Hotels Maintain Service and Reduce Expenses Without Impacting The Guest Experience
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Hotels Maintain Service and Reduce Expenses Without Impacting The Guest Experience
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Category: Worldwide - Industry economy
- Trends / Expert's advice
This is a press release selected by our editorial committee and published online for free on 2008-11-14
Despite economic pressures to reduce staff and services, hotel customer satisfaction for the third quarter remained flat (-0.1), maintaining near record levels for the industry according to the most recent results of the Market Metrix Hospitality Index™ (MMHI). Contrary to severe budget cuts and steep declines in satisfaction following the terrorist attacks of 9/11, hotel satisfaction has been nearly immune from the current financial crisis. Hotels have been able to maintain service and reduce expenses without impacting the guest experience.
Comparing performance across the hospitality industry
In the third quarter, economy, timeshare and casino segments showed the most improvement. Economy brands showing the biggest gains include Budget Host (+4.2), America's Best Inns & Suites (+1.5), and Jameson Inns (+1.4). Timeshare brands continue to get rave customer reviews and have outscored all other hotel segments, including luxury hotels, since the first quarter of 2007. Disney Vacation Club extends its dominance in the segment with Marriott Vacation Club showing the most improvement (+1). Casinos were up slightly (+.2 to 83.1) with Borgata taking top honors and showing the most improvement (+2.5 to 88.9).
Car Rental satisfaction scores increased to their highest levels in two years (+1.3 to 81.0). Advantage (82.3) was the winning car rental brand, finishing just ahead of the perennial leader Enterprise (82.1). In 2007 Advantage ranked only 7th among all car rental brands with a score of 79.1.
Satisfaction among airlines also improved (+0.7 to 74.5). However, these scores are still at historically low levels for the industry. Airlines continue to struggle with customer satisfaction and have made matters worse with the expanding suite of fees charged for services such as in-flight meals and baggage. Midwest Airlines (85.6) was the high scoring airline, outpacing JetBlue (83.7) for the third consecutive quarter.
Top Scoring Hotel Brand
The top hotel score went to Sandals Resorts, a collection of twelve “all-inclusive” resorts in the Caribbean. Sandals guests rave about the service “Wow, we had a butler... what a treat! A great idea!” and are enthralled by the facilities “I loved the European décor mixed with tropical landscaping... nothing short of amazing!” According to Mr. Gordon “Butch” Stewart, chairman and founder of Sandals Resorts, “We work very hard to ensure that our guests are experiencing a top luxury product and are humbled and flattered that our ongoing efforts to modernize and improve have been recognized.”
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