Daymain Smith knows what it’s like to climb up the ladder of success. The founder/CEO of Synergy Hospitality Group worked his way up from bellman/dishwasher to executive roles in operations. Today, he is one of a few African-American leaders of a hotel management company. Hotel Business caught up with Smith to discuss his career, his company and his views on diversity in leadership positions.
Have you always been interested in the hotel industry? How did you break into it?
I have been smitten by the industry ever since my first hotel stay on a trip to Disney World as a child, roughly since 9 years old. I got my first opportunity to work in hospitality as a bellman and dishwasher with Sunburst Hospitality in my hometown of Mobile, AL.
How did your previous experience help you to be the leader you are today?
These roles prepared me in different ways for my current position. As a regional VP, it was my introduction to owner interactions and what the owners want to see versus what they couldn’t care less about. In my role in business development, I learned the importance of truth and integrity in business. Delivering what you said you could and would was the key lesson.
As the president of National Parking Solutions South, I learned the pressure of being the guy with all of the answers. When you are the sole decision-maker, it is both liberating and a weight on your shoulders. I liken it to being the ruler of a small country and when you sneeze, the entire kingdom catches a cold. But, this preparation is so necessary for young leaders and seasoned leaders alike. There is no blueprint for this. It’s all trial and error, but the true learnings are in the failures and the mistakes.
Please tell us about your company. What services does it offer? How many hotels are in the portfolio, and is there anything in the pipeline?
We have two sites under management and one on repeat consultation. We offer traditional third-party management, as well as à la carte services to meet any budget for any hotel owner. We just launched our task force management division, and we offer a full-service suite of options—including operations consulting, evaluation, site selection and due-diligence—for any scale of project.
We have a few pipeline opportunities with some key brands, including some with brands we have already worked with, such as Choice Hotels and Hilton. I believe we are one of three African-American-owned management companies in the U.S. that are Hilton select-service approved.
The industry is going through a labor crisis. How has your company and its hotels dealt with it?
We have reverted back to a lot of the old ways of doing business really. Focusing on the team members, being an employer that cares and is approachable to the team. We focus on competitive pay rates, reasonable incentives and a profit-sharing program for all of our tenured team members.
What are some of the challenges you see for the hotel industry in 2022?
What I see as being the primary challenge is stabilization, meaning “what we do for the money.” Our customer is different now, and we are in a time that we simply must survive through as leaders and investors. It’s getting better every day, so a strong resolve is what we need to pivot into better days.
What are some emerging trends you see this year for the industry?
I see feeder markets becoming target markets for new development and investment. Also, the growth of education in creating a diverse investor group within the industry. I see so many people that were not even players on the board finally looking at the hospitality space as an option for investment.
You are one of only a few African-American CEOs in the industry. Why do you think there is a lack of people of color in the industry in leadership roles?
I am one of a very few, yes, but we do exist. Let’s focus on that part. As far as a CEO of a management company, I think I may be one of two with actual hotels under management. But, the lack of diversity in this space eludes me honestly. I think we don’t know what we don’t know, meaning that people of color—black and Latinx—are employees, and usually a general manager doesn’t have a clue about how to purchase a site. This requires training and time and sacrifice—a sacrifice that most people won’t make, to be honest.
I think that if more people like me took a leap of faith and tried it, they could inspire so many others. I believe that fear prevents us from taking steps toward greatness, and most people just don’t desire to be great. My desire is based solely on legacy. I want to do what Bill Marriott did, but in my own way. I want to create a legacy of consistency and character that no one can take away from my family line.
What would you tell young African-American students who are thinking about the hotel industry as a career?
Look at operations, but think about real estate, and how you will transition away from the operation to round out your experience. Declare what you want in writing; most owners or presidents or regional VPs won’t understand your desires because they are programmed to not test the norms. But history belongs to the brave and brave you must be. Don’t quit, and always run your race.
What keeps you up at night?
I’m constantly thinking about how to maintain integrity in what we do and be selective and still deliver personalized service. I don’t want to have 100+ hotels; I want to manage 25-40 good ones and have great relationships with our ownership partners.
I also strive to be a better husband and father, which equates to keeping my faith first and taking time out for what’s important. As professionals, we sacrifice things for success and financial growth—time, energy and sometimes family connections. The thing that keeps me up at night isn’t being a good parent or spouse, but it’s more of being an impactful husband and father.
What’s your prediction for the recovery of the industry?
I think we are three years away from a full recovery to old rates and restored travel.
Recovery is market-specific and oftentimes reflective of what was and what can return. In three years, I believe we will see a 180-degree turn in rates and business travel. This will drive the major markets in a positive way and lift base rates in feeder markets as well. It will take us a few more cycles to get confidence back in travel. We will still see gradual increases, but the gold is in corporate and convention travel returning. That’s when we see tourism boom again.
Crystal ball time: Where do you see your company in five years? Ten years?
In five years, I see us with seven hotels under management and supporting about 10 to 13 hotels via our à la carte vehicle. I see us remaining relatively virtual also, with more than 10 task force GMs deployed in the field.
Ten years from now, I see us with 15 to 20 hotels under management and at least two full-service sites that we hold an equity stake in. We’ll also be in a position to sponsor more than $30,000 in scholarships for aspiring hospitality students and $20,000 to high-school graduates as well
