This post is a follow-up from post “Park Hotel accounting“, analyzing accounts Shanghai Park hotel for 22nd October 1938. The original post was looking into the purchase side of the hotel accounts, this post is looking into the revenue side. In October 1938, the international settlement had been surrounded by the Japanese army since Aug 1937, travelling to the rest of China was difficult and only few ships came from abroad to Shanghai. It is then not surprising that the room part of the revenue is low, nearly the same as the F&B, as tourists and businessmen travelling were very few.
The above picture is the daily earnings report for the date of 22nd Octobre 1938, summarizing all the earnings of the hotel including rooms, restaurants and other guest services. Besides Park Hotel had four restaurants as well as room service, details of which can be found on the Park Hotel leaflet that was show in post “Advertising Park Hotel“.
For F&B, on the list is “sustentation”. This large post (44% of revenue on that day) probably covered breakfast and maybe some more small snacks along the day. It must have been reserved for the residents and their guests, as no revenue is booked from outside.
The grill room was located on 14th floor, overlooking the race course. Numbers show that it was the most popular restaurant of the hotel by revenue, with more than 70% of restaurant revenue on that day. Notably, wine revenu was higher than the food showing that it was popular to drink alcohol while eating grilled meat, as it is today. The restaurant attracted many customers from the outside, as the least part of the revenue comes from residents (about 15%). The largest part (56%) was city, i.e. external regular customers with accounts at the hotel who did not need to pay cash, but where sent the “sheet”, meaning the tab, for collection at the end of the month. Finally, about 27% was cash, meaning external customers that did not have a credit line.
The dining room French cuisine on 2nd floor was much less popular (representing 6% of revenue), with most customers being residents of the hotel. The Chinese restaurant had little more success (about 10% of the revenue).
The hotel also had a lounge and a bar that was massively selling drinks, amounting to 30% of total F&B revenue. The place must have been popular in town, as residents only accounted for a third of the revenue, while city and cash accounting for a third each. The main feature of Park Hotel lounge was a full view of the race course, this made the lounge and bar particularly popular during the racing season. The races were organized in a Spring and Autumn season. The Autumn season would start in October with races on weekends culminating on Champion’s day in November. 22nd October 1938 was a Saturday, it was probably a day of races, explaining the strong attendance of the bar and the grill room which both had view on the race course.
A substantial amount was also spent on cigars, probably mostly in the bar. Telephone was also a source of additional revenue as Park Hotel was one of the places where people could make international phone calls. It was the location for the first international call with the USA attended by Soong Mei-Ling, wife of the Chang Kai Shek in 1935 after AT&T started transpacific telephone service. With the international settlement surrounded, international phone calls were surely of high demand at that time.
For more information on the accounts of Park Hotel, please go to post Park Hotel accounting.
One thought on “Park Hotel accounting part 2”
Nice investigation and analysis!