Understanding Hotel Classification Systems

May 26, 2025

Week 1: Hospitality Business Management

Hotel Classification

Introduction

  • Lecturer: Assoc. Prof. Kate Yoo, KANSAI GAIDAI UNIVERSITY
  • Focus: Understanding hotel classification systems and their applications.

Agenda

  1. Understanding hotel classification
  2. Case Study Activity: Hotel Rating Systems
    • 'A Five-Star Fudge!' (UK Hotel Rating System)
    • Group discussion on hotel rating differences, system strengths/weaknesses, and trustworthiness.
    • Bonus: Redesign hotel rating criteria.

Hotel Classification Systems

  1. By Rating System
    • Forbes Travel Guide (Star rating)
    • American Automobile Association (AAA) (Diamond rating)
    • European systems using 1-5 stars
  2. What is Hotel Classification?
    • Rating hotels using stars/diamonds.
    • Traditional classification involves mandatory criteria, site inspections.
  3. Forbes Star Rating System
    • Levels range from budget to luxury, with specific attributes.
  4. AAA Diamond Rating
    • Classification based on guest reviews, e.g., TripAdvisor.

Importance of Hotel Classification

  • Provides indicators of standards for consumers/intermediaries.
  • Useful for marketing and promoting quality.

Purpose of a Hotel Classification System

  1. Inform guests on expected services.
  2. Standardized listings for intermediaries.
  3. Marketing/promotional tools.
  4. Quality measurement.
  5. Reference for public policies.

Hotel Classification Assessors

  • Internal Auditor: Self-assessment (e.g., Slovakia)
  • Advisor/Assessor: Quality assurance (e.g., Scotland)
  • Inspector/Auditor: Compliance with standards (e.g., France)

Criteria Comparison (4 vs. 5-star)

  • Differences by country: USA, Germany, UK, Australia.
  • Criteria range from basic services to enhanced amenities.

Benefits of Hotel Classification

  • Marketing and positioning
  • International comparison
  • Service guarantee
  • Increased awareness
  • Positioning independent/small hotels

Challenges

  • Multiplicity of systems
  • Misleading self-classification
  • Evolving consumer expectations

Hotel Classification Criteria

  • By Size: Small to large hotels
  • By Location: City, motels, resorts, etc.
  • By Target Market: Business, luxury, budget, etc.
  • By Theme: Heritage, eco-friendly, boutique, etc.
  • By Length of Stay: Transit, residential, semi-residential

Additional Resources

  • LinkedIn account setup recommended for networking and further learning.

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