Chapter 9

Lodging: Meeting Guest Needs

LODGING

The lodging industry has been in existence ever since the first traveler looked for a place to spend the night (thousands of years ago)

Over the years, these facilities have (evolved) and have been known as hotels, motels, inns, taverns, ordinaries, etc.

We use the term “lodging” to characterize the overall category of facilities

LODGING TODAY

The lodging industry is a huge industry, by any measure Consider:

Over 47,000 properties Over 4 million guest rooms Generates over $100 billion in revenues Supports almost 8 million jobs

THE EVOLUTION OF LODGING Structures built specifically for overnight

accommodation have been around for thousands of years dating back to Mesopotamia which was a center for commerce

Hotels in the US date back to the late 1700s and the early 1800s including hotels in Boston, New York, Chicago and Philadelphia

Important features of early hotels included location and accessibility to transportation

THE EVOLUTION OF LODGING “Grand” hotels were later built in resort areas,

city centers and along transportation routes – Waldorf Astoria, Palmer House, Tremont Hotel

The Tremont (in Boston) was the first to offer guests their own room!

Other “Grand” hotels were built in the 1800s and early 1900s each offering a new amenity of feature

THE EVOLUTION OF LODGING Motels (Motor Hotels) are a relatively recent

development. They developed along with the highway system beginning in 1925 in California

Holiday Inn was the first well known chain of “motels” built in the US (1952) and started in Memphis

Holiday Inn was started by Kemmons Wilson after a family vacation

There have since developed many different types of lodging facilities focusing on different customer needs (example: guest suites)

CRITERIA FOR CLASSIFYING HOTELS Price (or service) Function Location Market segment Distinctiveness of style or offerings

HOTELS CLASSIFIED BY PRICE Limited-service hotels Full-service hotels Luxury hotels

CLASSIFYING HOTELS BY PRICE Limited service hotels Usually no public meeting space and limited

food and beverage ADR is between $60.00 and $70.00 Examples include Holiday Inn Express,

Comfort Inn, Rodeway Inn and Fairfield Inn

Holiday Inn Express Amenities

• Cable television and movie channel• Children 19 and under stay free in parents’ room+• In-room data ports• In-room microwave (available at many locations)• Smoking and non-smoking rooms available• Swimming Pools (available at many locations)• Fitness Centers (available at many locations)• Fax and photocopying services available• Forget Something?® personal care amenities program• Same-day laundry and dry-cleaning service on weekdays (available at many locations)

From the Holiday Inn Express web site

CLASSIFYING HOTELS BY PRICE Full service hotels Have a wide range of facilities and services

including public meeting space and choice of food and beverage

ADR is over $100.00 Sheraton, Hilton, Marriott (Marriott has 16

“brands”)

Marriott Hotel Features

- Fully equipped fitness centers  -  Gift shops  -  Swimming pools  -  Concierge levels  -  Business centers  -  Meeting facilities  -  High-speed Internet access

Marriott Hotel In-room Features

Multifeatured phones with data ports & voice mail

Lightweight desk on casters Ergonomic chair Bright, even light from no-glare lamps Electrical outlets at the base of the lamps Personal-care products, hair dryers, irons &

ironing boards From the Marriott web site

CLASSIFYING HOTELS BY PRICE Luxury hotels Have a wide range of facilities and services

offered in an upscale environment ADR is over $250.00 Ritz-Carlton, Four Seasons, Fairmont

Ritz In-room Features

Richly appointed décor reminiscent of typical New Orleans Garden District  mansions

10-foot ceilings and floor-to-ceiling windows Luxurious, 100% cotton, 400 thread-count sheets Feather beds and duvet covers Goose down and non-allergic foam pillows Italian marble baths Kohler oversized rainforest showerheads Exclusive Bulgari White Tea bath amenities Lighted makeup mirror, hair dryer and scale Generously-sized terry bath towels

Ritz In-room Features (continued)

Plush terry or lightweight bathrobe Multi-line telephones with hold button AM/FM clock radio with alarm (some with CD player) Fully stocked mini refreshment bar (not featured on Club Level) Suit, skirt and padded hangers Sewing kit 24-hour room service Twice-daily housekeeping service Complimentary overnight shoeshine service Overnight laundry service Evening turndown serviceFrom the Ritz web site

CLASSIFYING HOTELS BY FUNCTION

Convention hotels Large hotels that can accommodate

conferences and conventions. They are sometimes attached to convention centers. They have extensive facilities

Commercial hotels Smaller with less public space. They cater to

business travelers and are found in city centers

CLASSIFYING HOTELS BY LOCATION Downtown hotels Suburban hotels Highway/interstate hotels Airport hotels

CLASSIFYING HOTELS BY OFFERINGS All-suite hotels (Embassy Suites) Extended stay hotels (TownePlace Suites) Historic conversions (Morgans, Bedford) Bed and breakfast inns (Three Chimneys) Boutique hotels (W)

HOTELS CLASSIFIED BY MARKET SEGMENT

Where different types of hotels have been built to respond to specific traveler needs.

Executive conference centers Resorts Casino hotels Health spas Vacation ownership

PRINCIPAL CUSTOMER TYPES

Transient business travelers ─ individual traveling alone

Business travelers attending conferences Vacationers Travelers for other reasons SMERF – social, military, educational,

religious and fraternal

WHAT’S CHANGING?

Increasing competition (subject of Chapter 12)

In room technology Unique hotels Increased service levels Blurring of segments

WHAT’S CHANGING?

Increased business travel Increased occupancy in city hotels Rising room rates Condo/time share conversions