Comprehensive Analysis of the UK Accommodation Industry and Services

This report provides a detailed analysis of the UK accommodation industry, examining different types of providers such as hotels, B&Bs, Airbnb, and hostels. It differentiates between serviced and non-serviced businesses, outlining their respective characteristics and target audiences. The report explores business purposes, objectives, and the supply of products and services within the industry, including low-cost and informal accommodation models. It further delves into the scale and scope of accommodation services, types of facilities provided, and staffing levels across different providers. Ownership and affiliation models, including independent and chain hotels, are discussed, along with the impact of online reviews and grading systems on consumer decision-making. The functional areas of the front office, along with staff roles and responsibilities, are also analyzed. The report concludes by highlighting the importance of the front office in successful business operations and the interrelationship between the front office and other departments. The report also includes relevant references to support its findings.

Managing
Accommodation Services

TABLE OF CONENTS
 INTRODUCTION
 DIFFERENT TYPES OF ACCOMMODATION PROVIDERS
 SERVICED AND NON-SERVICED BUSINESSES
 BUSINESS PURPOSES, OBJECTIVES AND SUPPLY OF PRODUCTS AND SERVICES
 OWNERSHIP AND AFFILIATION
 FRONT OFFICE OPERATIONAL STRUCTURE
 SKILLS AND COMPETENCIES REQUIRED
 CONCLUSION
 REFERENCES

INTRODUCTION
 Octopus Investments Limited operates as an investment firm. The Company invests in
finance, renewable energy, and healthcare sectors.
 Octopus Investments serves customers in the United Kingdom.
 Being an consultant at Octopus Investment Limited, a detailed analysis is carried out
about UK accommodation industry.

INTRODUCTION TO HOSPITALITY
INDUSTRY
 Hospitality industry is a part of service industry that includes lodging, food, events and
tourism service etc.
 The main goal of hospitality industry is to provide customer satisfaction and specific
experience for them.
 Accommodation is one of the sector within hospitality industry which includes hotels,
motels, hostels, resorts, serviced apartments etc.
 The hospitality industry in UK has seen a unprecedented growth which may be because of
increase in foreign investments.

CONTRIBUTION OF ACCOMMODATION
SECTOR TO THE INDUSTRY AS A WHOLE
 Accommodation in define as providing room or space for staying facility.
 Accommodation is the type of the services in the hospitality industry in which looks at
providing room facility to the consumer in the market.
 This sector used to contribute very positively toward hospitality industry of the UK.
 In 2018, turnover of approximately £40b, 730,258 hotel rooms, revenues of hotel
businesses totaled around £19 billion and contributed £218b to UK economy.

DIFFERENT TYPES OF ACCOMMODATION
PROVIDERS
There are many types of accommodation providers in hospitality industry which are stated below.
 Hotels: It is best for tourism companies providing mid-range to high-end services. It is largest of all accommodation
types. It provides wide range of services.
 Bed and Breakfast (B&B): It is suitable for authentic tours with small group. It is a private home where guests can be
accommodated and breakfast is included in the price.
 Airbnb: It is an alternative tour that provides real experience of living. It is an online marketplace for arranging all the
accommodation services. It mainly runs on the basis of ratings.
 Hostels: It is best fit for budget travellers in which private and shared bedrooms are provided. Meals might be available
with additional charges.

SERVICED AND NON-SERVICED
BUSINESSES
Accommodation is split into two parts, that is, service and non-serviced.
 Serviced accommodation: This service is provided along with over night stay which includes
hotels, resorts, guest house etc. This type of service is provided where there is the facility of room
service. For example: The Hilton Hotel, which is an excellent hotel ideal for family vacation or
romantic holiday. It provide number of services which helps in enhancing customer experience.
 Non-serviced accommodation: This type of accommodation is best for those who wants to cater
their needs themselves. In this customers stay and cook and clean for themselves. For example: the
Haven hotel, it provides campsites which as classed as non-service where tourist has to so
everything by themselves. This is cheaper and service accommodation.

BUSINESS PURPOSES, OBJECTIVES AND SUPPLY
OF PRODUCTS AND SERVICES
Purpose: The main purpose of hospitality business is to achieve
higher profits and achieve success and stand at the top.
Objectives:
 To provide quality services to the customers.
 To enhance customer experience and make it memorable.
 To get positive feedback from the customers to achieve
success.

Cont..
The size and contribution to GDP
Hospitality industry is the Britain's largest employer by providing approx. 5 million jobs and its overall
contribution in UK's GDP is 2%.
Different business models
 Low cost business model: In this model, businesses offer lower cost services and products to attract customers. It is
mainly adopted to increase the demand and the market share. For example Castle Rock hostel, which uses the low cost
model by providing low price services which is mostly for attracting lower and middle class people.
 Informal accommodation method: This is the model which is used by Airbnb. It permits ordinary people to rent their
place as tourist accommodation. Airbnb's appeal which centres cost saving and more local experience. This model has
highly impacted the hotels.

Cont..
Scale and scope of accommodation services
 Scope: The scope of accommodation of services is very vast which includes hotels, tourism, cruise
voyage etc.
 Scale: The scale of accommodation services is very large. It provides services of different types
which includes luxury services, mid-range services, budgeted services.
Types of facilities provided
 Restaurants: Services provided are flexible operating hours, special cuisines, children's menu,
corporate culture, pool service, bars, mini bar in guest rooms etc.

Cont..
Staffing levels of different accommodation providers
 Hotels: Different staffing levels in hotels are divided into 3 different categories. First is
administrative level, guest handling service, support staff and safety and security
service..
 Hostels: It includes administration, room service and security.
 Resorts: It includes maintenance, room service, front office, administration, operating
level, kitchen staff etc.

OWNERSHIP AND AFFILIATION
 Independent hotel: it refers to the hotels that are independently owned and is likely to
operate in a single market. The advantage of it is that to have autonomy in management
decisions.
 Chain hotels: It is the part of series of a group of hotels operated by the same owner. It
is known as chain affiliated hotels.
 Management contracts: In this, hotel continues to be privately owned by the
management of it is taken over by contractor. It charges certain fee for managing the
hotel.