BGA | BUSINESS IMPACT
GUEST COLUMNL
Where next for the hopsitality industry?
T he hospitality industry is among the sectors that have been hit hardest by Covid-19 with more than $2.1 trillion USD of GDP loss at risk, according to the World Tourism Organization (UNWTO). Yet, the sector has shown strong resilience in the past to cope with the effects of 9/11, the financial crisis of 2008 and the SARS virus, and is known for its V-shaped recovery curves. As one of the world’s largest economic sectors, providing 330 million jobs, the hospitality industry will be a driving force for economic recovery, but the global education industry, and those who specialise in hospitality education, must transform with utmost agility in order to adapt. The outbreak’s repercussions are still very difficult to evaluate globally. UNWTO has estimated that 75 million jobs are at risk and many corporations are taking drastic measures to ensure continuity of their businesses once demand is back. For instance, hotel chains such as Hilton Hotels & Resorts closed a large number of establishments temporarily. Covid-19 might have changed the way we work, interact, shop, and spend time but it will not change who we are and what we want from life. Having had time to reflect, people will value authenticity and meaningful values more than ever before. And, after months of isolation and anxiety, customers the world over will want to experience life again. Companies which figure out how
to offer rethought and authentic experiences will lead the way. Building or re-building trust with customers will be at the core of the experience. Health and safety protocols are now basic to any product, service or brand promise. Brands and companies that are ethical today and place people before profits, investing in medical research or supporting local communities, for example, are building their relationship with the consumer of tomorrow.
than international tourism and mid-scale demand is expected to recover faster than upscale and luxury demand. According to Chris Gray, Founder of consumer psychology consultancy, Buycology, consumers will feel the need to show the world how well they are doing to compensate for the level of anxiety and insecurity felt during this time. Spending in luxury is usually reasoned by emotions and feelings rather than rationality making this area harder to predict. After the crisis, students should have a high degree of flexibility around what segment of the industry they would like to work in and around geographic location. With new markets in development and becoming more popular with tourists, such as Saudi Arabia, the number of opportunities worldwide is increasing, and it is important for students to take these opportunities to develop themselves and build their career. One of the primary reasons this industry is so popular is the wide range of career opportunities it offers across so many different types of businesses and organisations around the world. This means students have a limitless number of options for building a career in a variety of sectors such as hotels and resorts, FMCG, events management, restaurants and foodservice, cruise ships and airlines, theme parks and casinos, retail and fashion, consultancy, tourism, and many more.
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'After months of isolation and anxiety, customers will want to experience life again’
Today more than ever, education is key to being able to cope with the changes and challenges of our times. Educational institutions are already at the forefront of this transformation. Relying on emotional intelligence to manage complex environments, reinventing models, mastering the codes to better create new ones, and being committed to a sustainable future, are all part of what Glion Institute of Higher Education is seeking to transmit to its students. According to some analysts, domestic tourism will recover faster
Georgette Davey is Managing Director of Glion Institute of Higher Education.
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