2. Hotel classification in terms of target market they serve

Target markets are distinctly defined groups of people that the hotel hopes to retain or attract as guests. Each target market has its sub-markets. Hotels target many markets and can be classified according to the markets they attempt to attract and serve. The most common types of properties based on target markets include:

Commercial Hotels

Today’s commercial hotels are usually located in downtown or business districts-areas that are convenient and of interest to their target markets. These hotels are the largest group of hotel types and cater primarily to business travellers. Although commercial hotels primarily serve business travelers, many tour groups, individual tourists, and small conference groups find these hotels attractive. Guest amenities at commercial hotels may include complimentary newspapers, morning coffee, free local telephone calls, cable television, and access to VCRs and videos, personal computers, and fax machines. Most commercial hotels have conference rooms, room service, and banquet meal service. Swimming pools, health clubs, tennis courts, saunas, and jogging areas may also be among the property’s features.

Airport hotels.

Air travel encouraged a distinct type of hotel growth. Demand skyrocketed for lodging facilities located near airports – especially international airports. Airport hotels are popular because of their proximity to major travel centers. More than any other type of hotel, airport hotels vary widely in size and level of services. Typical target markets include business clientele, airline passengers with overnight travel layovers or cancelled flights, and airline personnel. Hotel-owned limousines or courtesy vans often transport guests between the hotel and the airport. Many airport hotels feature conference rooms to attract a particular market: those guests who travel to a meeting by air and wish to minimize ground travel. Guests who stay at airport hotels often enjoy significant cost savings and convenience from such arrangements.

Suite hotels

Suite hotels are among the newest and fastest-growing segments of the lodging industry. These hotels feature guestrooms with a living room or parlour area and a separate bedroom. Some guest suites include a compact kitchenette with a refrigerator and in-room beverage service. Suite hotels appeal to different market segments. People who are relocating transform suites into temporary living quarters; frequent travelers enjoy the comforts of a “home-away-from-home”. Professionals such as accountants, lawyers, and executives find suite hotels particularly attractive since they can work of entertain in an area besides the bedroom. Some suite hotels offer complimentary evening receptions, breakfasts, of hors d’oeuvre or snack service.

Extended Stay Hotels.

Extended stay hotels are similar to suite hotels, but usually offer kitchen amenities in the room, which suite hotels usually do not. They are designed for travelers who intend to stay five days or longer and require reduced hotel services. Extended stay hotels usually do not provide uniformed services, and often do not provide food, beverage or laundry service. Like suite and residential hotels, they attempt to bring more of a homelike feeling to the interior and exterior designs.

Residential Hotels.

Residential hotels provide long-term or permanent accommodations for people in urban or suburban areas. These properties house residents who want and can afford daily, limited hotel services. The layout of a residential guest unit may closely resemble a suite hotel guest room. Guest quarters generally include a sitting room, bedroom and small kitchenette. Sometimes people who contract to live in residential hotels may be considered tenants by law. Residents may choose to contract for some or all of the services provided to guests in a commercial hotel. A residential hotel may provide daily housekeeping, telephone, front desk and uniformed services. A restaurant and lounge may also offer the term-or transient-guest accommodations.

Resort Hotels.

Guests often choose resort hotels as their planned destination or vacation spot – setting resorts apart from other types of lodging operations. A resort may be located in the mountains, on the island or in some other exotic location away from crowded resident areas. The recreational facilities and breathtaking scenery typical of most resorts are not typical of most other hotels. Most resort hotels provide special activities for guests such as dancing, golf, tennis, horseback riding, nature hikes, sailing, skiing and swimming. Resort hotels strive to provide enjoyable guest experience that encourages repeat business and word-of-mouth recommendations. Resort hotels often employ social directors who plan, organize and direct a range of guest programs.

Bed and Breakfast Hotels

Bed and breakfast hotels, sometimes called B&Bs. B&Bs range from houses with a few rooms converted to overnight facilities, to small commercial buildings with 20 to 30 guestrooms. The owner of B&B-the host or hostess- usually lives on the premises and is responsible for servicing breakfast to guests. Breakfast service may range from a simple continental breakfast to full-course meal. Thousands of B&Bs are in operation today, deriving popularity from intimate, personal service. Most B&Bs offer only lodging and limited food service or-as the name implies-breakfast only. Meeting rooms, laundry and dry-cleaning services, lunch and dinner, and recreational facilities are usually not offered. Due to limited services, the price for a room at a B&B is generally lower than at a full-service hotel.

Time-share and Condominium Hotels.

Another expanding segment of the hospitality industry is the time-share hotel. Time-share properties typically involve individuals who purchase the ownership of accommodations for a specific period of time – usually a condominium – during that time. Owners may also have the unit rented out by the management company that operates the hotel. These hotels are becoming especially popular in resort areas. Owners may not be able to afford owning a condominium year-round, but can afford fractional ownership (ownership of a unit for a few weeks a year). Condominium hotels are similar to time-share hotels. The difference between the two lies in the type of ownership. Units in condominium hotels only have one owner instead of multiple owners. In a condominium hotel, an owner informs the management company of when he or she wants to occupy the unit. That way, the management company is free to rent the unit for the remainder of the year. Time-share and condominium owners receive the revenue from the rental of their units and pay the management company a fee for advertising, rental, housekeeping, and maintenance services. Time-share and condominium owners are also responsible for furnishing their units. Normally, these units consist of a living room, dining area, kitchen, bathroom, and one or more bedrooms. Guests of condominium hotels usually rent a unit for at least one week. It is not uncommon for guests to contact for a specific unit at a specific time each year.

Casino Hotels.

Hotels with gambling facilities may be categorized as a distinct group: casino hotels. Although the guestrooms and food and beverage operations in casino hotels may be quite luxurious, their function is secondary to and supportive of casino operations. Until recently, casino hotel guestrooms and food and beverage facilities were not expected to earn a profit. Today, most casino hotels expect all their operations to be profitable.

Conference Centers.

While many hotels provide meeting space, conference centers are specifically designed to handle group meetings. Most full-service conference centers offer overnight accommodations. Because meetings are their focal point, conference centers typically place great emphasis on providing all the services and equipment necessary to ensure a meeting’s success-for example, technical production assistance, high-quality audio-visual equipment, business service centers, flexible seating arrangements, flip charts and display screens, and so forth. Conference centers are often located outside metropolitan areas and may provide extensive leisure facilities: golf courses, indoor and outdoor swimming pools, tennis courts, fitness centers, spas, jogging and hiking trails, and more. Conference centers typically charge meeting planners a single price, which includes attendee guestrooms, meals, meeting rooms. Audio-visual equipment, and other related services. Guest amenities may not be as plentiful at conference centers since these centers concentrate more on fulfilling the needs of meeting planners and organizers than on meeting the needs of programme attendees.

Hostels

Hostel – is the cheapest, the most simple hotel with a minimum of comfort. As a matter of fact, this is a usual common flat. From 2 to 10 people can be accommodated here. There is a general bathroom and a general kitchen on each floor. Sleeping accessories are given at additional expense. Other service is absent at all. Despite of some disadvantages students stay at hostels a lot because it is important for them to find cheap accommodation.

Boatel

The term “boatel” is a new one (=boat + hotel). Usually boatel is a floating hotel. Boatels are seasonal or all-the-year-round establishments. They offer high level of comfort and are intended to go in for sailing sport and winter yachting.