How the Global Recession Has Changed the Hotel Industry

The global recession has changed the hotel industry inGuests can get much better deals than previously.
the UK and other countries in a manner similar to theBusiness brand awareness has been converting to
impact upon other travel related industries. The bruntmembership in new loyalty programmes.
of the recession has settled on the mid-market brands.The Internet benefits the hotel industry because
Business for budget brands such as Holiday Innbooking rooms is easier. It is a way for brands to
Express, Travelodge and Premier Inn has actuallyreach out to business guests. Guests use hotel
increased.websites for information about best deals and to book
Research indicates a change in holiday plans from longrooms online. Generic travel websites like Yahoo!
stays away from home to shorter stays nearby atTravel, or are most frequently used by potential
budget hotels and holiday camps. Rapid growth isguests.
occurring in the short break market for personsHotel loyalty programmes are another method to
staying from one to four nights. This rise in room nightsentice guests to book their holidays at all types of
over the past few years is not large enough to offsethotels. Over half of frequent business guests belong to
the long stay market losses.some loyalty programme that offers special benefits
Other general economic factors also affect the UKto customers. Economically strapped travellers want to
hotel industry. Bad weather, the credit crunch and abe rewarded for their loyalty. Many cheap hotel chains
decline in jobs work against the industry as holidayare now offering superior rewards, upgrades and
travel is curtailed or eliminated. Business travellers areextra amenities just to attract entry level customers.
switching to budget hotel brands. This trend can beMaintaining consistent service and quality standards is
directly correlated to the timing of the economicessential to combat economic woes. Excellent service,
downturn beginning in 2008. In a positive reaction, theappropriate location and good value are top priorities
budget hotel brands have worked hard to improvewhen guests book rooms at luxury or cheap hotels.
their offerings to compete with the mid-market brands.