Congrats, You’re the ‘World’s Best’ Hotel. Now Comes the Hard Part

Yet another list: The group behind this one, The World’s 50 Best Hotels, says the picks come from an anonymous panel of 600 industry leaders. Despite my general aversion to such roundups, I was generally pleased with the selections. 

We should understand that these lists, whether from magazines or new upstart entities, will never be entirely objective. There are other machinations beneath the surface. However, they do serve to elevate those that are excellent. 

It is also important to understand that with a surge of attention, press, and accolades, comes unintended consequences that have to be managed. 

The Million-Dollar Problem

Many of the winners now face what we might call “million-dollar problems”: tons of new interest and good SEO, but their guest base rapidly changes from die-hard fans to “lookie-loos” who just want to check off their list of what’s-hot-now.

These problems aren’t limited to the hotel world. The Economist recently wrote about the frightening correlation between restaurants winning a Michelin Star and subsequently closing.

“Being in the limelight raises diners’ expectations and brings in tourists from farther away. Meeting guests’ greater demands piles on new costs,” the article noted.

Additionally, suppliers may raise prices, assuming business is booming, and employees become more susceptible to poaching by competitors due to their increased perceived value.

A Case Study in Managing Success

After being awarded the top prize last year, Passalacqua, a hotel on Lake Como, took the metaphorical phone off the hook. 

They tried their best to avoid the limelight. They didn’t answer requests from bold-faced named celebrities, nor did they let oligarchs book out the place. This strategy was correct and a masterclass in maintaining integrity and core values.

Some unsolicited advice for those in the spotlight

Play the Long Game: Figure out how to broaden your guest base via this newfound visibility while preserving the elements that your recurring guests love. Hotels are delicate ecosystems; a surge of “not-quite-right” guests can be shocking to the system. 

Retain Your Spine: Top-rated hotels will receive new and outlandish requests from celebrities and the wealthy. Maintaining your internal core and self-respect is key. Your employees will thank you with their loyalty.

Lists are Lists: Recognize that these lists are often commercial tools, whether to sell branded awards, gala tickets, or increase page views from happy people sharing on their socials. While it’s a pleasant recognition of craft, one winning hotelier told me: “Now we have to work harder.” This is the right spirit. 

The True Measure of Excellence​​​

Obviously the commercial and reputational gains from a big award will keep folks clamoring for the dopamine hit. But managing the strategic, cost, and human resource challenges that lurk will be the test. 

I think the best standard is the long-term internal culture that leaders set and the self-discipline and internal motivation. It is the unseen, non-flashy things that truly make a great hotel. Consistent excellence generates compound interest over time.