Hotel Management

10 October 2016

Hotel management and marketing for hospitality excellence and improved profitability “Handmade Hospitality” hospitality management. “ Our mission is to manage and develop Welcome to HS&V Hospitality Management – your complete solution for dynamic hotel management and marketing your hotel using our extensive experience, resources, international alliances and high-level expertise.

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Our dedication, commitment and passion to deliver on our promises allow you to optimise your investment while being released from daily management responsibilities. You can then enjoy the peace of mind to explore new ventures and opportunities Craig Seaman “ H S&V Hospitality Management provides hotel and resort owners with turnkey management and marketing solutions. It leverages our strength, experience and track record of having creatively and effectively addressed the challenges facing the hospitality industry and business in general.

As such you will be supported by a sophisticated infrastructure and a highly experienced management team who understands how to tackle and resolve the core issues of optimizing revenue across the spectrum – from increasing room sales, upgrading F & B revenue, maximizing meeting and conference opportunities and enhancing the unique image and positioning of your property. We invite you to read this brochure because it opens the door to many of the unique advantages and benefits that ou will enjoy as a result of the skills, resources and world-wide exposure that HS&V Hospitality Management can provide. HS&V Hospitality Management 3 We are committed to providing you with expert management services to optimise your return on investment W ith our experience, expertise and resources at your disposal, you have the assurance that your hotels and resorts are in safe hands. • We help you develop realistic goals for your properties and put them into practice. We will analyse the market and create an effective business plan.

You will be provided with detailed and imaginative marketing plans and suggested capital improvements where appropriate. • You will receive periodic reports on progress, and we will point out areas needing attention. • We will ensure that physical maintenance and capital improvements are carried out. • Your staff will become highly motivated through proven human resource techniques that encourage a sense of belonging. • We improve your hotel’s profitability by passing on the ull discounts we achieve through our volume purchasing capabilities. • Your sales will be optimised through a professional, planned sales effort, as well as marketing and strategic partnerships. • You will have access to dynamic marketing tools. • You will enjoy affordable, realistic fees that include a base management fee, an incentive management fee, term lengths and cancellation clauses designed to suit your budget. We are dedicated to growing the value and profitability of the assets entrusted to us by our clients.

The relationship starts with a series of discussions and initial property visits through which we gain a complete understanding of the buildings and their facilities, their condition, the market environment, operating procedures and existing personnel. Using this information, we present you with a proposal that will enable us to manage your hotels or resorts more effectively and economically so that you can optimise the return on your investment. 4 HS&V Hospitality Management Core benefits Freedom from day-to-day management issues • Regular and relevant reports to assist decision-making • Exceptional human resource skills to ensure the best staff selection and continuity of expertise • Emphasis on achieving optimal Revenue Per Available Room (RevPAR) • Sustained drive to enhance guest satisfaction • Service standards at the highest international level • Proven expert revenue management • Global distribution network which is the most powerful in the world • Trustworthy financial systems and controls • World-class management systems • Access to the very latest hotel e-marketing technology • Focused and sophisticated e-commerce presence We operate at the highest international level with complete peace of mind Y ou will have the benefit of a full service contract with HS&V Hospitality Management which will cover every aspect of operational services.

Not only will you have peace of mind in the knowledge that your property is being managed optimally towards increased profitability, but you will also be relieved of the responsibility for having to carry out the often difficult tasks of: • Recruiting the hotel manager and other key staff • Carrying out financial management, legal and accounting matters • Managing human resources • Providing technical support Our management team has extensive experience in managing hotels at the highest level. We have your interests at heart and our contract promise represents years of experience in satisfying clients like yourself. The contract embodies the principles of dedicated service and commitment and is a solid way of optimising your investment return and capital growth. A viable business plan to help your business thrive You will receive a comprehensive and highly effective business plan, based on our wealth of experience.

We prepare such a plan for each hotel we manage, and it incorporates details such as the hotel’s market environment, capital improvement needs and operating history. You will also receive activity calendars for planning and future monitoring. These support the marketing plan and help ensure the budget targets are met. HS&V Hospitality Management 5 We will integrate your team with ours and ensure they exceed expectations You need to have no concerns about integration as we have a proven track record of successfully blending together hotel teams and increasing profitability. We will work with your current team to ensure that service delivery at your hotel will exceed guest expectations. We know that this leads to profitable referrals and repeat business.

Your staff will also benefit significantly from our Customer Service Improvement Programme which ensures that every team member grasps fundamental service standards that will lead to the delivery of exceptional hospitality. Experience has shown that such an attitude leads to a boost in your bottom line. strategy to generate and optimise demand. This will help you gain visibility and increase market share. We will advise on system improvements to enable you to increase revenue. Property visits to ensure on-going excellence As part of our service, your property will benefit from regular visits from our team – both scheduled and unscheduled – for inspections, consultations, management, marketing and the like.

We also deploy ‘mystery guests’ who visit and stay in hotels anonymously to report on service and ensure quality standards are met. reports providing month-to-date revenues, occupancy and Average Daily Rate (ADR) for the current month. You will also receive a more extensive monthly report which includes, for example, a dashboard of operational and financial performance as well as revenue and marketing efforts. Attractive, contemporary design service We have extensive knowledge and experience in current trends in hotel products and design and will be available to consult to ensure your hotel remains at the cutting edge of the industry. Bulk purchasing opportunities

You will gain the advantage of our bulk purchasing arrangements which we operate in conjunction with the other hotels we manage. As a result, you obtain regular savings that would not otherwise be possible. Expert revenue management You will have the benefit of our highly skilled Revenue Management Team, who will work closely with your existing team to advise them on revenue management and distribution solutions, ensuring maximum profits. Our team will assist you in developing a clear business “Your hotel will thrive and grow under the “ Extensive reporting for ease of management and control You will receive regular reports – as often as you wish – depending on your needs. Many clients receive weekly aring mentorship and profound experience of experts who understand – and love – the hotel industry Bruce Griffiths (HR) 6 HS&V Hospitality Management You will benefit from an ethos of dedication to excellence H S&V Hospitality Management was birthed out of a family business stretching over three generations and one of the largest private property companies in South Africa – Louis Group International (LGI). LGI is a family-owned enterprise that has enjoyed nearly a century in business and has consistently applied family and Christian values to all their dealings. Their achievements have been recognised in South Africa’s Top National Companies.

Over and above the recognition of its commercial achievement, the Group has also been featured in Best Companies to Work for in South Africa, which confirms that the ‘family feel’ of the Group has a consistently positive impact on its employees. The Corporate Research Foundation also awarded the Chairman and CEO the No. 1 Executive Management Team (2008/2009) and in the same year the No. 1 Best Managed Company in the Real Estate Sector. LGI has vast international experience and today it’s reach extends into the UK, Germany, Switzerland and Isle of Man. As an attribute to the success in these jurisdictions Dr. Alan Louis, LGI CEO, was awarded the Lifetime Achievement Award for Entrepreneurial Excellence from the International Biographical Centre in Cambridge, England.

Although property and investment activities remain at the core of the Group’s business, our highly relationshipminded and solution-driven approach naturally led us to become a leader in the independent hotel management arena. Today, LGI boasts a suite of luxury boutique hotels, all situated in idyllic locations, offering guests a touch of elegance combined with exceptional attention to detail and service excellence. Above all, they have built up a reputation as experts in the ‘adoption’ of hotels and their conversion to profitability. Their growth philosophy has always been based on the conviction that optimum and long-term profitability is the result of a balance between financial and human resource considerations, a unique product and memorable guest experiences.

The organisation has built up an outstanding reputation for meticulous and visionary hotel management. The combined resources of this powerful organisation has led to the formation of HS&V Hospitality Management, a complete ‘one-stop-shop’ that can take over your hotel management and provide a superb service that will enhance your return on investment and help to ensure capital growth. “ Hotel management is a complex blend of creating service excellence and optimum guest experience, employing excellent revenue management and ensuring that the look and feel of the property is appealing. Above all, it is bestowing the gift of hospitality on the guests while conferring prestige upon the hotel owner Michael Louis HS&V Hospitality Management “ 7

A senior team of African top hotel specialists are dedicated to your hotel’s success Our Africa team consists of more than 20 professionals to manage and market your Hotel with the reinforcement of over 200 professionals in 30 global offices. The Executive team is: DR MICHAEL LOUIS Chairman of Louis Group Hotels, Spas & Vineyards (HS&V) and immediate past CEO if Louis Group (Africa), Michael’s career has encompassed law, politics, agriculture, finance and business leadership. He represented the African Christian Democratic Party (ACDP) in the Western Cape Parliament and as a Provincial Cabinet Minister. He developed the 28 000 ha Komsberg Farming enterprise – a Louis family business – into a major supplier of export quality table grapes.

His passion for education is expressed as Chairman of the Cornerstone Institute, pioneering a diverse higher education offering to future leaders undergirded by a Christian ethos. Recent personal accolades include being awarded a Doctorate of Laws from Nyack University in Manhattan, New York. CRAIG SEAMAN Managing Director and founder of HS&V Hospitality Management, Craig has been in the hospitality industry for over 25 years, with extensive qualifications in Hotel Management including from Cornel University in the USA. After working in a variety of management positions with Southern Sun and Sun International in their flagship properties, he moved to Stellenbosch as opening General Manager of Spier. Here he oversaw the development and launch of what has become a world renowned wine estate, hotel and resort.

As Managing Director of Louis Group Hotels, Spas & Vineyards Craig has been involved in the acquisition and transformation of the Group’s award winning luxury suite of boutique hotels, including the Devon Valley Hotel and SylvanVale Vineyards, Erinvale Estate Hotel and Spa (winner of the Best Luxury Hotel in South Africa) and Place on the Bay. BRUCE GRIFFITHS Head of Human Resources for HS&V Hospitality Management, Bruce has decades of HR and training experience across Southern Africa. He spent 26 years in retail management with the Edgars Group, Truworths and the Foschini Group in store operations, regional and divisional management, specialising in Human Resource Management. He also spent 6 years as the executive and operations administrator for one of the largest churches in Cape Town. Since joining Louis Group International, Bruce has been integral to the Human Resource division and in facilitating the Louis Group’s Business Academy, which has graduated over 1 200 students.

Bruce has been part the hotel management team from the first acquisition almost a decade ago, assisting with operational HR practices, industrial relations and training. 8 HS&V Hospitality Management Your guests will be assured of true Handmade Hospitality For the past decade HS&V hotels have become renowned for their unique and award winning hospitality. HS&V Hotels are constantly rated at the top of their market segment by our guests due to our high level of service. LYNNE GILLESPIE Head of Communications & Public Relations, with responsibility for all marketing communication, social media initiatives and e-marketing. After studying at Le Cordon Bleu (London), Lynne studied Hotel Management at the Cape Town Hotel School where she obtained her qualification Cum Laude.

She started her career with the Southern Sun Group at the then Cape Sun Hotel as part of the team responsible to re-brand the hotel to an Inter Continental Hotel. She moved to Sun Intentional in the mid 1990’s, thereafter in early 2000 she joined the Rezidor Group as part of the Radisson Blu Hotel Waterfront team and held various key executive management positions. As part of their public relations and marketing team, she played an integral role in the initial brand awareness and brand development for the Rezidor Group in Southern Africa before joining the Louis Group Hotels, Spas &Vineyards in 2008. A VALUE BASED CULTURE At HS&V Hospitality Management, our values underpin our guests’ experience.

Just some of our hotels’ numerous awards and accolades: • Best Boutique Hotel in South Africa • Best Luxury Hotel in South Africa • Best five-star hotel in Germany for four consecutive years • Erinvale Spa: Top 100 Spas in Africa. • Erinvale Estate Hotel & Spa is a Leading Golf Hotels of the World • Erinvale Estate Hotel & Spa is a Preferred Golf Hotel • Devon Valley Hotel was the 2010 Summit Resort of the Year • Devon Valley Hotel: Best of wine tourism award for accommodation by Global Wine Capitals for three consecutive years. Excellence in hospitality We commit to excel in quality and to deliver the highest standard of practice. Offering authentic service

We want guests to cherish their stay as we strive to deliver genuine and enthusiastic service. Creating memorable experiences We ensure that our team and guests encounter unforgettable moments of delight. Building relationships We strive to build enduring relationships with our team, guests and suppliers. Ethical conduct We undertake to apply honesty, respect and fairness in all our endeavours. HS&V Hospitality Management 9 A benchmark organisation that connects you with the world A key ingredient of effective hospitality management is the team that drives guests to your hotel. We offer you dedicated sales support, providing an established and well equipped structure to ensure that regular sales calls are made to promote your hotel.

This serves to increase your exposure and to develop potential markets by building relationships and uncovering new opportunities. Our team has an in-depth knowledge of the hospitality and tourism industry, backed by years of experience and well established contacts in the leisure, corporate and MICE markets. Our team of sales executives are based in Cape Town, Johannesburg, Pretoria and the United Kingdom. This team performs an average of 170 focused sales calls per month and also services other Southern African countries such as Namibia and Botswana. The HS&V Hospitality Management sales co-ordinator will further guarantee that sales calls are based on your hotels’ tailor-made Marketing Plan, ensuring that the team achieves revenue targets.

The marketing team also attend regular trade shows, client events and workshops, thus reducing the costs to individual hotels and making these events a viable form of marketing. In addition to the HS&V Hospitality Management sales team, we harness the formidable offering of the Preferred Hotel Group, one of the world’s largest and most dynamic hotel networks. This will offer you: • Access to a team of over 50 dedicated sales professionals located in 31 offices around the world. • The gaining of new sales through the group sales team that generates an average of 2000 leads a month, year after year. • A corporate sales team who manage over 300 major negotiated corporate accounts worldwide. A dedicated marketing co-ordinator to ensure optimum sales penetration. • Automatic links with the best leisure agents in every region including organisations like Virtuoso®, Signature Travel Network, Ensemble Travel® and American Express ® Fine Hotels & Resorts. • Invaluable exposure at more than 200 trade shows and events a year. • Access to Lanyon ™, the premier automated tool maximising the RFP process, with access to sales and contact data on hundreds of managed corporate accounts, travel agents and tour operators. • The benefits of HS&V Hospitality Management’s partnerships with key corporate account placing groups and meeting organisations. Access to more than 150 meeting planners worldwide, through our group Lead Share System™. 10 HS&V Hospitality Management Our alliances will increase your exposure ould you like to be part of an international network with a presence in 70 countries and with more than 800 hotel members? If so, then HS&V Hospitality Management is your answer! In recent years, the organisation has also entered into a valuable strategic alliance with the Preferred Hotel Group (www. preferredhotelgroup. com) This Group represents the pinnacle of refined travel and hospitality, with a global collection of independent hotels and resorts with a consistent commitment to excellence.

The Preferred Hotel Group provides a vehicle for developers who want to enjoy the benefit of linking their hotel to a recognised brand, yet at the same time retaining their independence. By becoming part of HS&V Hospitality Management, you gain direct access to this valuable network – providing you with uncapped international W opportunities. This represents an exceptional opportunity. The Preferred Hotel Group is the industry leader in providing prestigious branding, global sales, marketing and an integrated reservation service to independent hotels. Celebrating 40 years of excellence, this worldwide hotel distribution network provides high-performance sales, marketing and technology, solutions to more than 800 hotels in 70 countries.

Those who have enrolled with HS&V Hospitality Management have found immense additional benefits from this international exposure including, of course, increased revenue. The following hard brands are available: • Sterling Hotel • Summit Serviced Residencies HS&V Hospitality Management 11 Global distribution through state-of-the-art connectivity Top technology platform HS&V’s Revenue Management team enable you to optimise our single portal that connects all reservation channels – GDS, voice call centres, hotel websites and Online Travel Agents (OTA). And our Central Reservation System (CRS), SynXis, enables all rate products to be managed in one place. Your hotel will have access to a multilingual toll-free voice reservations network with worldwide spread. You will also be connected to the tate-of-the-art Internet Booking Engine, (Guest Connect) which interfaces with your Property Management Systems (PMS) and Revenue Management Systems (RMS. ) revenue to expand, while the inventory is controlled through a centralised system. You will gain valuable exposure through our website, which targets the consumer market and manages the diverse needs of today’s traveller – from business to leisure, family holidays to romantic breaks, spa and golf getaways to corporate meetings and business incentives. A million-strong loyalty programme By signing up with HS&V Hospitality Management, you can obtain access to one of the most valuable marketing tools in the world – the IPrefer ™ Guest Benefit Programme.

This loyalty programme has a membership of more than a million and generates loyalty among travellers by offering them tangible benefits at no cost to the member. Your hotels will gain exceptional exposure in exactly the right target markets through being able to offer this outstanding loyalty programme. Sophisticated revenue tools HS&V provides you with a range of sophisticated statistics to help accurately analyse trends and profit potential – the most valuable management tool of all in the hotel world. HS&V operates a highly sophisticated databank of essential management information which will enable you to receive monthly production reports.

A dedicated revenue management team will conduct regular checks of your hotel which will provide important management information. As a result of this you will be guided on how to increase RevPAR (Revenue per Available Room) and profits through all distribution channels. Our team will coach your staff, devise activity programmes and help you with account management. We will provide you with individual statistics and reports tailor-made for your properties to ensure optimum control. Powerful E-commerce channels A large percentage of HS&V’s business is generated via the Internet and the trend will inevitably grow. We will expand this to include SEO, online marketing and social media as valuable marketing tools to generate high sales for your hotel operation.

You will be able to use our dedicated global revenue management and marketing teams who can capture sales opportunities through multiple direct channels. Our dedicated team continuously drives information on our hotels towards preferred partnerships, which gives them exposure to targeted sales opportunities. This allows 12 HS&V Hospitality Management Cutting edge corporate communication, design and E-commerce You’ll be assured of the best possible market penetration as you will have one of Africa’s most experienced hotel communication and design operations promoting your organisation Y ou clearly want to penetrate the market as effectively and directly as possible. And you also want visitors to return, year after year, as well as tell their friends of their memorable experiences.

Our Marketing Division has years of experience in providing exceptional marketing services to hotels. We begin by working with you to conduct a thorough analysis of your current marketing strategy and collateral. We use this to co-create a detailed marketing plan per market segment. The results have been positive, with the hotel’s we market consistently out-performing their competition. Here are just some of the benefits you’ll derive from our Marketing Division: • You will receive a full marketing audit and evaluation of your current marketing collateral, websites and so on, to identify gaps and suggest improvements. • You will be given a strategic marketing plan tailor-made for your hotel to capitalise on every seasonal opportunity. You can obtain high quality brochures, banners, videos, and other visual marketing material, designed by some of the most talented writers and designers in the country. These provide powerful aids for our sales team. • We can design a comprehensive, sales-driven website for you with an emphasis on rich, visual imagery, easy to navigate layouts and simple online booking forms to increase sales and provide an extremely positive user experience for your clients. • You will gain the benefit of our high level of expertise in web technology and our ability to seamlessly integrate this with traditional advertising media and to optimise bookings and revenue. You will have extensive exposure on valuable new social media platforms such as Facebook, Twitter, Linked-in and Pinterest to ensure optimum exposure and relationship building opportunities.

We can develop easyto-navigate mobile websites and apps so that potential guests can view your hotel and make bookings from their smartphones, tablets and mobile devices. We can drive substantial additional traffic to your website through viral promotions, competitions, special offers and other promotional techniques. • You will get increased booking conversions through our focus on SEO (search engine optimisation) and PPC (Pay-per-Click) advertising through Google Adwords and Facebook to advertise your hotel’s digital presence and increase booking conversions. Your database can be maintained and expanded through powerful direct marketing presentations to continually build positive client relationships and increase sales year after year. • Your PR efforts will be supported – or we can even provide a full PR service as necessary, for special events and on an on-going basis. HS&V Hospitality Management 13 Realistic fees tailored to your goals H S&V Hospitality Management works together with clients to ensure that the fee structure is aligned to your goals. We have a variety of options that can be tailored to ensure that you will be comfortable with the arrangement. set up the systems for your hotel. The Incentive Management Fee ties our profitability to the results of our efforts. Once your financial goals for the hotel are understood and achievable results are agreed upon, we agree upon a fee which relates to these goals. The fee is usually related to gross operating profit and the percentage ranges between 8% and 15%. • The Monthly Marketing Fee covers the extensive marketing activities which HS&V Hospitality Management undertakes on behalf of your hotel and is based on 1. 5% of turnover Consulting and oversight service Consulting fees are negotiated on an individual basis, depending on the services provided and the time involved. • On certain projects, fixed fees are applied while others are on an hourly basis.

Hourly fees vary with the level of staff or experience necessary and the complexity of the assignment. • Once the amount of web-based and traditional studio work necessary for the hotel to be effectively promoted is determined, a monthly retainer or implementation fee can be negotiated for digital design and communication. Management Contracts Fees are divided into three fundamental areas. • The Base Management Fee is intended to cover our costs for providing basic services. This is usually a percentage of total revenues, or a minimum monthly amount, whichever is greater. The percentage ranges from 2% to 4%. There is also an initial implementation fee to 14 HS&V Hospitality Management hospitality management.

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