Hotel Front Office Management, 3rd Edition

TRENDS THAT FOSTER GROWTH 23Family Size/Household SizeThe current trend toward smaller families also indicates growth for the hospitalityindustry. The discretionary income available for a family with two children is greater thanthat for a family with five children when total incomes are equal. Household size—thenumber of persons in a home—has continued to decrease over the years. Like the trendtoward smaller families, the increased number of small households indicates that morediscretionary income is available. The costs associated with a one- or two-person householdare less than those for a household of four or more people. Moreover, those wholive in smaller households are more likely to dine out, travel, and participate in qualityleisure-time activities.Business TravelCorporate business travel should not be taken for granted by hotel managers in today’sworld of high energy prices and speedy communication. Oil prices significantly affectbusiness travel; as the cost of fuel oil rises, higher prices for air travel and other meansof transportation result. A business is not always willing or able to budget more for travel.When travel costs increase, less travel is done and the necessity of any business travel isreviewed. Executives will no longer hop the next plane to clinch a deal if the same taskcan be accomplished via a phone call, a (conference call), in which three or more personsare linked by telephone (or PictureTel which is the use of telephone lines to send andreceive video and audio impressions). Shorter trips (day trips or one-night stays) areanother response to the increased cost of travel.The volume created by business travel often represents the largest portion of the regularincome of a hotel property. This prime market must be constantly reviewed for economicdetails that affect its viability.Female Business TravelFemale business travelers are on the rise and represent an increasing segment of thecorporate travel market. As previously discussed, their travel is also affected by energyprices and speedy communication. This particular market segment requires close attentionto fulfilling special needs. Female travelers request particular amenities and demand closeattention to safety. Marketing and sales managers need to develop products and servicesthat will capture this growing market segment.Travel as ExperienceAt one time, people traveled primarily out of necessity; business and family visits werethe usual reasons for traveling. Today, people travel for many reasons, including education,culture, and personal development. Many people want to learn more about thesociety in which they live. They have studied American and/or world history and wantTLFeBOOK