Hotel Types & Classifications

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  • 0:02 Types of Hotels
  • 1:45 Location
  • 2:45 Target Markets
  • 3:59 Level of Service
  • 4:37 Ownership and Affiliation
  • 5:14 Lesson Summary
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Lesson Transcript
Instructor: Tara Schofield

Tara has a PhD in Marketing & Management

When you look at the hospitality industry, you will find there are many factors that affect hotels and lodging facilities. These factors help determine the type of property you are looking at. In this lesson, we'll take a look at specific hotel types and classifications.

Different Types of Hotels

The hotel industry is one of the most exciting industries for job seekers. Not only are there are a wide variety of jobs available, there are many different types of properties to work in or stay at. Hotels can vary from a small bed and breakfast where the owners personally interact with each guest, to large, gorgeous resorts that offer a wide range of services for guests to enjoy. Let's look at the various factors affecting the classification and types of hotels.

One of the most common ways to separate hotels is through classification. Star ratings are a typical form of classification for hotels. These ratings are given to hotels by independent travel industry firms and past guests. For instance, if you look at luxury property, the rating will likely be four or five stars, with five stars being the highest possible score. On the other hand, an economical chain may have two or three stars. If a property has only one star, it will be one of the least desirable hotels; shortcomings could include small rooms, dated or dirty rooms, limited amenities or security, and poor service.

Hotel size is another factor that distinguishes types of hotels. Imagine that you want to work at a hotel where you can have a wide variety of opportunities, learn many skills, and look forward to many growth opportunities. Selecting a larger property could provide more career opportunities. A property with 3,000 rooms will have many more amenities and features than a 50-room hotel. Additionally, there are many more employees required to run a large hotel than a smaller property.


As they say in real estate, it's all about location, location, location. The same holds true in the hospitality industry. There are two main schools of thought when it comes to hotel locations. For convenience hotels, which are standard properties for guests who typically do business away from the property or see local sights, the location needs to be easy to get to and convenient to access.

Other properties are more of a destination, meaning the guests come to relax and enjoy their stay at the hotel. These hotels may be resorts with many in-house amenities and activities, or they may be convention properties where guests stay to attend meetings and events. In this case, the guests typically arrive at the property, stay for a period of time, and check out to leave. These properties may be more remote or removed from major highways or convenient paths. Guests arrive with the intention of staying at the property and do not need easy access to leave and come back repeatedly.

Target Markets

There are several general markets (guests) that hotels target: corporate, government, event, and transient.

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