HOTEL CHARACTERISTICS

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HOTEL CHARACTERISTICS
An introduction to the special features
influencing the management of hotels
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CharacteristicONE

• The customer is perceived as a guest.
• hotel gives credit for many services
• hotel does not expect payment at the points of
  sale
• Unique guest credit status
• Extensive documentation (written or electronic)
  and intensive communication network for often
  minor purchases

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Characteristic two

• Selling Goods and Services
• tangibles such as food, roomdrinks
• intangibles such as services, atmosphere
• Production and consumption can occur almost
  simultaneously
• credit problem how to claim back the intangible
  product ?
• perishability of the product

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Characteristic three

• Many Points of Sale
• A point of sale is the time and location at which
  goods or services are purchased.
• Number of POS are directly related to the number
  of operating departments
• POS scattered throughout hotel.
• Need for many trained staff
• cash/credit handling control

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Characteristic four

• Unique accounting system
• large volume of small transactions
• taking place rapidly
• at many different locations
• Need for
• many well trained staff
• speedy information flow
• information channels

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The Night Audit

• To guarantee an optimisation of the guest
  settlement (no leakage of funds through mistakes)
  and
• to provide visibility into who the guest is (for
  marketing and management purposes)
• an audit is done on a daily basis, mostly at
  night.

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Summary

• Products and services are sold simultaneously
• Goods and services have no lasting physical value
• Customers are guests which implies superior
  status and increased leverage risks
• short term credit without guarantees
• many small transactions
• difficult control of POS / staff