Chapter 3 Hospitality Past, Present, & Future Hospitality Services By Johnny Sue Reynolds 1 After reading the chapter you will: • Name three countries that played an important role in the early days. • Name five contributions by the USA. • Describe relationship b/t change in transportation & growth of hospitality industry. • Identify four challenges the industry face today. • List four factors that people can’t control. • Explain how knowing trends helps the hospitality manager. • List and give an example of the four types of trends that affect the hospitality industry. 2 Early History 3 • Hospitality is one of the oldest businesses. • The first written records of travel were recorded on cave walls about 6,000 years ago. • As more people traveled, more hospitality businesses developed. 4 In 4000 B.C. the Sumerians lived in a region near the Persian Gulf that was then called Mesopotamia. They grew grains that they turned into alcoholic beverages. They built taverns and served beer. 5 • Traveled from region to region to trade spices, gold, and other exotic goods. • They needed places to eat and sleep while they were traveling. • People built inns and taverns along the trade routes. • These inns and taverns served tired, hungry, and thirsty travelers. 6 Three Countries that Influenced the Hospitality Industry 7 Egypt Egypt began the tourism trade. 2700 B.C. Pharaohs built elegant burial tombs (Pyramids). Base of pyramids were gathering places to hold festivals and Egyptians encouraged citizens to visit the pyramids. Visitors needed places to eat & sleep. Souvenir collecting became popular. A souvenir is an item that reminds you of a place you visited. Booths were set up to sale the souvenirs to tourists. Egyptians organized the first cruise. A cruise is a pleasure trip taken by boat or ship. 8 Greece Two major contributions: (1) Language. Greek became the universally accepted language of international travel. (2) Greek money was the standard of exchange of monetary transactions. 9 Roman Empire The Romans developed roads throughout their empire. The road system made travel throughout Europe quicker and easier. After the R.E. fell, travel &tourism stopped. The Middle Ages churches offered food and a place for rest. The Renaissance saw a rebirth of travel and artistic interests. Travel once again became popular and safe. 10 Development in the United States 11 • The United States has made great contributions to the hospitality industry. • Grand hotels, motels, restaurant chains, fastfood businesses, and franchises all originated in the United States. • As the transportation changed the business grew. Hospitality businesses developed along the route or at the stations. 12 Inns for Stagecoach Travelers 13 • In the 1600s stagecoach route were established in the United States. • Travelers ate and slept there. • Stagecoaches arrived & departed at certain times. • Innkeeper would have places for coats/hats and a table with food prepared. 14 • Good service was very important. • Innkeepers tried to take care of the travelers needs. • Inns and taverns were popular gathering places. • New York City’s City Hotel was probably the first hotel. It was five stories. Cost $2.00 per night (included breakfast, lunch, tea @ 6pm, and dinner). Built in 1794. 15 Grand Hotels for Railroad Travel 16 • During the 1800’s railroad travel developed and spread. • Trains decreased the travel time. (ex.: a 110 mile trip by stagecoach was 11hours by train it was 2 ½ hours). • Inns, saloons, and restaurants were built close to the railway stations. 17 • The Tremont House was built in Boston in 1828. • It was the first grand hotel with luxury accommodations. • A new profession of hotelier began at this time. • A hotelier is the owner or manager of a hotel. 18 The Tremont House featured ● 170 private rooms ● Lobby with a rotunda (like the U.S. Capital) ● 6 large meeting rooms ● 200-seat dining room serving French cuisine ● Reading room (with newspapers from around the world) 19 • The Tremont was four stories tall (no elevators had been invented). • The hotelier created a new job: bellhop. • When the bellhop heard the bell ring, he had to hop to help the guests. • The bellhop’s job was to help guest carry their heavy luggage upstairs. 20 1900’s Ellsworth Statler developed the chain of Statler Hotels Young Ellsworth Statler Portrait of Ellsworth Statler 21 • He was the first to develop uniform standards for this hotel. • Featured (telephones in all rooms, modern plumbing, and free morning newspapers). • Service Rules called Statler Service Code. Employees had to memorize and follow. 22 Statler Service Code • It is the business of a good hotel to cater to the public. It is the avowed business of the Hotel Statler to please the public better than any other hotel in the world. • Have everyone feel that for his money we want to give him more sincere service than he ever before received at any hotel. 23 • Never be perky, pungent or fresh. The guest pays your salary as well as mine. He is your immediate benefactor. • Hotel service, that is, Hotel Statler service, means the limit of courteous, efficient attention from each particular employee to each particular guest. It is the object of the Hotel Statler to sell its guest the best service in the world. 24 • No employee of this hotel is allowed the privilege of arguing any point with a guest. He must adjust the matter at once to the guest's satisfaction or call his superior to adjust it. Wrangling has no place in Hotel Statler. • In all minor discussions between Statler employees and guests the employee is dead wrong, from the guest's point of view and from ours. 25 • Any Statler employee who is wise and discrete enough to merit tips is wise and discrete enough to render like service whether he is tipped or not. • Any Statler employee who fails to give service or who fails to thank the guest who gives him something falls short of Statler standards. 26 • Until the 1950s the Statler Hotel Company was a major force in the industry. • Conrad Hilton and J.W. Marriott purchased his company. • In 1919 Conrad Hilton purchased his first hotel, The Mobley in Cisco Texas. 27 • In 1925 Hilton built the first hotel in Dallas Texas the carry the name Hilton. • In 1954, he purchased the Statler Hotel Company in was the largest transaction to date. • Throughout the 50’s and 60’s Hilton expanded domestically and internationally. • 1979 Conrad Hilton died. Barron Hilton (son) runs the company now. 28 J.W. Marriott, "if you take care of your associates, they will take care of the customer, and the customer will keep coming back..." • J.W. Marriott began as a restaurateur in Washington, D.C. in 1927. • In 1937, he exhibiting his trademark sense of innovation, offered the first ever in-flight food service to airlines servicing the old Hoover Airfield in Washington. • In 1957 Marriott opened his first hotel, Twin Bridges. 29 Twin Bridges Motor Hotel The Twin Bridges Motor Hotel, later known as the Twin Bridges Marriott was the first lodging facility operated by what would become Marriott International. It opened on about January 18th, 1957, and was demolished in 1990. The motel was located in Arlington, Virginia Resource.: http://getglue.com/topics/p/twin_bridges_motor_hotel 30 • Marriott’s experience in food service game his hotel restaurants a reputation for quality that added to the appeal of the hotel. • Expansion of his restaurants and hotels came during the 1950’s and 1960’s. • In 1972, J.W. Marriott, Jr., succeeded his father as chief executive officer. 31 Motels for Automobile Travelers • A motel combines basic hotel services with convenience for the automobile traveler. • Motel located near the highway, parking is free and outside the room. • Called a tourist or motor court. 32 • 1952 Kemmons Wilson, took his family on a vacation to Washing D.C. and was disappointed by the shortage of accommodations to meet his family’s needs. • He introduced the Holiday Inn, a roadside motel that had extra amenities to meet the needs of families. • They included swimming pools, restaurant, children stay free, clean/comfortable rooms and a distinct sign. 33 Airport Hospitality for Air Travelers 34 • Hospitality choices grew in 1958 when commercial jets began operating. • Airports became the new center for hotel, motel, and restaurant development. • J.W. Marriot (a contemporary to E.M. Statler) opened hotels near airports. • Jet airlines decreased the travel time & inconvenience of international travel. 35 Hospitality Today 36 • The hospitality industry has several major challenges: (a) Delivering consistent service (b) Diversity of the workforce (c) Accommodating special needs (d) Impact of seasons 37 Delivering Consistent Service • Delivering quality service always involves people. • Hospitality is a people serving people business. • Two ways to ensure good service: (1) Procedures that ensure good service (2) Training all employees in the procedures 38 Diversity of Workforce • The face of the hospitality industry is changing because the face of our work is changing. • In the past it was made up of mostly white males. • Diversity is the word used to describe a group of people from a variety of backgrounds, cultures, religions, beliefs, and language. • Learn to meet staff needs. 39 Accommodating Special Needs • People with special needs are traveling more, and hospitality business are working to meet their needs. • Special needs include medical conditions, physical disabilities and mental disabilities. • Special needs also include needs and preferences based on religion, health, or circumstances. 40 • Hospitality workers must use problem-solving and communication skills to meet these needs. • Many people have food preference based on health, taste, or religion restrictions. • Children traveling alone also have special needs. 41 American with Disabilities Act • The Act was passed to make sure that people with disabilities are treated fairly. • Accessible means able to be entered and used by a person with a disability. Many hospitality businesses have developed special accommodations for people with disabilities. • Features include (ramps, automatic doors, and special bathroom facilities). 42 • Braille is used for those who are blind. Braille is a special language for the blind. • Special telephones that enable the deaf to communicate with hospitality businesses. • Fire alarms that use strobe lights to alert the deaf in case of fire. 43 Impact of Seasons • Peak seasons are those seasons with the highest demand. Hospitality businesses are the busiest. • Off-peak seasons are those seasons with the lowest demand. During off-peak seasons, the number of customers is very low. 44 • Peak and off-peak seasons depends on the location of the business. (i.e.: Winter in Chicago is lowest because of the cold/snow). • The timing if peak seasons also depends on the type of business. • Hospitality businesses must find ways to deal with the changes in demand. Major problem is how to staff the business. 45 • • • • Find ways to deal with changes. Hire temporary staff during peak season Lower prices during off-peak season Effective marketing plan can lure travelers to visit during slow times of the year. 46 TRENDS FOR THE FUTURE 47 • A trend is a general direction in which something is moving. In the hospitality business it refers to the direction in which customer preference are moving. • A fad is something that is extremely popular but for a very short amount of time. 48 Demographic Trends • Demographics is the study of the characteristics of a population of people. (age, income, and ethnic origin). • A demographic trend is the increase or decrease over time in the number of people in a demographic subgroup. 49 Example of Demographic Trends • The Baby Boomers ( those born between 1946-1964); are beginning to retire. • Retired people like to travel and many can afford to. • They are the fastest growing part of the hospitality market. • The hospitality industry is responding to this increase in senior travel. 50 • Young people (ages 18-24) who travel. • They travel in small groups and are cost conscious. • Some cruise lines have profited from meeting the needs of the different age groups on the same cruise. • (i.e.: lounge, all night basketball/dancing, variety show, movie). 51 Social Trend • A social trend is a change in the structure or beliefs of the society. One social trend is the change in family structure. • Hospitality companies have taken advantage of the shift in social perception of casinos to make money in the gamin industry. • Native American tribes have developed successful casino operation, to support family and preserve there way of life. 52 Lifestyle Trend • A lifestyle tend is a change in the way people live their lives. • Concern for health (low-fat, low calorie meals, vegetarian and exercise). • Impulse buying is a trend also. • Website (Priceline.com) make it easy to book airfares and hotel rooms at the least minute. 53 • Educational / adventure tours. • Tour companies have developed packages around an educational themes. • Some organizations: Earthwatch..organize trips for researching & learning about natural phenomena 54 Technology Trends • The internet has a large impact on the hospitality industry. • Airlines (get info, make reservations & buy tickets). • Restaurants (menu, location, hours). • Hotels (pictures, room rates, location). 55 • Some websites enable you to research several hospitality businesses at once. www.travelocity.com www.priceline.com 56 • Hotels add internet connections and video-ondemand to hotel rooms. • Airplanes are equipped with telephones, and airports have computer workstations. • Lodging industry: Property Management System (single locations) Enterprise System (multiple locations) 57 • Food & Beverage Industry Point of Sales System (touch screen that send orders to the kitchen, calculate the charges and taxes, and keeps track of items sold and inventory. 58