Chapter 9

1. Chapter 9 Lodging: Meeting Guest Needs

2. 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

3. 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

4. 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

5. 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

6. 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)

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

8. HOTELS CLASSIFIED BY PRICE • Limited-service hotels • Full-service hotels • Luxury hotels

9. 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

10. 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

11. 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”)

12. Marriott Hotel Features - Fully equipped fitness centers  -  Gift shops  -  Swimming pools  -  Concierge levels  -  Business centers  -  Meeting facilities  -  High-speed Internet access

13. 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

14. 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

15. 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

16. 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 service From the Ritz web site

17. 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

18. CLASSIFYING HOTELS BY LOCATION • Downtown hotels • Suburban hotels • Highway/interstate hotels • Airport hotels

19. 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)

20. 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

21. 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

22. WHAT’S CHANGING? • Increasing competition (subject of Chapter 12) • In room technology • Unique hotels • Increased service levels • Blurring of segments

23. WHAT’S CHANGING? • Increased business travel • Increased occupancy in city hotels • Rising room rates • Condo/time share conversions