Ch 3 Lodging Flashcards
stab.abb.pub.board.hot.mot
What are examples of pre-20th C lodging?
Stables
Abbeys
Inns and Public houses – roadside
Pensions and boarding houses
Hotels and motels
coa.time.vrbo
What are non traditional lodging ownership venues?
Condos
Time Share
AirB&B
VRBO
3 primary types of lodging development and ownership
Franchising
Management contracts
REITs
What was the first hotel chain to franchise in the United states?
Ritz Carlton 1907
What years did these franchises start?
Ho Jo
Holiday Inn (now IHC)
Hilton/Sheraton
Ho Jo 1927
Holiday Inn 1950s
Hitlon/Sheraton 1960s
plan.ads.reserv.disc.cc
What are the benefits of being a franchisee?
Standard set of plans
National advertising
Central reservation system
Volume discount pricing
Listing in franchisor’s directory
Lower fees charged by credit card companies
fee.central.conform.standards
What are the costs of being a franchisee?
High franchise fees
Central reservations only 17–26% of reservations.
Conformity
Must maintain franchise standards
upfront.own
What is the basic structure of a lodging management contract?
Requires little to no up-front financing
Real estate and facility owned by different entities.
Mgt co run property for a period of 5, 10, or 20 years.
Mgt co get fee of 2 to 4.5% of gross revenue (or less)
What is a hotel brand? Name an example.
They license the use of their name and playbook for running a hotel to an ownership group.
IHG, Best Western, Wyndam, Hilton, Marriott
What is an ownership group?
the investor that puts up the money and owns the real estate (usually required by Franchisor to hire prof Mgt co)
What do hotel management companies do?
Day to day ops
everything required to operate the hotel according to the brand’s playbook because the owners are focused on real estate investing
dia.star
What are the two organizations that rate hotels?
American Automobile Association (AAA) (with diamonds)
Forbes Travel Guide does stars
loc.$.serv
What are the ways to classify hotel properties?
Location
Price
Level of service
CAFE.casino.FACE.Cond
What are the types and locations of hotels?
City Center
Airport
Freeway
Econ/Budget
Casino
Full Service
Air B&B / VRBO
Conference/Convention
Extended Stay
Condotels
What is definition for resort?
No set definition but normally
Inclusive and diversified accommodations
Focus on sports
Guests go for leisure and recreation
What is vacation ownership and where did it start?
Provides owners an opportunity to purchase vacation accommodations
French Alps 1960s
fast growing
What is traditional lodging ownership?
Hotels & Motels
Resorts
Bed & breakfast
Single owner
Individual or corporate
What country has an emerging middle class that is demanding more luxury and travel?
China
What is the fastest growing segment of industry?
Sustainable lodging
- reducing / eliminate waste and resource consumption
co2.energy.fixture.lights
What are the Fairmont’s green partnership program committments?
Reduce CO2
Reduce lighting and energy
Energy-efficient fixtures and lighting
Focus on overlighting and using low-wattage lights (LED)
safe.tech.globe.merge.diverse.spa.game.sustain
What are trends in hotel development?
Safety and security – covid, locked doors
Technology – reservations, check in kiosk, keys
Globalization – IHG – intercontinental hotel group
Consolidation – Marriot includes Ramada etc.
Diversification within segments - Marriot
Increased number of spas
Gaming – not just Vegas
Sustainable practices –towels, lights
