Top Hospitality Performers Place Increased Focus on Enterprise-Wide Visibility

BOSTON, MA--(Marketwire - July 7, 2009) - Recent research reveals 72% of hospitality organizations have successfully integrated inventory management applications into their enterprise management system, according to the latest report titled "Next Generation Hospitality: Upgrading and Restructuring Enterprise Systems" by Aberdeen Group, a Harte-Hanks Company (NYSE: HHS). Aberdeen Group surveyed 75 hospitality enterprises between May and June 2009, and revealed the top two pressures facing 47% of leading organizations: (1) ensuring continued growth and (2) expansion, and improving product and service value.

"In uncertain economic times, the value an organization delivers to its customer base is of utmost importance," comments Chris Cunnane, co-author and research analyst at Aberdeen. "Leading organizations are making strides to stay ahead of the competition by making these improvements a critical business strategy."

In response to these business pressures, hospitality executives have identified "providing visibility into sales and service levels" as their top strategic action, with top organizations twice as likely to undertake this action. "In conjunction with providing visibility, these organizations are also working to improve inventory planning and allocation," reflects Sahir Anand, co-author and research director, Aberdeen.

According to Aberdeen data, visibility into sales allows managers to check the performance of the organization, measure the performance against daily / weekly goals, and make the requisite decisions, such as pricing promotions or other perks, to impact their overall sales. "For a hotel, this can result in agile decision-making on discounted room rates to increase occupancy during slower times, while restaurants are likely to have daily specials, improved meal selections, and aggressive couponing programs to drive more traffic," states Cunnane.

Aberdeen's research has shown that improved integration of operational modules is another driver for success. The analysis of leading organizations demonstrates that these companies follow more comprehensive and practical approaches that enable improved integration of operational modules across the enterprise through a combination of:

--  Regular upgrades to Property Management System infrastructure. Regular
    upgrades ensure improved functionality of the property management system,
    providing a better overall guest experience while reducing manual labor
    hours and costs.
    
--  Data collaboration between headquarter functions. These functions
    include accounting and financial reporting, inventory planning and
    replenishment, revenue management and optimization, and customer
    management, amongst others. Collaboration and workflow visibility allows
    multiple departments to work as a whole and improve the process workflow of
    the organization.
    
--  Demand trend predictability. This ensures proper workforce and
    inventory levels for peak and off-peak times at the organization.
    

All of the above requirements, amongst others, are part of the winning strategy for hospitality success.

A complimentary copy of this report is made available due in part by the following underwriters and publication partner: Microsoft Decision Logic, and Hospitality Net. To obtain a complimentary copy of the report, visit: http://www.aberdeen.com/link/sponsor.asp?cid=5967.

For additional access to complimentary Retail Research, please visit http://research.aberdeen.com/index.php/-retail

About Aberdeen Group, a Harte-Hanks Company

Aberdeen provides fact-based research and market intelligence that delivers demonstrable results. Having queried more than 30,000 companies in the past two years, Aberdeen is positioned to educate users to action: driving market awareness, creating demand, enabling sales, and delivering meaningful return-on-investment analysis. As the trusted advisor to the global technology markets, corporations turn to Aberdeen for insights that drive decisions.

As a Harte-Hanks Company, Aberdeen plays a key role of putting content in context for the global direct and targeted marketing company. Aberdeen's analytical and independent view of the "customer optimization" process of Harte-Hanks (Information - Opportunity - Insight - Engagement - Interaction) extends the client value and accentuates the strategic role Harte-Hanks brings to the market. For additional information, visit Aberdeen or call (617) 723-7890, or to learn more about Harte-Hanks, call (800) 456-9748.

© 2009 Aberdeen Group, Inc., a Harte-Hanks Company
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Contact Information: Media Contact: Chris Cunnane Research Associate Aberdeen Harte-Hanks (617) 854-5370 Chris.Cunnane@aberdeen.com