Major transformation for historic hotel

Hotel Union Geiranger was built in 1891 and has a long, proud tradition in Norwegian tourism. Sindre and Monja Mjelva are the fourth generation to host guests at this historic hotel, which now has 197 rooms for visitors from around the world. International holidaymakers normally account for around 70 per cent of the hotel's guests. When the COVID-19 pandemic struck, the business was hit hard.

The company had to develop new products quickly and adapt to new target groups in nearby markets. The buffet for which the hotel is so well known also had to be suspended due to infection control measures. Course and conference organisers introduced new requirements. The company also began working in earnest to adapt its offering to a market willing to pay even more.

'The grant from Innovation Norway was crucial to our decision to embark on such an important, challenging and extensive project,' says Sindre Mjelva.

Operations had to be reorganised, and many employees were given entirely new responsibilities.

'We have been determined to retain our employees and their expertise throughout the pandemic. A more flexible organisation has been essential to achieving this,' says Sindre Mjelva, who is deeply committed to his employees and the local community they are part of.

Special Advisor Marit Giske-Nilsen at Innovation Norway Møre og Romsdal praises their willingness and ability to retain their employees, even at a time when the hotel had few or no guests:

- Year-round jobs at the hotel are important to ensure that Geiranger remains a vibrant and sustainable local community, and a good place for both residents and visitors to the World Heritage village. Geirangerfjord has achieved the Sustainable Destination label and is taking a systematic approach to sustainable destination development.

She points out that the hotel is a good example of a business that has successfully adapted to a new market situation and developed sustainable solutions for the future.

Digital tools play an important role for Norwegian tourism businesses and the industry as a whole. Hotel Union Geiranger is investing in new digital solutions to make its operations more efficient and profitable, while also taking a more targeted approach in its markets. During the winter season, when occupancy varies, digitalisation is essential to making the best possible use of the workforce.

'They have taken important steps towards digitalisation, and we are pleased to work with a company that strives every day to accelerate learning and change among its employees,' Giske-Nilsen emphasises.

In the years ahead, the company will increasingly reap the benefits of digitalisation – in both its operations and further development.

'Our location is a little off the beaten track, but with digital tools we are much more accessible to business partners, guests and our markets,' says Sindre Mjelva, who hopes that we will continue to be a strong driver of innovative transformation in the tourism industry.