The Dealmakers’ Ballroom: Understanding the hotel lobby phenomenon

Where will the future of our economy – from the global economy, even – come from? Forget about garages in Silicon Valley, illicit side projects in Manhattan cubicle farms and the online tinkering that happens in the Harvard dorms. Instead, take a look at hotels. Specifically, peek into the lobbies.

As travelers, we pass through the hotel lobby. The only reason to stick around is because you’re waiting to meet a local friend or your kid forgot something and had to run back up to the room. Sure, there are lobby bars that give you a reason to hang out for a while, but that’s not really the lobby. I’m talking about the couches and chairs that may be festooned with the day’s newspaper but don’t come with drink service or any other raison d’etre.

Yet, as hotel guests walk from the front door to the elevator bank, especially in major cities, there are always a few people lingering, alone or in groups. They talk in hushed tones, pluck away at laptop keys and occasionally shuffle papers. These transients look like any other business traveler … because they have trained themselves to blend in.

The reality is not what it seems.Hotel lobbies offer great places to meet. You can usually pick up a wi-fi connection, people come and go without asking questions and there’s plenty of traffic to conceal the fact that you don’t belong. And, you don’t. If you’re among these hotel-squatters, you’re not a guest of the hotel, and you probably shouldn’t be availing yourself of the free meeting space. Nonetheless, it happens all the time – and good things come from it.

Cash-strapped entrepreneurs have been using free spaces to meet for years. I first saw (and took part in) the practice in late 2001, when the Boston area was reeling from the dual pressures of the dotcom market’s implosion and the economic effects of the September 11, 2001 terror attacks. I was starting a business at the time, and I was meeting with other entrepreneurs to discuss potential partnerships. Though we met in Starbucks locations, train stations and any number of public places, hotel lobbies were always the most comfortable.

And of course, I didn’t want to bring any potential business partner to my apartment (or my neighborhood, for that matter).

All that was almost a decade ago, and I haven’t spent a whole lot of time meeting in hotel lobbies since then – until this year. In the past few months, I’ve already been to two business meetings at the W Hotel Union Square in New York to talk to entrepreneurs with grand dreams and carefully managed execution plans. It occurred to me that the ashes of the financial crisis are awaiting their Phoenix, and I may have met it.

Hotel lobbies do serve a purpose, even if not for the hotel or its guests. This week, we’ll take a look at how entrepreneurs use these vast, free spaces to take their shots at becoming your next employer.

This is a week-long series from the writer of White Collar Travel about the role hotels will play not only in the recovery of our economy, but in giving an early home to the businesses that will define tomorrow.

Flickr’s New York: A tale of two cities

Tourists photograph Midtown and Lower Manhattan, while locals click their cameras in the East Village and Chinatown. So, it’s clear: tourists and locals don’t mix in New York.

Eric Fischer, a computer program, used geotagging data from Flickr and Picasa to plot maps of New York and 71 other cities, using a system he created for determining which shutterbugs are locals and which are from out of town.

Using this system, we can divine the following:

  • Tourists shoot Yankee games, while there are more locals snapping away when the Mets are playing at home
  • Locals prefer the Manhattan Bridge, and tourists flock to the Brooklyn Bridge … yet Brooklyn itself is packed with local photogs
  • Nobody goes to the Upper West Side (unless he or she lives there)
  • Governors Island is about as tourist-free a place as you’ll find in New York

Airline law ends long Tarmac delays, fine threat improves performance

The world didn’t end. No logistical disasters emerged. In fact, everything got a hell of a lot better.

Several months ago, the prospect of a maximum three-hour tarmac delay had the airline industry proclaiming the arrival of the four horsemen. They claimed that it would severely disrupt the industry to have to give passengers the option of getting off the plane would lead to chaos. People would be furious by a lone passenger wanting to bring the plane back to the gate, and crews would be forced to operate within the constraints of customer demands (you know … like other businesses).

Well, the airline industry doesn’t appear to be any worse off than it was. In fact, it looks like the new three-hour rule is having a positive effect. Three-hour tarmac delays have effectively disappeared, and on-time arrivals have improved overall. Everything seems to be running better than it was before the airlines faced fines of up to $27,500 per passenger.

How big a different did it make?Well, only four planes sat on the tarmac for more than three hours in April. In March, 25 hit that mark, and April 2009 had an astounding 81 planes on the tarmac for that long.

So, you’re probably wondering if the airlines stacked the deck, canceling flights to protect their stats and mitigate the risk of having to yank planes back to the gate or shell out big bucks fines. Year over year, the DOT reports that cancelations fell approximately 50 percent, with only 3,637 of 529,330 flights getting chopped.

Overall, on-time performance for the 18 airlines that report to the U.S. Department of Transportation climbed to 85.3 percent in April – up from 79.1 percent in April 2009 (and better than March’s 80 percent. Most of the late arrivals were caused by aviation system delays (e.g., bad weather or heavy traffic).

Efficient use of New York airspace and generally calm weather contributed to the improvement. LaGuardia‘s on-time rate surged to 87.4 percent from 67.4 percent. JFK showed a similar improvement – from 67.3 percent to 83.5 percent.

U.S. Airways led the pack in on-time performance among major airlines and followed Hawaiian and Alaska Airlines in the total market. American Airlines was the bottom of the barrel for the large carriers, with its sister carrier, American Eagle, sucking most among all airlines.

Let’s do the math on this. Holding airlines accountable and offering up the threat of hefty fines for mistreating passengers didn’t jeopardize their ability to operate. If anything, it led to improved results. For once, it seems, the government got it right. If that sounds weird, think of an airline that takes off and lands on time. Weird, right?

Off & Away goes international

Off & Away the recently launched luxury travel auction site is offering up its first international destination. On June 7, 2010, the site will send a stay at La Amada in Cancun under the virtual gavel. Other upcoming auctions include the Andaz in New York (June 9, 2010), Turtle Bay in Hawaii (June 9, 2010) and the Alexis in Seattle (June 10, 2010).

The greatest concentration of luxury deals on Off & Away so far appears to be in New York, so if you’re looking to take a trip out here, putting in a bid might not be a bad idea.

NY is being auctioned off right now. Only 1 hour left. Did you know that we’ve had auctions go for as little as $20? http://bit.ly/OAendless than a minute ago via HootSuite

Strangely, Off & Away rewards valiant losing efforts. According to the rules:

  • If you’re outbid, apply up to 110% of your used bids towards another room
  • Select from any of our 50,000 partner hotels at the Web’s best published rates

Best destinations for gadget geeks

Chances are, the laptop you’re reading this article on was not made here in the U.S. It’s a well-known fact that most of the world’s consumer gadgetry, from mobile phones to laptops to gaming consoles, is created abroad, in places ranging from Japan to Europe and beyond. A visit to one of these tech-centric destinations is a great chance to pick up a one-of-a-kind tech product or grab a great bargain. But gadget travel is also about more than just buying cool stuff – it’s also chance to experience the future of technology. Wondering where you can get in touch with your inner geek on your next trip? Check out our ten picks below.

Batam, Indonesia
If you have the hankering for inexpensive Asian-made electronics, the island city of Batam in Indonesia is hard to beat. A twenty-minute ferry ride from Singapore, this city offers duty-free shopping for a variety of imported electronics. Be sure to check out Mega Mall Batam Centre located in the Batam Central Business District, as well as Nagoya Hill, the biggest shopping center in Batam. Beware of knock-offs and be willing to bargain to get the best prices here.

Stockholm, Sweden
Early adopters will drool with envy over Stockholm’s city-wide WiMax network. With WiMax’s increased connection range and high-speed bandwidth, Stockholm is surely the world’s most wired city.

Yongsan Electric Market – Seoul, North South Korea
With over twenty buildings and a bustling outside flea market full of electronic bargains, Yongsan Electric Market located at Yongsan Station is a haggler’s paradise. Shop the nearly 5,000 stores for steep discounts and a wide selection of Korean and imported gadgets.Science Museum – London, England
For the young geek or the geek young at heart, the Science Museum in London offers a dizzying array of gadgets and gizmos, along with a good dose of science. Admission is free, which is good, because the fun gadgets in the gift shop are not.

Glodok
– Jakarta, Indonesia
Offering a gigantic variety of electronics, Glodok’s 500,000 square meters will require several days to shop. Well known to Indonesians, this area sells dirt-cheap Asian-made electronics and offers some of the cheapest, although not always legal, DVDs and video games. The best way to get to Glodok is by TransJakarta, a bus that stops in front of the district. Watch your bags if you go, as the area is known for pickpockets.

Tribeca Grand Hotel – New York City, USA
If you are a true Apple fanboy, the Tribeca Grand Hotel in NYC has you covered. Reserve an iStudio room and you can use your room’s G5 Mac, fully loaded with film, music and photo editing software. Don’t forget to bring your iPod for the in-room Sony Dream Machine Speaker Dock. Reserve your iStudio by calling 877 519 6600.

Consumer Electric Show – Las Vegas, USA
Gadgets so hot you can’t even buy them yet! This annual Consumer Electronics Show showcases the up and coming gadgets from around the world. While you can’t purchase these toys yet, you can certainly find one to start drooling over.

Inamo Restaurant – London, England
Even geeks have to eat, but that doesn’t mean that they have to go cold turkey on technology. Inamo, an Oriental fusion restaurant in London’s Soho district, offers a high-tech dining experience. Diners can order dinner, drinks and even set the evening’s mood lighting by interacting with their dining table. Quite an innovative experience and the food is good too.

Cafe Grumpy – New York City, USA
With over 25 coffees on the menu, Cafe Grumpy will jump start anyone’s day, but its not just the coffee that has gadget geeks drooling. Cafe Grumpy’s unique $11,000 Clover coffee machines that the gadget aficionado will fall for.

Akihabara – Tokyo, Japan
Also known as Akihabara Electric Town, Akihabara is giant shopping area a few minutes from Tokyo Station. The newest international electronics are available next to discounted used gadgets. Visit Akky International Main Store at 1-12-1 Soto-Kanda for duty-free shopping. Don’t forget to shop the smaller stores to find the best bargains.

— Written by Jared S. Bernstein, Seed contributor.