Fairmont Raffles - Competitors

Fairmont Raffles Competition

Now Viewing Fairmont Raffles's competition in: Hotel and Motel - Lodging

Recent Developments

Sheraton Rolling Out Microsoft Application - Though nothing can replace one-on-one customer service, new software from Microsoft aims to enhance customer stays at hotels. The enhancement is in the form of a new version of Microsoft's Surface technology, and it's making its debut at select Sheraton hotels. Surface, which consists of a large monitor and interactive features, allows hotel guests instant access to local information, including restaurants, clubs, and other forms of entertainment.

Environmental Change Causing Stress - With hotels and motels across North America continually adopting environmentally friendly improvements, such as asking customers to use towels more than once, some hotels are struggling with where to draw the line. Luxury hotel operators note that some customers don't want environmentally friendly technologies because they say that it reduces the luxury of the room. However, other customers will pay higher rates where environmental technologies are a major emphasis, thus making the adoption of environmental practices different for each hotel.

Economy Impacting Travel, Hotels - The economic downturn in the US is impacting all forms of travel, according to industry experts, with airline statistics leading indicators for hotel and motel woes. Airline travel is predicted to fall 7 percent in September 2008 compared to September 2007, with further decreases expected, according to USA Today. In response, many hotels and motels have begun programs to offer guests lower rates or perks to keep occupancy numbers up.

Competitive Landscape

Business and tourist travel drive demand and are closely linked to the health of the economy. The profitability of individual companies depends on efficient operations, because many costs are fixed, and on effective marketing. Large companies have advantages in economies of scale in operations, can more easily raise capital, and have strong name recognition. Small companies can compete effectively in favorable locations and by providing specialty services. A hotel business requires large amounts of capital, but operations are labor-intensive: average annual revenue per employee is less than $65,000.

Full Industry Overview For Hotel and Motel - Lodging

Hotel and Motel - Lodging Industry Forecast

from Hoover's/D&B subsidiary First Research

The output of US hotels, rooming houses, camps, and other lodging is forecast to grow at an annual compounded rate of 4.4 percent between 2008 and 2013.

Hotel, Lodging Services Growth Flat

First Research forecasts are based on INFORUM forecasts that are licensed from the Interindustry Economic Research Fund, Inc. (IERF) in College Park, MD. INFORUM's "interindustry-macro" approach to modeling the economy captures the links between industries and the aggregate economy.