THE WORLD OF
LODGING
Ch. 10 HS
Section 1
TYPES OF LODGING BUSINESSES
FULL-SERVICE HOTEL
Is large and provides any services
 Distinguishing features are its architecture and level of service
 Usually two or more stories high
 Concierge – is a hotel staff member who helps guests make
arrangements, and advises guests on what to do and see in the
area of the hotel
Five sub-categories of full-service hotels:
 Convention, luxury, resort, extended-stay and condominium
FIVE SUB-CATEGORIES OF FULL-SERVICE HOTELS
 Convention Hotel – designed to provide for the special needs of conventions and
trade shows
 Convention – large meeting, usually sponsored by a group of its members
 Trade show – an exhibit during which people who have goods and services to sell show their
goods and services
 Exhibit Hall – the space where a trade show is held
 Convention Center – a large building designed specifically to hold large meetings, conventions, and
trade shows
 Luxury Hotel – provides the highest level of amenities, service, room furnishings,
public spaces, and technology
 Resort Hotel – caters to the vacationer or leisure traveler
 Resort – a place that provides entertainment, recreation, and relaxation for vacationers
FIVE SUB-CATEGORIES OF FULL-SERVICE HOTELS
 Extended-Stay Hotels – for people who need lodging for five or more days
 Three types:
 Extended-stay
 All-suite
 Residential
 Suite – a hotel accommodation that consists of more than one room
 Usually two hotel rooms joined together
 Sometimes includes kitchen facilities
 Condominium Hotels – are multiple room apartments with kitchens
 Time-share Ownership – owner owns the rights to use the unite for a specific time of the year
LIMITED SERVICE PROPERTIES
 Limited-Service Property – smaller, provides fewer services, and is less expensive
than a full-service hotel
 Motels – first-limited service hotels
 Is one or two stories high, with no interior corridors and no elevators
 Continental Breakfast – consists of breakfast foods that do not need to be cooked
 Inn – a smaller hotel, but larger than a motel
 Two categories – limited-service hotels and budget hotels
 Limited-Service Hotels – offer a medium level of service and a midrange price
 Typically three or four stories tall, has the word inn as part of its name, and offer more services
than a motel but fewer than a hotel
 Do not have a restaurant or bellman services
 Budget Hotels – have the lowest rates and the least service
 Also called economy hotels, budget motels, or economy motels
 Goal – to focus on offering a comfortable, clean place to sleep at the lowest rate
 Microtel – offer rooms with 30% less space ad have built-in furniture
SPECIALTY ACCOMMODATIONS
 Specialty Accommodations – includes a variety of accommodations that are not
hotels, motels, or institutional housing
 Five categories of Specialty Accommodations
 Conference centers
 Lodges
 Bed-and-Breakfast operations
 Hotels
 Campgrounds
FIVE CATEGORIES OF SPECIALTY ACCOMMODATIONS
 Conference Centers – a lodging facility where 60% or more of the total
occupancy is generated by conferences
 Usually offer a complete package of sleeping rooms, meeting rooms, and meals
 Lodges – provide rooms and housekeeping for those guests who want to
participate in a recreational activity
 Bed-and-Breakfast Operations – a private home offering one to five guest rooms
 Are for guests looking for personal service and charming locations
 Include a home-cooked breakfast and an opportunity to meet the host family and the other
guests
 Large B&Bs are sometimes called Inns
FIVE CATEGORIES OF SPECIALTY ACCOMMODATIONS
 Hostels – an inexpensive place to stay where sleeping rooms, bathrooms, and
kitchen facilities are shared
 No linens, toilet articles or housekeeping services are provided
 Campgrounds – are places to pitch a tent or park an RV with limited bathroom
facilities
 Can be basic, cold water and outhouse, or luxurious, hot showers and modern plumbing
 Located in natural areas where people go to hike and enjoy the scenery
 Institutional Housing – provided for people who live in institutions
 Include schools, universities, hospitals, prisons, and the military
 Dormitory – is a large sleeping room filled with bed for many guests
 Senior Housing – provides places to live for people over 55
 More like a resort; can rent or buy in a complex
 Includes more standard facilities and conveniences
Section 2
LOCATION
FIVE MAIN LOCATIONS
 Center City
 Suburban
 Highway
 Airport
 Resort
FIVE MAIN LOCATIONS
 Center City
 Downtown property
 Near large office buildings and retail stores
 Close to city’s entertainment services
 Suburban
 Full-service, Limited-service, and specialty accommodations can be found in the suburbs
 Highway
 Most accommodations along the high-ways are limited service hotels and budget hotels
 Airport
 Full-service, Limited-service, and specialty accommodations can be found in or near airports
 Resort
 Full-service, Limited-service, and specialty accommodations can be found in all resorts
 Locations are very popular places to visit
Section 3
OWNERSHIP & LOCATION
HOTEL CHAINS
 Chains – multiple-businesses that have the same brand name and the same
ownership
 Main advantages are brand name and the ability to save money by purchasing supplies in large
quanitites
 Develop customer loyalty through frequent guest programs
HOTEL MANAGEMENT
 Hotel Management – the day-to-day running of a hotel
 Also called Hotel Operation
Section 4
AFFILIATION, SIZE & PRICE, AND
ROOM RATES
AFFILIATION
 Referral System – a group of independent hotels that creates a central office for
reservations and marketing
 Also knows as Affiliation Group or a Consortium
SIZE & PRICE
 A small property has 1 to 50 rooms
 A midsize property has 51 to 200 rooms
 A large property has 201 or more rooms
 Three price categories:
 Premier
 Moderate
 Budget
 The categories indicate the level of service
ROOM RATES
 Rack Rate – is the official rate for one night’s lodging property
 Room Rate – is the price actually charged for a guest for one night’s lodging
 Rates must be competitive with rates of similar hotels
 Offer special rates in specific situations and for specific types of guests
Section 5
LODGING MARKET
MARKET SEGMENTS
 Business – consists of people traveling for business
 Must have access to mailing services, copy machines, and fax machines
 Sleeping room must include desk and chair, phone at desk, and internet access
 Conventions and Meetings – consists of people traveling to a specific convention
or meeting
 Can be for a business, or professional and social organizations
 Leisure – consists of people traveling on vacation or for personal reasons
 Budget – consists of people looking for the cheapest accommodations
 Long-Stay – consists of people who need accommodations for five or more days
 Special – includes groups who have made special arrangements with the lodging
business for low rates
 Guest Mix – the percentage of each segment that is staying at a lodging property
Section 6
FUNCTIONS IN LODGING
FOODSERVICE AND CONCEPTS
 Meal Plan – a room rate that includes meals
 Four Types of Meals Plans:
 Full American – three meals
 Modified American – two meals
 Continental – continental breakfast
 European – no meals
 Lodging Concept – the whole idea of the lodging property or chain
 Includes the theme, target market, décor, ambiance, and level of service