food increasing every day.

According to Ms. Do Thi Hong Xoan, there are items that have doubled in price, while customers have strict requirements for services. Therefore, from the reception, kitchen, and customer care departments, a professional work chain must be created, creating maximum convenience for customers. "Optimizing operating costs in the hotel is an important task. This will be the key to ensuring success, increasing profits and sustainable development of the hotel" - Ms. Do Thi Hong Xoan affirmed.

Sharing at the workshop, Dr. Tran Huy Duc, Faculty of Tourism and Hospitality, National Economics University said that hotel business costs are understood as all costs that the hotel must spend to carry out business activities.

Delegates attending the workshop. (Photo: HA THANH)

According to Dr. Tran Huy Duc, the core factors that create competitive advantages in hotel cost management are low costs and differentiation to create unique products. To do so, we must pay attention to service quality, higher efficiency, faster response, feedback and customer satisfaction, and the process of creating and innovating more and more products.

Proposing solutions to optimize costs in hotel operations, Dr. Tran Huy Duc said that it is necessary to compare actual costs and planned costs to see if they exceed them, classify costs to see where the money goes; and at the same time determine controllable hotel costs.

According to Mr. Le Minh Thai - Representative of the Investor of Pullman Hai Phong Hotel, the main factors affecting the structure of operating costs in the hotel are: Increased personnel costs; increased energy and operating costs; fluctuations in marketing and distribution channel costs; Changing technology costs; Adjusting services and utilities; Trends in cost optimization.

Mr. Thai believes that the shift in operating cost structure is an inevitable trend. Hotels need to proactively adapt to maintain profits and growth. Investing in technology, flexible personnel and process optimization are the keys to success.

At the workshop, delegates also proposed solutions to optimize operating costs in hotels, emphasizing costs related to personnel, food prices, energy, etc.