LAST MAN STANDING: ARCHIPELAGO INTERNATIONAL'S SURVIVAL STRATEGY IN THE FACE OF ADVERSITY
John Flood reveales Archipelago International's strategies for surviving the pandemic and its plans for future growth.
In a recent interview with John Flood, Chief Executive of Archipelago International, the hotel management company revealed its strategies for surviving the pandemic and its plans for future growth. Flood emphasized the importance of being the "last man standing" during challenging times, as they reduced expenses and remained open, confident that government and business travel would persist. Aggressive online sales and promotions played a vital role in helping the company break even, while they utilized the downtime to improve processes and develop new software.
Taking advantage of opportunities left by competitors, Archipelago International successfully expanded its reach internationally, securing deals in Saudi Arabia and Cuba. One of their popular services, "Powered by Archipelago," which offers online connectivity and distribution to non-chain hotels, gained traction in various countries. Flood highlighted the significance of this service, stating, "It's a one-stop shop that non-chain hotels really need."
With a portfolio of 162 hotels across different countries, Archipelago International is renowned for its brands like Aston, Fave, Harper, Alana, and Neo. The company's ambitious goal is to manage 500 hotels and have 2,000 hotels under their Powered by Archipelago system within the next five years. Recently, they launched the Huxley brand, specifically targeting a young and exclusive audience.
Flood attributed Archipelago International's success to their flexibility and perseverance, emphasizing their commitment to following through on their promises. The company aims to bring Asian hospitality, design, and service to a wide audience, prioritizing staff training, continuous improvement, and aligning their strategy with the company's culture.
The company values the diverse cultures of its locations and strives to design hotels, services, and training programs that reflect the local culture. Flood stated, "We strive for a total service culture" and highlighted the importance of guest feedback, constant learning, and exceeding expectations. Archipelago International's focus on incremental progress empowers its staff and enhances hotel systems.
Flood also pointed out significant industry trends, such as the rising prevalence of remote work and the growing wellness industry. To stay competitive, hotels need to adapt and become remote working hotspots while capitalizing on wellness opportunities. Additionally, personalized and digitalized guest experiences are becoming increasingly important to meet customer expectations.
When asked about glamping sites, Flood revealed that while the company considered it, they decided against it due to the challenging climate in Indonesia. The heavy rainfall experienced for half of the year would have made glamping operations difficult.
Archipelago International's ability to survive the pandemic was attributed to its "last man standing" strategy, focus on online sales, and expense reduction. The company's continued international expansion and successful launch of new brands demonstrate its determination for growth. By prioritizing excellence, flexibility, and embracing diversity, Archipelago International sets itself apart from its competitors. Through continuous improvement and aligning strategy with culture, the company ensures exceptional guest experiences.
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