CUSTOMERS PERCIPIENCE AT THE TIME OF SELECTING HOTEL

CASIRJ Volume 2 Issue 1 ISSN 2319 – 9202

International Research Journal of Commerce Arts and Science http:www.casirj.com Page 261

CUSTOMERS PERCIPIENCE AT THE TIME OF SELECTING HOTEL

Research Scholar : DURGA RAJULU. V

Supervisor : Dr. R.K. SAXENA

Hotel as service sector has played an important role in most economies. This sector

comprises a number of industries, of which accommodation is one of the largest (Yang,

2005). Hotels are an important part of the accommodation industry and have become one of

the most competitive businesses in the world in recent years (Harrison & Enz, 2005). For

example, lodging in the India was a $108 billion industry, with over 536,500 hotels and 4.1

million guestrooms in 2006 (The Hotel & Lodging Association, 2006).

Recently, there has been an increased focus on the management and marketing of hotels

(Reisinger, 2001). Hotels provide services that are different from tangible goods because

hotel services are immediately consumed and require a people-intensive creation process

(Harrison & Enz, 2005).

Over past few , services were defined in many ways by

different authors and researchers , the latest definition given by

bygtod and lanestedt and the Karwan and Markland are the

most interesting ones . They defined services as a non material

equivalent of goods and a package made up of a sets of

tangible and intangible elements . Now a days services in most

of the newly developed products are amalgamation of both

tangible and intangible acts . The historical development of

hotels has been described through a sociological perspective,

emphasizing that no social scientific research can be

divorced from the time in which it occurs.


International Research Journal of Commerce Arts and Science http:www.casirj.com 62

Currently hospitality is one of the India’s largest service industries in terms of the revenue

and employment. Over the past two decades in hospitality industries emerged out to be the

most developing and economic industries among Indian service industries and showed an

over abundance of research studies on several issued and development in these areas. It is

one of the essential components of nations development and is vital to the economy growth

and internal stability of the country .Since independence India has built up a vast

infrastructure in this field. The 1990’s Indian hospitality grew up at a compound annual rate

of 16 percent. In year 2009 , the total value of the sector was went up to higher level was

more than $ 35 billion . By 2012, India‘s hospitality sector is projected to grow to nearly $

70 billion (planning commission report), 2010 .Further the current share of public

expenditure on hospitality as proportion of gross domestic products is 1 percent and will rise

to target of 2-3 percent by 2012. Private spending amounts for almost 8 percent of the total

expenditure and is quite dominant in the hospitality sector . Inadequate public investments

has given an opportunity to the hotels and tourism industry to spread their feathers day by

day to the opening of numbers of new hotels and tourism centres are also in the process to set

up their establishment in the country.

Indian leaders in India are also voicing their concerns about getting ISO certification and

Accreditation of such organization. In general ISO 9000 certification helps to achieve

consistency in production of a products or service and providing assurance to customers that

the specific practices are in the providers stated quality systems . While accreditation

provides international recognition , guarantying quality to all the products , care of

customers and protection of their rights , improvement in quality and abstract new markets.

TABLE :- THE STRUCTURE OF THE HOSPITALITY INDUSTRY

In viewing various industries , " barriers to entry " by

newcomers and competitive advantages between current players



are very important . Among other things , hospitality industry

players find advantage in old classics (location) , initial

and ongoing investment support ( reflected in the material

upkeep of facilities and the luxuries located therein ) , and

particular themes adopted by the marketing arm of the

organization in question ( such as a restaurant called the

51st fighter group that has a WW2 theme in music and

other environmental aspects ). Very important is also the characteristics

of the personnel working in direct contact with the customers.

The authenticity , professionalism , and actual concern for the

Happiness and wellbeing of the customers that is communicated

by successful organizations is a clear competitive advantage .

HOTEL INDUSTRY AS A PART OF TOURISM

Hotel industry is an essential part of tourism. The industry is closely linked with the tourism

i.e. responsible for about 50% of the foreign earnings from tourism; hotel industry holds a

good future both to Indian and overseas entrepreneurs from the point of view of investment

and collaboration. This industry is one of the joint ventures, which has over the years, grown

with the highly expanded and diversified Indian industrial structure and is currently operating

a viable industrial concern.

In general terms then the hotel sector is also likely to exhibit a wider and more diverse range

of organizational and staffing characteristics than other sectors of the hospitality industry.

Although there are some common factors among the different divisions, and some movement

of staff from one division to another, the hospitality industry comprises separate and distinct

sectors. The broad and variable nature of hotel operations means that they can be seen to

embrace, to a greater or lesser extent, elements of associated sectors of the hospitality

industry such as the licensed trade, catering and leisure activities.



The Indian tourism and hospitality industry has emerged as one of the key drivers of growth

among the services sectors in India. Tourism in India is an employment generator and a

significant source of foreign exchange for the country, apart from being an economic activity

that helps local and host communities. In 2013, the travel and tourism industry contributed

Rs 2.17 trillion (US$ 36 billion) or 2 per cent to the country's gross domestic product (GDP).

This is expected to rise to Rs 4.35 trillion (US$ 72.17 billion) in 2024.

The tourism industry in India is thriving due to an increase in foreign tourist arrivals (FTA)

and a greater number of Indians travelling to domestic destinations than before. The revenue

from domestic tourism is likely to grow by 8.2 per cent in 2014 as compared to 5.1 per cent a

year ago, according to the World Travel and Tourism Council (WTTC). Hotels are also an

extremely important component of tourism industry. The Indian hospitality sector has been

growing at a cumulative annual growth rate of 14 per cent every year adding significant

amount of foreign exchange to the economy.

The Government of India has contributed significantly to the growth and development of the

industry by providing policy and infrastructural support such as simplification of visa

procedures and tax holidays for hotels. Further, the tourism policy of the government aims at

speedy implementation of tourism projects, development of integrated tourism circuits,

special capacity building in the hospitality sector and new marketing strategies.

SCOPE OF HOSPITALITY SECTOR

Today hospitality sector is one of the fastest growing sectors in India. It is expected to grow

at the rate of 8% between 2007 and 2016. Many international hotels including Sheraton,

Hyatt, Radisson, Meridien, Four Seasons Regent, and Marriott International are already

established in the Indian markets and are still expanding. Nowadays the travel and tourism

industry is also included in hospitality sector. The boom in travel and tourism has led to the

further development of hospitality industry.

Hospitality is all about offering warmth to someone who looks for help at a strange or

unfriendly place. It refers to the process of receiving and entertaining a guest with goodwill.

Hospitality in the commercial context refers to the activity of hotels, restaurants, catering,

resorts or clubs who make a vocation of treatin tourists.

Helped With unique efforts by government and all other stakeholders, including hotel

owners, resort managers, tour and travel operators and employees who work in the sector,

Indian hospitality industry has gained a level of acceptance world over. It has yet to go miles



for recognition as a world leader of hospitality. Many take Indian hospitality service not for

its quality of service but India being a cheap destination for leisure tourism .

With unlimited tourism and untapped business prospects, in the coming years Indian

hospitality is seeing green pastures of growth. Availability of qualified human resources and

untapped geographical resources give great prospects to the hospitality industry. The number

of tourists coming to India is growing year after year. Likewise, internal tourism is another

area with great potentials.

The hospitality industry is a 3.5 trillion dollar service sector within the global economy. It is

an umbrella term for a broad variety of service industries including, but not limited to, hotels,

food service, casinos, and tourism. The hospitality industry is very diverse and global. The

industry is cyclical; dictated by the fluctuations that occur with an economy every year.

In 2003-04 the hospitality industry contributed only 2% of the GDP. However, it is projected

to grow at a rate of 8.8% between 2007-16, which would place India as the second-fastest

growing tourism market in the world. The arrival of foreign tourists has shown a

compounded annual growth of 6 per cent over the past 10 years. Besides, travel and tourism

is the second highest foreign exchange earner for India. Moreover, it is also estimated that

the tourism sector will account for nearly 5.3 per cent of GDP and 5.4 per cent of total

employment.

TYPES OF HOTELS

India is a very famous holiday destination in the world, and provides ample facilities as far as

lodging is concerned. It has state of the art hotels to cater to its ever booming travel and

tourism industry. Many hotels and resorts have popped up in India over the last few years to

cater the accommodation needs of everybody. India is dotted with hotels that fit in every

budget. There are hotels ranging from Luxury Hotels to Economy Hotels. A travel agent can

help in finding a suitable accommodation.

Hotels in India provide detailed overview of the various categories of hotels, and the

important groups of hotels that play a major role in the field of tourism. Located in all major

tourist and commercial destinations of India, the hotels are known for their warm hospitality

and comfortable accommodation. A number of hotels in India are counted among some of

the best hotels in the world.

http://www.mapsofindia.com/



CATEGORIZATION OF HOTELS IN INDIA

The hotels in India can be divided into various classes on the basis of room types, amenities

and location. Some of the prominent categories of hotels in India include:

HERITAGE HOTELS

Reflecting the old glory and grandeur of India, most of the Havelis and mansions of

ancient times have been turned into Heritage Hotels, that provide the tourists with an

opportunity to experience royal pleasure in traditional ambiance. Most of the Heritage

Hotels in India are concentrated in the princely states of Rajasthan, Delhi, and

Madhya Pradesh

LUXURYHOTELS

Equipped with world class infrastructural amenities, the Luxury Hotels in India offer

the tourists with a fine lodging and dinning experience. Catering primarily to the

upper class executives, the luxury hotels extend a warm welcome to all the customers

BUDGET HOTELS

A home away from home, the budget hotels accommodate customers from upper

middle and middle class. Also referred to as Economy Class Hotel, Business Hotels

and Discount Hotels, the Budget Hotels support all the modern infrastructural

facilities for a comfortable and pleasant stay

Resorts

Resorts are mostly found in hill stations and sea side tourist destinations of India.

Located amidst natural scenic beauty, the Resorts are the ideal place to enjoy some

valuable time with family and friends or in solitude

DIFFERENT TYPES OF STAR HOTELS

Once you’ve settled on a holiday destination, the next thing you have to decide is where to

stay during your trip. Most people would prefer accommodation at a convenient location, and

one that is comfortable as well as economical. For some, price is not a problem, and they

prefer to go in for luxury and deluxe amenities. For some, ambience is important, and for still

others a place that comes with a fully equipped kitchen is a more attractive option.

The good thing is that the hospitality industry offers a variety of hotels ranging from one star

to five star and super deluxe hotels to cater to the different preferences of travelers .

http://www.letstravelzine.com/differenttypesofstarhotels.html



Here’s an overview of what’s on offer in the different star-rated hotels so you can

choose the right hotel for your next holiday.

ONE STAR HOTELS

These hotels belong to the no-frills variety that offers basic

bedding and bathroom facilities. The furniture , décor , etc. may

not be of high quality , but is mostly comfortable . Arrangements

for meals may or may not be included , but if they are,

this could be restricted to breakfast only . And remember in

one star hotels you won’t have bell-boys or hotel staff

available for carrying your luggage .

TWO STAR HOTELS

The extra star here is for a proper reception desk and some amount of staff presence.

Breakfast could be complimentary, but you will need to pay for other meals. Because of the

limited staff, there won’t be room service. Two star hotels are suitable for people with

limited budgets but who are travelling with their families and need a reasonably safe place to

stay.

THREE STAR HOTELS

These are better furnished and have restaurants where you could choose to have your meals.

Other amenities could include a TV set in the room, direct dial telephone, some room service

and other provisions thrown in. Three star hotels are mostly good for business travellers who

are travelling for a short period on business. They are also a good option for female travellers

who are travelling alone and don’t want the tension of staying at a place where their security

could be at risk or their belongings unsafe. Three-star hotels are generally part of a larger

chain and have footprints in more than one location.

FOUR STAR HOTELS

The premium variety of hotels starts from here. You can expect larger rooms, better décor,

more amenities, better services like availability of porters, 24-hour room service, laundry,



and multi-cuisine restaurants. Four star hotels are mostly used by corporate travellers where

the company pays for the stay.

FIVE STAR HOTELS

Breakfast served in bed, shoes polished, clothes washed and facilities for getting almost

everything done without even lifting a finger are some of the luxuries you can look forward

to here. Other facilities include huge lobbies, round-the-clock room service, swimming

pools, gyms, sauna, spas, badminton/tennis courts, beauty salons – the list is endless. The

staff in these hotels mostly comprises hotel management graduates from the best schools,

well-trained in customer service, crisis management, etc. The clientele that five star hotels

cater to include big names from fields of entertainment, business, and sports, and of course,

the well-heeled crowd.

FIVE STAR DELUXE HOTELS

Called deluxe/ luxury hotels, these cater to the movers and shakers of the world. A private

balcony, fully stocked mini-bar, personal masseur, king-sized beds – these are just some of

the rare luxuries you can treat yourself to at a five star deluxe hotel. The most well-known

brands belonging to this category include the Taj, Hilton, Leela Palace, Grand Hyatt, etc to

name a few. Needless to add the tariffs are exorbitant.

Nowadays there are some that claim to be seven-star hotels. The Burj Al Arab Hotel in Dubai

is one such super deluxe hotel. The 54-storeyed beach-side hotel boasts of ferrying its

customers in Rolls Royce cars, having royal suites with revolving canopy beds, private

mosques, transporting guests to the airport by helicopter and lots more.

CONCLUSION

The provision of contemporary hotels still reflects a

Hierarchy of supply , which is perpetuated by the hotel

classification schemes ( Carmouche and Roper, 1989 ). Hotel companies

marketing strategies now reflect the occupational hierarchy ,

with customers occupational status being the key determinant

of market segregation. Economic exclusion in the form of

tariffs is still apparent , however , much less is known about

the cultural uses of hotels by particular individuals and



groups . Riley (1984) argues that haute cuisine has been stripped

of its behavioral trapping in contemporary hotels. Wood (1987)

supports this view , arguing that food provision in hotels is

now closer to domestic consumption. While the changing

structure of hotel supply has impacted upon food and

beverage provision , so that French menu and haute cuisine

are not necessary to the hallmark of luxury hotels. It has

not been empirically established that hotel usage is no longer

surrounded by cultural codes . Continuities with the past are

clear , with economic exclusion in the form of tariffs, the

relationship between hotel types and customer status , the

practice of tipping and barriers to female consumption.

These are areas , which require research to determine the

Relationship between hotels and society in the contemporary

period.

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CUSTOMERS PERCIPIENCE AT THE TIME OF SELECTING HOTEL

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