Summary Slide
Hotel Sizes Hotel Classifications Diagram Compression Product Types Diagram Service Levels Product Types Diagram Cost vs. Product Internet Exercise
Figure 2-1
Hotel Sizes
Classification
Number of Sleeping Rooms
Small Medium Large Mega
1 to 150 151 to 400 401 to 1,500 1,501 and over
Why do management salaries increase as the number of guest rooms increase?
Figure 2-2
Hotel Classifications
Location types
Downtown Resort Airport Suburban
What is a special attraction? How does seasonality affect a hotel? How does compression of demand affect a hotel?
Figure 2-3
Compression of Demand
Suburban
Airport
Demand
Sold Out City Center Demand Resort
(Downtown Location Type)
Suburban
Figure 2-4
Product Types
Service Level
Limited Service Mid-Market Full Service
What are some current market examples of each service level?
Figure 2-5
Service Levels
Economy Budget Mid-Market Luxury Upscale Full Service
Upscale Examples * Omni * Marriott * Hilton * Westin * Hyatt Mid-Market Examples * Courtyard * Holiday Inn * Howard Johnson * Ramada Inn Luxury Examples * Four Seasons * Intercontinental * Ritz Carlton
Limited Service
Economy Market Examples * Budgetel Inn * Fairfield Inn * Motel 6 * Red Roof Inn Budget Market Examples * Best Western * Econolodge * Knights Inn * Super 8 Motels
Figure 2-6
Product Types
Service Level
Limited Service Mid-Market Full Service
Target Market
Extended Stay All Suite What is a Hybrid Market?
Figure 2-7
Cost vs. Product
Relative Cost Per Room
Economy
Upscale
Product Type Service Classifiers
Figure 2-8
Mid-Market
Budget
Luxury
Hotel Types Internet Exercise
As was the case throughout history, establishing hotels as areas of rest in relation to journey segments and junction points is practiced today e.g., roadside motels along stretches of highway, bed & breakfast inns in areas of grand nature, and high rise hotels in city centers.
Figure 2-9
Hotel Types Internet Exercise
Researching the Internet, find examples of three or more property types. Ideally, these would be local hotels that you could visit. Use these URLs to get started:
http://www.traveldata.com http://www.motels.com Use the web site of your local convention/visitor's bureau (ex: http://www.nycvisit.com/index.html)
Figure 2-10
Hotel Types Internet Exercise
List three external factors that would affect the success and profitability of these or other types:
Road Side Motel Bed & Breakfast Inn High Rise Hotel
Did you find any factors that applied to more than one type of property? Why or why not?
Figure 2-11
Hotel Types Internet Exercise
Use the Internet to answer as many of the following questions as you can. Call the properties directly for answers not available online.
What is the rack rate for a standard room? What is included in this rate? What amenities are offered at this property? Are rates different on the weekend? Higher or lower? What other hotels are in the area?
Compare and contrast the properties you selected.
Figure 2-12