Skift Take
Sandals Resorts has been one of leaders behind the changing perception of all-inclusive resorts in the Caribbean due to a focus on luxury product and services, social media, and local travel experiences.
According to Sandals Resorts’ CEO Adam Stewart, the all-inclusive hotel group is the largest private employer in the Caribbean with over 13,000 staff members.
We interviewed Stewart last month for The Evolution of the All-Inclusive Resort Skift Report launched last week.
Presently, there are 15 couples-only Sandals properties and three members of the sister Beaches Resorts flag operating in seven islands. Along with the economic impact derived from its role as a major employer, Sandals also has a significant impact on attracting much needed airlift into the region. For example, Delta launched its first ever non-stop flight from JFK to Bridgetown this winter, coinciding with the opening of Sandals Barbados.
Founded in 1981 by Adam Stewart’s father, Gordon “Butch” Stewart, Sandals has long been considered an innovator in the Caribbean all-inclusive industry, which to a degree is still fighting perception issues revolving around product and service quality. Regarding product, Sandals has steadily expanded into the luxury arena over the last dozen years. The company purchased a newly built Hyatt resort in St. Lucia in 2002 following its immediate failure due to opening around 9/11. Sandals also acquired a Four Seasons property on Great Exuma in the Bahamas in 2009 during the early months of the global recession.
In terms of service, Sandals has partnered with numerous Canadian and U.S.-based university hospitality schools to develop executives and train staff on-property. The company also works with the English Guild of Butlers to train the teams of butlers working at the more upscale properties.
In addition, Sandals’ marketing machine is the most robust in the Caribbean tourism industry, spending millions on TV spots, billboards and print/digital advertising, directed at both consumers and travel agents. And according to Stewart, the company was an early adopter of social media, which management teams at all of the resorts use to gauge guest satisfaction and engagement.
Due to the business model inherent in the all-inclusive segment, guests tend to stay on-property much more at all-inclusive resorts than EP (European Plan) hotels because they’ve paid for all food and beverage upfront. That has proved challenging for the segment that has come to be viewed as a somewhat contrived travel product, not unlike the cruise industry, with the rise in global demand for more local, immersive, experiential and authentic travel options.
