Rating and Grading of Hotels

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IHM, Gwalior Welcomes the participants to this session 02.06.2012.

Hotel rating and grading system


There is so far no international classification system, which is accepted to all the countries. Many countries use 1 to 5 star system In USA hotels are rated from 1 to 5 diamonds Some hotels have claimed a six or seven-star rating for their operation. (Example: Burj Al Arab in Dubai 7 star)

What do these ratings mean?


Subjectivity Quality and quantity of service and facilities Let the market rule Obstacles to international agreement Cost Because there is no overall authority for assigning hotel ratings on an international basis. It is the customer who ultimately decides the quality of the hotel based upon the quality of guest experience.

systems in force in different parts of the world


EUROPEAN HOTELSTAR UNION. American automobile Association AAA. Chinas green classification system Guide Michelin Mobil Travel Guide Britains harmonized classification system Irelands classification system Spains regional approach Other classification systems

One Star
100 % of the rooms with shower/WC or bath tub/WC Daily room cleaning 100 % of the rooms with color-TV together with remote control Table and chair Soap or body wash Reception service - Facsimile at the reception Breakfast - Beverage offered

Two Star
In addition to the single star (*) hotels Breakfast buffet Reading light next to the bed Bath essence or shower gel Bath towels and Linen shelves Offer of sanitary products (e.g. toothbrush, toothpaste, shaving kit) Accept Credit Cards

Three Star
In addition to the standard star (**) hotels: Reception opened 14 hours, accessible by phone 24 hours from inside and outside, bilingual staff (e.g. German/English) Luggage service Beverage offer in the room Telephone in the room - Internet access in the room or in the public area Hair-dryer, cleansing tissue - Dressing mirror, place to put the luggage/suitcase Sewing kit, shoe polish utensils, laundry and ironing service

Four Star
In addition to the comfort star (***) hotels: Lobby with seats and beverage service Breakfast buffet or breakfast menu card via room service Minibar or 24 hours beverages via room service Arm chair/sofa with side table Bath robe and slippers Cosmetic products (e.g. shower cap, nail file, cotton swabs), vanity mirror, tray of a large scale in the bathroom) - Internet access and internet terminal " la carte"-restaurant

Five Star
In addition to the (****) hotels: Reception opened 24 hours, Multilingual staff Doorman-service or valet parking Concierge Spacious reception hall with several seats and beverage service

Personalized greeting for each guest with fresh flowers or a present in the room Minibar and food and beverage offer via room service during 24 hours Safe in the room Ironing service (return within 1 h) Shoe polish service

What is missing?
How can a five-star hotel in one city be so different in its services, quality and facilities from a hotel in another part of the world? One of the most important elements of the guest hotel experience is service standards, which do not generally form part of a hotel rating system.

The Green Influence


Environmentally friendly facilities will are now a core criterion of China's hotel rating system. Green measures can be reflected in many dimensions, such as hotels' design and architecture, their building materials' selection and their customers' consumption habits, which hotels can influence. China currently has more than 14,000 hotels, including 572 five-star establishments and 2,149 four-star hotels.

Questions
Should the industry adopt some sort of international rating standard that would supersede the ever-growing number of independent and consumer-generated Internet ranking sites? Is that even possible? Does a sixth tier need to be created to add new, ultra-luxury properties to what have traditionally been five-category ranking systems?

Criteria for Effective Classification Systems


Establish categories Set criteria for each classification Provide for special types of accommodation Establish inspection and classification methods Assess the standard of cuisine separately Establish penalties Operate independently of the tax system Offer a means of appeal to a higher authority in the event of a dispute.

Accommodation

Hotel
Motels Resorts Time Share Hotels
Condominiums Conference Centres

Hotel classification
Hotels are classified by : 1. Hotel size 2. Target markets 3. Levels of Service 4. Ownership and affiliation

Types of Hotels Commercial hotels/corporate hotels Airport hotels

Suite hotels
Extended stay hotels Residential hotels Resort hotels

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Types of Hotels (continued)

Bed and breakfast hotels


Vacation ownership and condominium hotels Casino hotels Convention hotels Alternative lodging properties

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Hotels
Commercial /corporate Hotels Located in downtown or business districts- area that are convenient and of interest to their target markets. Guest amenities at commercial hotels may include complimentary newspapers, cable television, swimming pool, health club, high speed internet access.
Airport hotels Located near the airportsespecially international airports. Target Market: airline passengers, cancelled flight, airline personnel. Hotel-owned courtesy vans transport guests between the hotel and the airport.

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Corporate hotel

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Corporate hotel

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Airport Hotel

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Hotels ( continued)
Suite Hotels Suite hotels are among the newest and fastest-growing segments of the lodging industry. These suite hotels feature guestrooms with a living room and separate bedroom. Some guest suites includes a compact kitchenette with fridge and mini bar. Target Market: Professionals such lawyers, accountants Resorts Hotels Resort hotels are located in the mountains, on an island or exotic location away from crowded residential areas. More leisurely, relaxed atmosphere Resort hotels provide special activities such as golf, sailing, skiing.

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Resort Hotel

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Hotels ( continued)

Vacation ownership hotel/time share hotel Individuals who purchase the ownership of accommodation for a specific period of timeusually one or two weeks a year. These owners then occupy the unit. These hotels are becoming popular in resort areas.

Casino Hotels Hotel with gambling facilities. Casino hotels attract guests by promoting gaming and provide a broad range of entertainment activities. Some casino hotels are very large, housing as many as 4,000 guestrooms

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Casino Hotel

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Serviced Apartments
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Extended Stay Hotel

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Extended Stay Hotels gives you the choice of budget studios for business travel, relocation, temporary housing or vacations as well as suites for daily and weekly rentals. Free yourself from the confines of your average hotel room. Every suite has a kitchen so you can cook and eat on your own schedule. Spend more time relaxing and less money on your next trip for business or leisure. When should you consider long-term studio suite accommodations? Working on an extended project away from home Going away on a budget vacation and still prefer to have a kitchen and access to laundry Remodelling or buying a home Relocating to a new job Visiting relatives
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Levels of Service

There are three levels of service: World-Class Service Mid-Range service Economy/limited Service
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World-class Service
World-class service sometimes called luxury service. Attract top business executives, entertainment celebrities, high-ranking political figures and wealthy clientele. Oversized guestrooms, supply heated towels and floor and selection of refreshment centres, and more expensive furnishings, dcor and artworks in the guest-rooms. Housekeeping provide twice daily service a day (turn down service and daily cleaning service)
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World-class service (continued)


World-class hotels stress personalised guest services and maintain high ratio of staff members to guests. In some world-class hotels certain floors are designated as executive floor and offer luxury services.

Executive floors contain private lounge, and offered special complimentary food and beverage services.
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Mid-Range Service

Mid-range service hotels attract the largest segment of the travelling public. The service is modest and sufficient.

The guests who stay in the mid-range service hotels are business people, individual travellers and families.
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Economy/limited service

These properties provides clean, comfortable and inexpensive rooms and meet the basic needs of guests. Economy service hotels attract budget-minded travellers, tour groups, families with children and group of conventioneers.

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Ownership and Affiliation Categories

Independent Hotels Chain Hotels

Management Contract
Franchise Referral Group

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Independent Hotels
Independent hotels have no relationship to other hotels regarding policies, procedures, marketing or financial obligations. For example An Independent property is a family owned and operated hotel that is not required to conform to any corporate policy or procedure. Its unique advantage is autonomy and flexibility. Independent hotel can quickly adapt to changing market conditioning. Disadvantages are: unable volume purchasing, and broad advertising

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Chain hotels
Chain ownership imposes certain standards, rules, policies and procedures. Some chains have strong control over the architecture, management and standards.

Advantage: Advertising, purchasing and marketing.


A chain is classified as operating under a management contract or franchise or referral group.

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Management contracts
Management companies are organisation that operate properties owned by other. In other word, management company is hired to run a hotel. Management contracting a a means of expanding a hotel companys operations with far less investment. Advantage: Expertise in operations, financial management, staffing, marketing and reservation services.

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Franchise and referral groups

Franchising is selling the right to conduct a business. Franchisor offers the quality of product and develop standards for design, dcor, equipment and operating procedures. Some of the best known U.S hotels belong to franchise and referral groups. For example, Four points hotels by Sheraton are franchises. Advantage: Volume purchase, amenities, linen and towels. Etc.
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Referral group
A group of independent hotels that have banded together for their common good.
Hotels within the group refer their departing guests or those guests they cannot accommodate to other properties in the referral group.

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