The new JD Power 2013 North America Hotel Guest Satisfaction Index Study have just been released. After two years of declines, hotel guest satisfaction increases to a seven-year high. From the press release:
Overall guest satisfaction averages 777 on a 1,000-point scale, up 20 points from 2012. This marks the highest satisfaction index score for the hotel industry since the introduction of the current study methodology in 2006. Satisfaction has increased in all seven factors, with the largest increases in reservation, cost and fees, and check-in/check-out.
“The fact that guest satisfaction has turned a corner is great news for an industry that has struggled to sufficiently meet guest expectations in the past few years,” said Rick Garlick, global travel and hospitality practice lead at J.D. Power. “Many hotel chains are finally benefitting from the long-term investments they have been making to improve their properties in terms of staffing, rooms and facilities. Furthermore, cost and fees satisfaction has increased while the factor has simultaneously declined in relative importance to overall satisfaction across all segments, indicating reduced price sensitivity among guests. These are all positive changes for the industry.”
Once again, The Ritz-Carlton claimed the top spot for the luxury brands. Here are the top ranking hotels by division:
Set your DVRs, CNBC has recently started airing their new special on Marriott.
The special focuses on the recent growth of Marriott, as well as the struggles. It includes an interview with former CEO Bill Marriott before wrapping up with a great segment on the 5 Diamond Service provided by Ritz-Carlton.
We will let you know as soon as CNBC posts the full episode online.
Check out this preview here:
Also, check out this preview about the Ritz-Carlton segment of the show.
If you our working hard on improving your guest welcome with our Guide to the Ultimate Arrival Experience, we wanted to share a few stories of the Ultimate Arrival Experience in action. The great thing about these two stories is how they show how our Ultimate Arrival Experience will work for any hotel. These two hotels were both visited by one of our mystery shoppers during the same week… both took a similar approach to the arrival experience… but are very different hotels. The first hotel was a budget friendly Holiday Inn, the second was a ultra-luxurious Ritz-Carlton.
In the June 2010 issue of Consumer Reports, they have a special travel section that tells readers how to get great deals on travel. They also announce their ratings for the year. The hotel ratings, based on over 27,000 reader’s surveys, are somewhat surprising. Consumer Reports has odd categories of hotels such as ‘fanciest’, ‘luxury’, and ‘upscale’. The ‘upscale’ category for instance has both full service and limited service hotels.
The top score was a tie between Ritz-Carlton in the ‘fanciest’ category and Homewood Suites in the ‘upscale’ category. The Homewood Suites scored an excellent in value and the Ritz scored very good.
Here are the rankings for a couple of the categories:
A really good article from USA Today about hotel’s struggling to survive. Check out the full article on USA Today’s website.
The article features some high profile hotel closures such as the W Hotel in San Diego and the Ritz-Carlton in Las Vegas. The article also mentions how 76 California hotels have already fallen into foreclosure and that 330 out of the states 10,000 hotels have defaulted on their mortgage payments in the last year.
As far as the cuts, the article really only mentions that Concierges are being replaced by lower cost employees and some hotels are changing their approach to food and beverage.
We have noticed quite a few changes at hotels over the last year or so to cut costs or drive revenues. A few of the changes we see:
Many hotels have closed restaurants and bars. Instead of having 2 or 3, many have closed all but one restaurant and one bar.
Hotels have cut costs and gone green by eliminating newspapers and printed folios.
Parking rates are on the rise. Many hotels have increased the parking fees for both self parking and valet parking.
Breakfast buffets have really been changing. The prices have increased and the quality and selection of food has decreased.
Overall staffing has really decreased. Many hotels have eliminated positions like bellmen or concierges. Also, we see longer lines at check in because the hotels have less GSAs with similar occupancy as in the past.
What are you doing to survive? Please post in our comment section!
Four Seasons Hotels & Resorts (12th place), Ritz-Carlton (5th), and JW Marriott (25th) all made the top 25 of BusinessWeek’s annual best companies for customer service. All three hotel brands received an ‘A’ on both Quality of Staff and Efficiency of Service. All three also scored about 50 percent on Definitely Would Recommend Brand. JW Marriott did the best on Will Definitely Repurchase by scoring 48 percent, a tremendous score for a hotel.
Other travel companies that made the list were Jetblue Airlines (19) and Enterprise Rent-A-Car (16).