Why it’s Time to Reinvent the Club Lounge
Above, the new club lounge at Voco Orchard Singapore. The hotel offers club guests activities such as a gin appreciation mastercard
From left, Mark Winterton and Patrick Both: New brands such as Voco and Kimpton may give club concept a fresh sparkle
By Raini Hamdi, May 26, 2023
Access to the club lounge is a passage to exclusivity and recognition, but that isn’t a guarantee anymore.
No two club lounges are alike, yet club lounges today feel largely the same and offer the same perks. A highlight is sort of a pre-dinner buffet which, for a good portion of guests, is dinner itself.
Some brands are rethinking how to bring back the exclusivity and relevance of club lounges. Over decades, the industry evidently has successfully de-personalized the very facility it created to pamper its highest paying guests.
“In general we are all a bit guilty of turning the club lounge into a buffet restaurant. It’s supposed to be a premium product but it has gone a bit mass, and boring. But with guests today wanting more exclusivity and privacy, club lounges are starting to find their way back,” observed Patrick Both, IHG’s area general manager luxury & lifestyle Thailand, based in Bangkok.
Elevated lounge
In February, luxury brand Ritz-Carlton rolled out an “elevated” club concept across its hotels in Asia-Pacific, a move designed to meet the evolving needs of today’s luxury travelers, it said.
Three months on, feedback from guests shows they like “the personalized approach” and “the local touches throughout the stay,” said Jennie Toh, vice president, brand marketing and brand management, Marriott International Asia-Pacific.
Each Ritz-Carlton hotel across the region has followed the script to provide a “sanctuary”, discovery, culinary journeys and curated experiences at the club level.
Breakfast, lunch, afternoon tea, hors d’oeuvres and cordials are offered, with local inclusions such as a traditional lunch bento box at Ritz-Carlton Tokyo. In Singapore, guests can design a postcard for loved ones with a Ritz-Carlton stamp. In Perth, a sommelier shares – and pours – secrets of Western Australia wines. In Hong Kong, a whole family can snuggle up for a movie in a bonfire-themed room.
Calmness and curation are also the goal at Voco Orchard Singapore’s new deluxe rooms with club access. The hotel’s general manager Mark Winterton said people want an area they can retreat to and work, relax or socialize, unlike before when it’s all work and no play.
He believes in partnerships to create unique experiences, such as a 45-minute gin appreciation masterclass led by Singapore’s award-winning Tanglin Gin that the hotel currently offers to its club guests.
“We’ve just put in electric car charging points at the hotel and we’re considering to partner with a car supplier so our club guests could test-drive an electric car. It’s adding some fun activities on an ad hoc basis as a way to say thank you to our loyal guests,” said Winterton.
Annual lounge membership is one of the most popular IHG Milestone Rewards, according to Winterton. “It’s a huge recognition, especially for corporate clients,” he said, putting to rest doubts that the curtains may be falling on club lounges as younger customers’ idea of luxury changes.
Impact from new brands
New upscale or modern luxury flags should help push the evolution of the club along. Voco, for instance, prides itself as “un-stuffy” hence guests can expect playfulness at the club lounge than in, say, classic Regent.
Kimpton, a luxury lifestyle brand, eschews the club concept for a daily social hour from 5pm to 6pm, where all guests can mingle with one another over free premium drinks and canapes. At Kimpton Maa-Lai Bangkok, this is held at the poolside.
“Kimpton is a lot about the vibe, energy, music, scent,” said Both, who is also cluster general manager of the hotel and the Sindhorn Midtown – a Vignette Collection, next door. Whether or not club lounges are still needed depends on the clientele and the brand, he said.
Competition is another factor, added Winterton. As a brand, Voco actually does not mandate a club lounge and only a few Voco hotels have it.
“I’m on Orchard Road and everybody has a club lounge. I am at a disadvantage if I don’t have one. It allows me to be competitive. It allows me to upgrade guests if the need arises,” he added.
Dollars and cents
But with cost-control being a lasting Covid-19 lesson, hotels have to be watchful of the ROI from the club concept.
The budget to run a club lounge comes from rooms and is absorbed by a higher room rate. At Voco Singapore, deluxe rooms with club access are on average $74 (S$100) higher than those without, said Winterton.
But, as Both pointed out, the difficulty is ensuring the increase in rate is greater than the cost of running the club lounge.
“If for instance guests consume a lot of food and drinks at the lounge, they may skip dinner and not eat in one of your restaurants. So while you probably make more room revenue, you do less with F&B,” he said.
Ritz-Carlton’s Toh declined to discuss costs of an elevated club.
One thing for sure is for club lounges to evolve, it does not mean higher costs are involved. What’s needed is more originality and creativity to produce a concept that reflects the brand’s identity and caters to the needs of changing travelers.