UA1kMFR

I was at the Westin Times Square this week and they have closed the Lounge. Apprently, the hotel owners are demanding a higher profit ratio and the only way to do it was to reduce this cost. What is next the extra points? I'm a Plat, member and really not sure what the benefits of this property are now. Clearly not the location. But, the other *wood NYC hotels are not much better.

pelapela

Same on some other *wood hotels I been to. The most ridiculous excuse I've heard was that hotel did not have enough staff to open the lounge. Well, they did have staffs at check in counter counting cash. What's the point being so cheap. I notice that only a very small percentage of people actual use the lounge, but, by closing up the lounge, hotels are messing up with the most royalty customers. Isn't it. Not a very clever movement.

aussiechris

The standard requirements for a Westin now no longer require them to have a dedicated lounge.Management are cutting costs and increasing (from fallen levels) revenue as the slow down cuts deep.Some Hotels have chosen to keep lounges on the basis of their particular mix. More of this will come...

dingo

I really do understand this from a business perspective, though I hate to see it personally.

What I dislike most about it is the way I've seen some of them spin it. If you're a USAir traveler you've seen this approach: "In response to customer demand, we've decided to jack fees or reduce service." It has the implication that customers said 'hey Westin, you know what I'd really like? I'd like you to close your lounges...that would make my stay more enjoyable.' Just shoot straight wiht me and tell me the economy sucks, that you're working to keep base room rates low, that maybe another cheaper perk has been added, and that when this thing turns around you will revisit this decision. Don't play this word game.

itsaboutthejourney

Thanks for the head's up. I'm now canceling my reservation there next week.

BlissWorld

tsk tsk. You shouldn't have booked that place to begin with!

BigBopper

Interesting. I take a different approach. I really DO NOT see it from a business perspective. Unlike 18 months ago, there are fewer customers and the same (if not more) competition. Simple supply and demand. Supply is high so you must lower prices, offer more and take smaller profits. If it were me, I'd be OPENING more lounges and making them nicer to attract a greater share of the market.

As we (and apparently the Sheraton/Westin brand manager) saw from the soap thread, customers DO NOT like to feel that a hotel is being cheap.

KENNECTED

Like us consumers who are watching our costs, would you be happy if hotels raised room rates (across the board) to keep the lounge open?

Maybe this property doesn't have a lot of Platinums booking or people booking executive lounge rooms (that offer access to the lounge) to justify keeping the lounge open.

It often seems like we "want..want..want" but aren't willing to pay more.

vandalby

I don't think it's a tragic loss for this property. The presence of a lounge at the Sheratons aren't enough to make me want to stay in either of those rat traps. The Four Points, W's, LM or SR don't offer a lounge, so they're not necessarily at a competitive disadvantage because of the lounge issue.

I thought the lounge at this property was only average. It had good space and was nicely appointed...evening food and drinks was a bit better than the 'average' *wood lounge; I always thought breakfast was pretty weak with a limited cereal / fruit offering.

CO FF

Breakfast at this property used to be very nice -- cut fresh fruit, pastries, toast, juice, hard boiled eggs, oatmeal, NYC bagels, etc. Earlier this year, it was cut back markedly -- no more fruit (except apples), cheap juice (not Tropicana), less stock of food, etc.

dingo

Damn you're right. I do wish you worked for Starwood. But I think they eliminated the position of Operner of Tons of Unprofitable Lounges...right before they realized profits were down and they need to cut variable expenses to boost the margin.

There is a lot of daylight between a second bar of soap and free booze and food in my opinion.

BigBopper

The only problem with your argument is you make the HUGE assumption that a lounge is unprofitable. Obviously we differ on that opinion.

And it's quite ok that Starwood isn't hiring. I'm not looking. I own my own business, a highly profitable one at that.

pelapela

It doesn't really matter how many platinum are using that lounge. As long as the lounge is a standard amenity, hotel have to keep open, or reimburse it in some other way. It's not a correct way to do a bussiness by simply cutting every cost down. Did you ever thought about that there could be a customer who actually paid for a suite, not upgraded. So who cares about his right to use that lounge. This a really world. You can't always earn money,just like *wood can't always charge a room for $350. Even if we got a good deal on a room, it's not acceptable to cut a hotel's service quality. After all, it's not stated on *wood's website that, for cheap room rates, hotels are allowed to play cheap.

dingo

And I as well; so we've established that we both can run a business!

Perhaps you should increase the cost of your product...not what you sell it for, but what it costs you. Isn't that what you are suggesting Starwood do by adding more overhead? I do assume that opening more lounges, as you suggested, is a money losing idea.

This situation is obviously caused by having the lounges and not getting people to book those room rates that include the lounge. I believe your thought is that by closing the lounges they will see the business of plats walk away or see a reduction of people who are trying to achieveplat status and will lose out on business that way. Maybe, maybe not.

Not sure how they measure the profitability of the lounge, but respectfully I bet the get it better than you or I. Or at the very least, they kind of get it and have seen this tactic achieve the results they want in the past, or they are willing to roll the dice on it.

KENNECTED

Since none of us here work there, this is pure speculation.

For those paying for westin executive club level rooms, they may provide breakfast in the restaurant.