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Chapter3 LodgingIndustry

The lodging industry in the United States has historically been influenced by changes in transportation. In the mid-1600s, coaching inns became popular resting places for travelers using stagecoach routes. The first hotel designed specifically for lodging opened in 1794 in New York City, and the first "grand hotel" opened in 1828 in Boston. As railroads expanded in the 1800s, lodging facilities located near stations grew in popularity. Major hotel chains like Hilton began in the early 1900s, and the 1950s saw the rise of motels along newly constructed highways. Widespread air travel in 1958 further changed the industry's focus towards airport locations. Lodging operations are organized into administrative departments like accounting and marketing, and

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105 views17 pages

Chapter3 LodgingIndustry

The lodging industry in the United States has historically been influenced by changes in transportation. In the mid-1600s, coaching inns became popular resting places for travelers using stagecoach routes. The first hotel designed specifically for lodging opened in 1794 in New York City, and the first "grand hotel" opened in 1828 in Boston. As railroads expanded in the 1800s, lodging facilities located near stations grew in popularity. Major hotel chains like Hilton began in the early 1900s, and the 1950s saw the rise of motels along newly constructed highways. Widespread air travel in 1958 further changed the industry's focus towards airport locations. Lodging operations are organized into administrative departments like accounting and marketing, and

Uploaded by

Santhosh Chandran R
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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The Lodging Industry

Understanding Lodging
The lodging
industry in the
United States
has always been
strongly
influenced by
changes in
transportation.

Mid-1600s

Stage coach routes established


Coaching inns became popular
resting places for travelers
Expected a bed and a meal for the
evening

1794-1828

1794 City Hotel in


New York City opens
The first building in
the US designed
specifically as a hotel.
1828 The Tremont
House, first grand
hotel, was built in
Boston.
First hotel to offer
private rooms with
locking doors.

The Railroad

Inns, taverns and foodservice facilities


located near railway stations began to
grow.
Famous resorts because of the railway
include Hotel del Coronado near San Diego
and the Greenbrair Resort in West Virginia.
Yellowstone was also a railway resort.

Conrad Hilton

A banker in New Mexico purchased


his first hotel around 1900. It was in
Cisco Texas.
This began his chain of hotels.
Other hotels around this time: Ritz
Carlton in Boston and the Plaza in
New York City.

1950s

Increased availability and popularity of the


automobile and a new interstate freeway
system made cross country vacations a
popular option.
Motels sprang up along highways offering
travelers a place to bathe, sleep and eat.

The Airline Industry

1958 commercial airlines became popular.


Builders moved toward airports for hotels
and restaurants.

Lodging Operations Organization

Front of the house: employees who have


direct contact to the public
Back of the house: supporting operations,
behind the scenes
OR
Administrative Departments: Manage
business (accounting, human resources,
training, marketing, sales)
Service Departments: responsible for
serving guests directly

Administrative Departments

General Manager (GM)


Accounting and
Financial Management
(Controller)
Human Resources
Marketing and Sales

Service Departments

Front Office
Housekeeping
Engineering and
Facility
Maintenance
Security
Food and Beverage
(F & B)

Leisure Travelers

On vacation
Shopping, fine dinning, sightseeing,
sports events, relax
May provide activities for children,
on-site recreation or health facilities

Business Travelers

Looking for well lit work spaces,


telephones, modems, copiers, fax
machines.
Meeting facilities
24 hour service - valet parking,
secure lodging

Amenities

Restaurants
Parking Garages
Boutiques
Barber shops
Dry Cleaners
Florists
Swimming pools
Room service

Cable Television
Pay per view
Bathrobes
Gift shops
Kitchens
Computer modems
Spa
Recreational
activities

Types of Properties

Full Service
Luxury
Economy
Mid-priced
All-suite
Resorts
Bed and Breakfast

Terms to Know

Folio
CRS Central
Reservation System
Room Inventory
Block
Rooms Forecast
No-Shows
Overbook
Understays
Yield Management
Rack Rate

Hubbart Formula

Helps managers set rates

Operating expenses + Desired return on investment-Other Income


_______________________________________________________
Projected room sales
=
Room Rate

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