Jose Miguel Batista, General Manager, YVE Hotel Miami
According to Jose Miguel Batista, general manager of YVE Hotel Miami, Airbnb is not going to eat the hotel business. It is just a different market. “People appreciate the services and the experience in hotels. I think that both services can survive,” Batista told Invest:.
What have been the most significant achievements and milestones for the YVE Hotel in Miami during the last year?
We have maintained our goals and projections, despite the slow times that we faced this year. Also, there is a great deal of competition in downtown, and most of the hotels are new or have been updated or renovated. We are one of the oldest hotels on Biscayne Boulevard. This is a building from 1926. It’s historic. To maintain our position against the competition that is here is an achievement in itself. We can compete on average daily rate with these new suppliers in the market on an apple-to-apple basis. But in terms of occupancy, we get a very good five out of five. We have very good penetration. We’re able to maintain our cash flow. We’re able to maintain our staff without having to reduce anything, and we are able to maintain our goals.
How is the hotel positioned to capitalize on the increased interest in downtown Miami?
We have a perfect location on 2nd Street and Biscayne. That gives us the first step in terms of competing. The second is independence; we’re able to flex into any situation that we face without the bureaucracy of a flag. We don’t need to ask too many people when we need to make a switch according to market needs. Also, we create a niche for those who like a boutique hotel experience where you can feel that you have everything you need.
We are also competitive on food with our restaurant. We have a full restaurant that is delicious and is ranked one of the best in downtown. That gives us another advantage to compete. And we have a beautiful view of the whole bay from our tower and the Bayside rooms. The service that we provide overall is also unique. We’re very into people and for the people. We like to engage. Everybody here likes to engage with our guests.
What trends are you seeing in aspects like amenities?
One interesting trend is that we are regaining all the traction we lost to Airbnb. People appreciate the services and the experience in hotels. I think that both services can survive. At the beginning, everybody was saying that Airbnb was going to eat hotels. But it is a different product. Hotels and Airbnb serve two different kinds of people. Someone may like Airbnb because they have a large family, or they are going to have a long stay and accommodation like an Airbnb makes sense. But if you are for a week, there’s no better place to be than a hotel. We’re going to make your bed. We’re going to take your trash out. We’re going to take care of you. We’re going to make the food for you. You have people to talk to. You have all the common areas to enjoy. So, the experience of the hotel will never be the same as the experience of an Airbnb. They are two different products for two different demands and needs.
How has your business been affected by economic challenges such as inflation?
Inflation has hurt the profit side of the business because you cannot always transfer that inflation to your price. In this segment, we don’t have that privilege. Some hotels can handle that better than others. When you have inflation on practically everything, such as every single cleaning product or hourly labor rates, it’s hard.
Labor remains an issue because costs are so high in Miami, especially housing. People are being displaced because of the cost of living and housing. But we need labor. Where are you going to get that labor from? There needs to be a better balance.
How do you foresee the hospitality industry in Miami evolving over the next 10 years?
Miami will always be a big destination city for tourists. Unless there is a huge increase in crime or other craziness going on, I don’t see Miami stepping down. Miami is a hot destination and will remain a hot destination.
We do need to keep changing and adapting, however. In 10 years, we will be dealing with a new generation of travelers, and we need to be up to meeting their demands and expectations. I’m guessing that those will be very different from what we are offering right now based on the speed that the technology is moving.
Maybe we will need to put yoga mats in the rooms because these kids now are going to do yoga or meditation in little areas, or you may have to have a real modern, super high-tech desk because they are into that. Whatever it is, we’re going to evolve into that. But I don’t see Miami stepping down.
