Challenges faced in operating hotel chain business

Managing a single independent hotel also needs constant attention. But when it comes to operating hotel chain business then it becomes more difficult.

An operation failure can affect the business of all hotels. Hence a small problem can be a big loss for the brand image of the hotel chain. You may lose customers and your revenue too.

In a chain business, there are multiple hotels to manage. So there are different types of challenges that arise every day for hoteliers.

1 Maintaining the Brand Image and Service

2 Hiring the Right People

3 Cost of Training Staff

4 No Real-time Access to Information

5 Complex management

Maintaining the Brand Image and Service

An independent hotel group doesn’t depend as heavily on the same booking sources, such as online travel agents,.They have become the livelihood of independent hotels.

They instead rely on the brand’s appeal to attract guests, so making sure that this name is never negatively affected takes top priority.

This is the biggest challenge that multi-property hotels face – maintaining the hotel’s standard across all units, irrespective of their geographical location.

Many of the other issues a unit may face – such as guest dissatisfaction, decreased revenues, and so on – usually stem from a lack of homogeneity.

Hiring the Right People

While running one property can be demanding, most owners can still manage to oversee core operations and ensure continuity of the hotel’s standard.

However, when it comes to multi-properties. It’s close to impossible for the owner to get personally involved in the operations of individual units.

Hiring the right general manager is a critical decision. So make sure you screen candidates well before putting them in charge of your property.

Remember that each and every general manager you hire for all of your properties should reflect the same values you hold close to your brand.

Cost of Training Staff

Unlike independent properties, hotel chains need more personnel to manage daily operations across all units.

This makes it more difficult to manage and monitor staff responsibilities; so proper training is a must in order to ensure that they can meet the brand’s quality standards.

Because of all this, a high turnover rate is more common in hotel chains compared to smaller properties. In addition, the hotel will also have to conduct training sessions every time a new property is acquired.

If they choose to retain existing employees, some amount of training will be mandatory to make sure that they are well versed in the new company’s policies.

No Real-time Access to Information

In today’s digital era, getting the information you need instantly can be the difference between recording a profit or a loss.

Gathering data from different departments is often a very slow process. It can take an extremely long time to collect data from the different departments of each unit.

When done digitally using emails and online drives. And the dizzying pace of activity in this industry doesn’t make things any easier – it’s likely that the data will need an update by the time it’s been received and organized.

While investing in the right digital tools can solve some of these problems, it’s important to remember that there’s no one-size-fits-all solution for multi-properties.

Technology can help automate certain tasks to an extent, and while a lot of property management systems (PMS) are well built to tackle independent hotels, using a regular system can muddle things up when it comes to group properties.

You may receive multiple reports about the same issue, for instance. Try to narrow your search down to a management system.

That can help you effectively run operations that are critical to maintaining your brand’s identity.

Complex Management

Another aspect that is complicated in chain hotels that is the management of these properties. It is the fact that when larger volume knowledge has to be collected and analyzed then it becomes a tough task.

Additionally, In chain hotels, different units may attract an audience specific to that place.

As an example, a branch located during a coastal area or hill-station may attract tons of tourists while one located during a metropolitan IT hub may attract a more corporate-based clientele.

All of those variables can make the entire management process extremely tedious

Conclusion

Hotel chains have very different operational strategies compared to independent hotels.

While the guest experience is obviously important, these establishments are recognized primarily for their brand and standardized service levels.

Guests have certain expectations that come with the name. And ensuring that they experience the same enriching service at all properties is non-negotiable.

If you are searching for software to make your hotel website then consider QloApps. It will launch a beautiful website to manage your hotel.