B.

Introduction to Hospitality

1. The Hospitality Industry (Overview)

1.2. Defining Hospitality
Hospitality is:

 the act of kindness in welcoming and looking after the basic needs of guests or
strangers,
 mainly concerning food, drinks and accomodation;
 the relationship process between a guest and a host;
 the reception and entertainment of guests, visitors, or strangers with liberality and
goodwill (Oxford English Dictionary);
 derived from the Latin word “hospitare” meaning to “receive as a guest”

1.3. The Pineapple Tradition

Let's check this trivia on pineapple and hospitality:

• Pineapple enjoyed the rich and romantic heritage as a symbol of welcome,

friendship and hospitality
• In 17th century, it was brought back from the West Indies by the early European
explorers and was cultivated in Europe and became the favored fruit to serve
royalty and elite
• Later, it was introduced to North America and became part of the North American
Hospitality
• Pineapples were displayed at doors or on gatepost announcing to friends and
acquaintances:
 “ The ship is in! Come and join us". Food and drink for all
 Since its introduction, the pineapple has been internationally recognized as the
symbol of hospitality and a sign of friendliness, warmth, cheer, graciousness, and
conviviality.
2. The Hospitality Industry
2.1. Concepts of Hospitality

 Hospitality was coined from the term “hospice”, an old French word, meaning "to
provide care/ shelter for travelers”.
 The hospitality industry, a service industry, comprises a wide range of businesses,
each of which, dedicated to the service of people away from home.
 It includes companies or organizations providing food and/or drink and/or
accommodation to people away from home.
 It is an industry segment that includes among others, the hotels, restaurants,
private clubs, managed food service, event planning, and other tourism-related
businesses, and travel providers.
 Further, it is an industry, wherein, the product purchased is either intangible or
the perceived quality of the product purchased is impacted to its guest

2.2. Characteristics of Hospitality Industry

The characteristics of the hospitality industry are as follow:

• Open 365 days a year and 24 hours a day

• Depends heavily on shift work (AM shift, mid-shift, PM shift and night shift)
• Products are intangible
• Products are perishable

2.3. Sectors of Hospitality Industry

The following are the sectors of the hospitality industry:

1. Food and Beverage Industry

The food and beverage industry, also known as the foodservice industry. It consists
of businesses that prepare food for customers.
2. Lodging

The lodging industry, also known as accommodation, is a place to sleep for one or
more nights. It can be one of many sleeping places such as a fancy hotel, a youth hostel,
an elder hostel, a campground, or highway side motel.

3. Travel
The travel industry is in the business of moving people from place to place while the
tourism industry provides those people with services that promote travel and
vacations. Buses, planes, cabs, boats, and passenger trains are all part of the travel
industry while travel agencies, tour operators, cruise companies, convention planners,
and visitors bureaus are all part of the tourism industry.

4. Recreation
Recreation is any activity that people do for rest, relaxation, and enjoyment. The goal
of recreation is to refresh a person’s body and mind. It is any business that provides an
activity for rest, relaxation, and enjoyment, to refresh a person’s body and mind, is in
the recreation business. There are four general types of recreation businesses:
a) entertainment,
b) attractions,
c) spectator sports, and d. participatory sports.
 C. The Tourists

1. Understanding the Tourists

In any tourism trip, there are likely to be several reasons which, when combined, can
be considered as the motivational factors for the journey. Tourists are the main
characters in the tourism industry and the tourism industry exists to cater to their
needs. Tourism businesses acknowledge the fact that their success depends also
on how much they know and understand their tourists.

1.2. Basic Travel Motivators

Tourist Motivations

 THE NEED FOR CHANGE OR ESCAPE- The greatest reason for travel can be
summed up in one word “escape”
 TRAVEL FOR HEALTH- Development in the field of medicine have influenced
travel for centuries, giving rise to the concept of health tourism.
 SPORTS- Interest in sports, either as participant or a spectator is attracting a
large segment of the population.
 SOCIAL CONTACT- According to Charles Metelka, travel increases the
“sociability resources” of individuals. It makes them more interesting to
themselves and to others.
 STATUS AND PRESTIGE- Travel provides the means for ego or self-
enhancement.
 TRAVEL FOR EDUCATION- The search for knowledge and truth is inherent in
every individual. Travel offers an opportunity to satisfy the urge to learn.
  PERSONAL VALUES- Many people are urged to travel to satisfy personal values
such as the search for spiritual experience.
 CULTURAL EXPERIENCE- Cross cultural exchanges, experiencing how other
people live and fostering international understanding.
 SHOPPING AND BARGAIN HUNTING- To many people, the joys derived
from buying certain goods may be the major reason for travel.
 PROFESSIONAL AND BUSINESS MOTIVES- A great number of people
travel for professional and buss. motives. More than one-half of all airline travel is
done by buss. Travelers.
 SEARCH FOR NATURAL BEAUTY- Travel can be satisfy one’s search for beauty in
the environment and scenery.

1.3. Maslow’s Theory of motivation and Travel motivations

Maslow’s Theory of motivation and Travel motivations

• Physiological needs- hunger, thirst, rest, activity

• Safety Needs- Safety and security, freedom from fear and anxiety.

• Social Needs- love, affection, giving, and receiving.

• Self-esteem- Self-respect, and esteem from others

• Self-actualization- Personal self-fulfillment

1.4. Classification of Travelers

Classification of Travelers Based on Personality

Stanley C. Plog, a biological researcher, classified travelers based on their different

personalities as:

• Psychocentrics- People centered on self, are inhibited unadventuresome.

• Allocentrics- People having interest and attention on other persons, are highly
curious and thrive on stimulation and change.

Classification of Travelers Based on Purpose of Travel

A. Business Travelers

-Regular Business Traveler

-Business Travelers attending meetings, conventions, and congresses.

- Incentive travelers

B. Pleasure/Personal Travelers

- Resort Travelers

- Family Pleasure Travelers

 The junior family- parents age 20-34 with pre-school/grade school

children.
 Mid-Range Family- parents age 35-44 with grade school/HS
children
  Mature Family- parents 45 or over with children who are HS or
older.

- The Elderly

- Singles and Couples

1.5. Travel Constraints

2. Types of Tourism

These are some examples of Types of Tourism Activities. What else do you know about it?

3. Tourist Market Segmentation

3.1. What is Market Segmentation?
Market Segmentation

 Identifying tourism customers and deciding on how to meet their wants and needs.
 Learn more about the customers
 Making the heterogeneous market into a homogenous market
 The process through which potential customers with similar needs and
characteristics are grouped together so that a tourism organization can apply
marketing strategies for the selected market segment efficiently”

Why Market Is Segmented?

 Travel market is too large to reach efficiently

  Travel market is to diverse to communicate
 Breaking up the market will make it easier to manage

Identifying Market Segmentation

 WHO – who are in the market segment that we would like to have?
 WHAT – what are their requirements?
 WHEN –when do we promote to our market segment?
 WHERE –where do we promote the product? Through which distribution
channel?
 HOW – how do we develop marketing strategies to reach the market?

Benefits of Market Segmentation

 Understand the needs and wants of customers

 Allocate marketing expenses efficiently
 Further develop products or services
 Develop marketing strategies more precisely

3.2. Types of Tourists Market Segmentation

1. Geographic Segmentation – grouping potential customers based on their
location; oldest and simplest basis for market segmentation

- commonly used geographic segmentation variables include nations,

regions, states/provinces, countries, cities, and even neighborhood.

2. Psychographic Segmentation – grouping on how they live, their priorities,

their opinions, their attitudes and their interests

Personality – psychocentrics, midcentrics, allocentrics

Lifestyle dimension- activities, interest, opinions

 3. Demographic Segmentation – gender, age, ethnicity, occupation, educational
level, income, household size and family situation

- Classified according to gender, age, ethnicity, occupation, educational level,

income, and household size

4. Product-Related Segmentation (Behavioral) – benefits people seek in the

good or service, the amount of good or service used and degree of company
loyalty.

– The benefits of people seek in the good or service

– The amount of good or service used

– The degree of company loyalty shown by the consumer in relation to the

specific good or service

3.3. Segmentation Process

Market Segmentation Decision Process

1. Select segmentation approach

2. Create detailed profile of segment
3. Forecast market potential of each segment
4. Estimate likely market share of each segment
5. Decide which segment to target and design appropriate marketing mix

3.4. Specialized Tourist Segment

Specialized Tourist Segments

3.5. Measures for Tourists Satisfaction