Budget Hotels vs. Luxury Suites – A Comparative Study

The above-given topic is not only interesting for the travellers but also offers some guidelines for all types of hoteliers who have the budget or economy hotels as well as star hotels that provide luxury rooms and large suites. As per the experts from the popular Resortsnear McLeod Ganj, the hospitality industry has witnessed a dramatic transformation in recent decades. Even both of these hoteliers operate in different segments; they work in tandem to promote tourism as well as provide accommodations to guests whose priorities are different while travelling to different destinations. This article makes an attempt to compare budget hotels with luxury hotels in order to find how they complement each other in many ways with their similarities and differences. 

• Differences: Though the goal or mission of budget and luxury hotels is one and the same, the difference between them lies in their mode of delivery and their offerings. Let us know some of the basic differences of these hotels: 

• Budget hotel: A budget hotel provides the basic needs of a traveller like a clean bed, washroom, and so on. Employees in these hotels are not experts in delivering high-quality services as the expectations of their clients are restricted to basic needs as well as the value for the money. Rooms are small and may not have the right ambience to stay for a longer period. Of course, these hotels provide television, air conditioning, which is provided by luxury hotels. These hotels are meant for travellers who are not keen on spending money lavishly except for a decent stay. Budget hotels are the best choice for a single traveller who comes for a short stay. It is for these reasons the Hotels near Jwalamukhi Temple always show higher occupancy rates in all parts of the year. 

• Luxury hotel: As the name indicates, these hotels are the choice for people who are willing to pay more cash and need a different ambience to stay with. Hotel rooms under this category offer many amenities such as refrigeration, bars swimming pools, and so on. The size of the rooms here is quite large and offers a great ambience, with comfortable beds and furniture. Suites in these hotels provide an entirely different set up offering additional rooms and other exclusive facilities. Rooms in these hotels are well suited to stay with kids and other members of the families. More than the luxury, these hotels are well known for their safety offered to its guests. 

• Similarities: Satisfied guests are less price-sensitive. In a study conducted by a research firm tells exciting data which are common to both economy and luxury hotels. In both these segments, guests are not cost-conscious while choosing their accommodations. In fact, guests in both segments are emotionally attached to their respective brands. Hence hoteliers of both segments need to focus on improving the experience of their guests in their own ways to retain their clients.
  
  
• Guest’s perception matters most: In the hospitality industry, the perception of the guests really counts. Interestingly, there are common similarities witnessed in both types of hotel segments. Read on to find more details here:

• Budget hotel: In a budget segment that enjoys around forty per cent of the hospitality market. However, the ratio of repeat customers follows a different patent as most of them are driven solely by location, price, and quality of service, but look for hotels that have responsive employees who can solve the issue. Since these hotels offer lesser staff, their performance is critical to engage clients. Choosing the right staff will help the budget hotels to get repeat clients who are engaged with the brand. 

• Luxury hotel: In this segment, guests always feel the look and feel of the property to come again and again. Most of the guests tend to make their own assessments rather than relying on the recommendations of others. Interestingly, the guests who perceive an energized and good looking lobby intend to come again than the guests who feel otherwise. This clearly indicates the upscale hoteliers need to hire and train people who have a good tone and appearance. 

• Market positioning of budget and luxury hotels: When it comes to the hospitality industry, today’s hoteliers offer both high-value luxury hotels as well as budget hotels for different kinds of travellers. Though, this writes up has given some insights to both types of properties, we need to know some basics with which both these types of hotels operate in the industry. This aspect of market positioning is important for all types of hoteliers in order to build their brands. Here they need to take a few considerations: There is a market at every position; however, a brand cannot have two positions in the market. When it comes to luxury hotels, these hoteliers enjoy their properties in the premier segment and also have their market share in the premium segment of hotels. On the other hand, hoteliers who operate budget hotels are satisfied with their operations in the ‘value for money’ segment. 

In a mixed economy, both luxury hotels, as well as budget hotels, need to operate to cater to the needs of the travellers who have a different financial background. In a practical sense, hotel rooms in both segments can make or break the business for the hoteliers. More than anything else, it is the guest who controls the entire hospitality industry to a great extent. In fact, guests are the core elements of the industry. Selecting the right hotel is as important as finalizing the right destination. This short comparison will surely help both types of hoteliers who work for a common goal of selling ‘relaxation’ to their respective clients in their own way and deliver the guest’s needs in accordance with their preferences.