I always thought that the hospitality industry was composed of Hotel or Restaurants. My oldest son’s bachelor’s degree was in hospitality management (Graduate degree was in Education). John worked a number of years in the restaurant business achieving several promotions with local and national restaurant chains. Upon earning his Masters, He has continued his career teaching 5th graders in the State of Delaware. John was recently one of 3 educators statewide honored in Elementary and Secondary Education in Delaware for his support and ‘hospitality’ to his students!
Hospitality defined is the “friendly and generous reception and entertainment of guests, visitors as well as strangers”. This definition would fit with my previous understanding but based on my son’s award and Jim Cramer’s Mad Money on CNBC that aired this evening, I have a different opinion of hospitality that I wanted to share with you! Cramer was mentioning a former guest on his program who recently authored a book entitled “Setting the Table”. Danny Meyer, the author of this book, shared with Cramer a number of companies that go ‘above and beyond’ in servicing their customers.
My son’s recent honors and Danny Meyer’s ideas ignited a thought that could help us all achieve greater results and employee satisfaction. By the way, Mr. Mayer in his book selected 17 companies that are fine examples of hospitality. These companies have outpaced the S&P this year a staggering 400%. The S&P has delivered a 65% return whereas those companies that Mayer selected have returned 257% according to Cramer’s show.
I do not claim to be a stock guy and based on my poor returns over the years, I would highly suggest that you steer away from anything that I have in my portfolio. [Write me and We can talk], but the diversity of the companies that were in this hospitality index truly amazed me. On the high end, there was Nordstrom’s and of equal importance was Men’s Warehouse. No major airlines with the exception of SouthWest. Higher priced retail such as Whole Foods and Chipotle. Perhaps one of America’s greatest company of the past 10 years was also in this group…Apple computer! A major credit card company, American Express was also named!
What do these companies any my son have in common?
- They expect 110% from their employees (students)
- They are 110% focused on their customers (students)
- They care 110% about their employees (students)
- They have strong management skills
- They offer convenience and will always be there for you!
- They earn your trust!
- They treat you the way you want to feel!
- In the case of companies – better value for the dollar!
- The companies also cherish the “good housekeeping seal of approval”
Genuine Hospitality really works! Let’s go out and do it!