Nelson College London: Accommodation Industry Analysis Report

This report provides a comprehensive overview of the accommodation industry, beginning with an introduction to the sector and its importance within hospitality. It details various types of accommodation services, including hostels, apartments, hotels, and resorts, and differentiates between commercial and non-commercial businesses. The report then explores different forms of ownership applicable to the industry, such as franchises, privately owned, leased, and managed properties. It also discusses grading and classification systems, including AAA Diamond and Green Key Eco Ratings, and the role of online review sites in influencing customer decisions. Furthermore, the report highlights the functions of the front office in various accommodation settings, such as resorts, hostels, and hotels, and emphasizes the key roles of the front office, including reservation, reception, information desk, cash and bills, and communication. The conclusion summarizes the key findings and emphasizes the significance of the front office in ensuring customer satisfaction, using Amrutha Lounge as a case study.

The Accommodation Industry
And You

Table of Content
• Introduction
• Types of Accommodation Services
• Commercial & Non-Commercial Businesses
• Forms of Ownership Applicable
• Grading and Classification System
• Role of Online Review Sites
• Functions of Front Office
• Key Role of Front Office
• Conclusion
• References

Introduction
Accommodation sector implies a broader section within hospitality
that ranges from bed breakfast and hotels which offers lodging
services. This presentation is based on Amrutha Lounge which is a
vegan UK based restaurant and are looking forward to expand their
operations within accommodation sector. This presentation comprises
of types of accommodation services, ownership applicable along with
grading and classification systems. Furthermore, it also includes role
of online sites, different providers and role of front office.

Types of Accommodation Services
While travelling to some location, individuals need to have some
accommodation along with basic necessities within. There are
different options; few of them are illustrated below:
• Hostels: It is a cheapest accommodation
in which rooms are shared and comprises
of bunk beds.

Cont…
• Apartments: If individual have to stay for
longer time frame and needs their own
space for cooking, then they (apartments)
are best option.
• Hotels: They come in distinct star levels often vary from 1 to 5 and
provide most of the facilities.

Cont…
• Resorts: It is self-contained and involves all facilities which are
needed by individuals or family. They comprises of swimming
pools, Wi-Fi access, gym, 24 hour services, inclusive food, drinks
and many others.

Commercial & Non-Commercial Businesses
• Commercial business: They make profits as well as pay taxes for
them. They have definite stakeholders and if they are big enough
then might be listed on Stock Exchange. For an instance, Apple,
Tesco, Ryanair etc.
• Non-Commercial Businesses: They are those which serve for some
cause instead of making profits. Non-Commercial businesses are
like NHS, FAS, Focus Ireland and many others.

Forms of Ownership Applicable
Franchise: Within such kind of
ownership, a fee has to be paid to
national or regional chain for making use
of their name, logo as well as
management protocols.
Privately Owned: An individual person
is referred to as owner, but there can be
several investors.
Leased: The private owner will lease
their hotel to a firm or a chain. Here,
lessee will be liable for all finances.
Managed: Here, a management firm is
being hired, when owner do not have
any experience.
Basically, there are four types of ownership as well as management within
accommodation industry, they are illustrated beneath:

Grading and Classification System
Both classification and grading illustrates categories of hotels as per
quality delivered by them. This is being used to inform customers
about basic facilities which they can expect and on the basis of
ratings experience can be expanded. Stars are being utilized for
illustrating their facilities like more stars indicates luxury. There are
different grading which are being followed by distinct countries,
they are:

Cont…
AAA Diamond Rating: This kind of rating is done in Mexico, Canada,
the Caribbean and United States. To be in this category, hotels have to
fulfill 27 primary needs which involves cleanliness, safety and
comfort.
CAA Diamond Rating: This kind of diamond rating program system
is being utilized by Canadian and American auto clubs which are
given one to five diamonds with respect to discerning guidelines
furnished to hotels as well as restaurants.
Green Key Eco Rating: It is a graduated rating system which is
formulated to identify wide variety of lodging as well as hotel
facilities for their commitment towards enhancement of environmental
along with fiscal performance. In this 20 different countries are
participating, Germany, UK, America and many others.

Role of Online Review Sites
At present individuals, make use of online mediums to check out details of places
they visit and when it comes accommodation they check out the online reviews
made. Their role has been illustrated below:
• Around 96% individuals takes into consideration reviews while making bookings
as this will enable them to know ratings of hotel as per viewpoint of customers.
• Near about 79% people read around 6 to 12 reviews to know quality of services
which are being delivered to their guests at arrival at hotel.
• Around 88% individuals filter out hotels on basis of online reviews made of people
who have rating below three star so that they do not visit those places.

Functions of Front Office
Within different accommodation services whether its, Hotel, Resort
or Hostels, front office will have important function. The functions
with respect to these accommodation have been illustrated.
• Resorts: In case of resort front office is liable for ensuring that
private space is provided to individuals as well as make sure that as
per their expectations services are delivered on time.
• Hostels: Here, all the formalities have to made by front office, they
cross verify the details of individuals as they will be staying in their
place for long duration. They ensure that services are being
delivered to them as per what they need.

Cont…
• Hotels: They acts as nerve centre within operations that are carried
out in premises. It furnishes guidance to guest while they stay,
complete all the formalities related with check in & check out, food
& beverages, accounts & receives payments from their guest.

Key Role of Front Office
Reservation: Front office is responsible for having requests for booking through
different mediums, e-mails, website, calls or any other.
Reception: Front office within Amrutha Lounge will receive as well as welcome
their guest and fulfill formalities related with registration.
Information Desk: They will handle room keys as well as coordinate guest
telegrams, mails, couriers, etc.
Cash and Bills: They are liable for recording monetary transactions made by
guests.
Communication: The front office is responsible for taking incoming calls;
directing calls to particular guests room and render information.
In Amrutha Lounge, front office will be responsible for carrying out various activities to
ensure that customers who visit their place visits again. The key roles have been
mentioned below:

Conclusion
From above it can be concluded that, accommodation services are of
different types and as per requirements of individual they can avail
for the same. Furthermore, distinct ownerships are available along
with classification system. Probable customers look for online
reviews which can create impelling impact on profitability of hotel.
Furthermore, front office is liable for taking care guests and
providing them appropriate services at time of their arrival.

References
• Morikawa, M., 2016. Foreign tourists and capacity utilization in the
accommodation industry. Research Institute of Economy, Trade and
Industry (RIETI).
• Ngo, L., 2019. The influence of ICT on the accommodation industry in the
upcoming industry 5.0.
• Oh, J.K. and You, E.S., 2019. Stakeholder perceptions in the government
policies on the alternative accommodation industry. Journal of Policy
Research in Tourism, Leisure and Events, 11(2), pp.276-293.

Thank You !!