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The hotel industry is one of the most easily affected industries whenever there are any kinds of changes in the economy, fashion trends, technological advancements and so on. Because hotels cater to a guest’s need for relaxation and entertainment, it is very important that hotels keep updated with the latest in everything that has to do with people. Besides, the hotel industry is one of the few where business revolves entirely around the customers or guests as they are called in the hotel industry. The success of a hotel depends completely on hotel-guest interactions. Moreover, this industry also happens to be one of the few where the customer stays overnight on the premises. This makes hotel-guest interactions all the more important.Naturally, most of a hotel’s challenges and problems are centered entirely upon a guest’s experience, and this is where a hotel either succeeds or fails heavily. Here are some of the challenges that large branded hotels have to face:

  1. Making profits

This is one of the biggest challenges for large branded hotels. On one hand, operational costs have increased exponentially. Hotels have to maintain the image of their brands. This is possible only when the guests are made to feel ‘pampered’ because if guests feel their requests are not entertained, they can easily be lost to competitors.On the other hand, there are the high expectations that guests have of large brands. This makes it difficult for large branded hotels to strike a balance between the two.

  1. Numerous classes of hotels

Earlier, there were either budget hotels or luxury hotels. Each class had its own market, so business was steady for hotels that came under both categories. However, today there are many categories and sub-categories, such as elite, luxury, budget-luxury and so on. As a result, hotels often suffer from an identity crisis and are confused as to which market to cater to.

  1. 24x7 work environment

Although all hotels have a work environment where employees have long working hours, large branded hotels face more stress from this than any other. For one, a guest’s requests cannot be denied no matter what.Secondly, employees must maintain their calm, friendly demeanor no matter what their state of mind. As a result, problems related to labor laws, salaries, bonuses and others can arise.

  1. Unpredictable consumer-behavior

The expectations, requests, nature and behavior of the guests are drastically more dynamic and unpredictable than in any other industry. These demands can create additional costs to the hotels, which more often than not they simply must accept because it’s very easy to lose a guest to a competitor. Hotels thrive on retaining their customers in the long run. This is possible only if guests are made to feel important, and special.

  1. Sensitive to market changes

Hotels are easily affected by even minor changes in the market. The market itself is very dynamic and is constantly changing. As a result, any change in the economy, politics, natural environment, technology, societal norms, to name a few, can drastically sway the business figures of a large branded hotel.Tackling these challenges head-on is the only way for large branded hotels to remain significant today's in today's highly competitive market!

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