Select Service Hotels – Hybrid segment of the Hotel Industry

You might have heard about Limited Service Hotels and Full-service hotels. Select Service Hotels encompass everything in between. In this post, we have covered the definition and interesting details about the select service hotels.

For long, the hotel industry has boasted two classes that offer unique advantages for both owners and guests: Full-service and limited-service hotels.

But, now you can reap the benefits of both thanks to the emergence of select-service hospitality organisations across the globe. As you might expect, this hotel class is a hybrid of limited-service and full-service hotels.

 

 

One of our earlier posts has covered Limited Service Hotels in details for cost-conscious and budget-friendly travel.

In this post, we have covered the select Service properties of the hotel industry briefly. This is an interesting segment which has gained popularity in the past couple of decades.

People look for good service, safety and choice in their hotel rooms; and the select-service segment gives exactly that to customers.



You can select a room that exactly suits your needs.

 

What’s a Select-Service Hotel?

 

The Hotel industry is expanding with a new fleet of Affordable hotels around the world in the Select service category.

Over the course of two decades or so, the grey area between full-service and limited-service hotel establishments has given rise to this select-service segment.

 

Image Courtesy- Spark sheet 

 

Initially, the select-service sector encompassed hotels that had no banquet facilities or restaurants but it has evolved ever since to become somewhat unrecognizable.

From its name, you can infer that the hotels which fall under the select-service segment provide fundamentals characteristic of limited-service properties alongside a selection of the amenities, facilities, and services typical of full-service hotels.

In essence, it means that these hotels usually offer banquet facilities and restaurants but on a budget scale.

Select Service Hotels still care more for the budget conscious travellers but going an extra mile to outclass the limited service hotels.

For the most part, the select-service category of hotels borrows a leaf more from limited-service sector than the full-service segment.

An incisive look at the industry itself shows that select-service hotels come in a huge variety, with particular offerings varying from one property to another.

 

What are the Features of Select-Service Hotels?

 

Select Service category is probably the biggest segment of the Hotel industry in current times. Even the Largest Hotel Chains are venturing big time into the select-service sector.

While there are a lot of features that make select service hotels attractive for travellers and hoteliers alike, three of them are worth mentioning here.

 

1. Affordable Comfort

By bringing the two worlds of limited-service and full-service segments together, the select service hotels have been able to keep running costs favourably low by providing services, facilities, and amenities in moderation.

That means they can make their services and hotel room rates quite affordable for the budget traveller looking for decent comfort.

 

2. Familiar In-room Amenities

Select-service properties aren’t just affordable; they also boast in-room amenities that are close or match up to the levels in full-service properties.

Since the industry is rife with cut-throat competition, the select-service sector has consistently improved its facilities to offer amenities that rival those found at full-service hotels while maintaining their hotel room rates low.

 

3. Closing the Service Gap

The phrase “select-service” may be somewhat new, but the concept has been around in the hotel industry.

It’s only now that demarcation has become a little clear.

Nonetheless, these hotels provided a few services are closing the service and amenity gap between them and full-service hotels rapidly, and the line between the two has been blurring every year.

 

Examples of Select-Service Hotels

 

Traditionally, select-service has been associated with quintessential hotels like Hyatt Place, Hilton Garden Inn, and Marriott’s Courtyard, but the segment also includes particular hotels from primarily limited-service chains like Days Inn, Clarion, and Best Western.

The latter is known to feature in-building restaurants and more vibrant in-room amenities.

Big chains like Marriott is investing big in the Select-service segment of the hotel industry. Other global chains are not falling far behind either.

 

Source- File image by Marriott International Inc source .

 

More and more standalone properties and in-country chains are venturing into the select service segment of the hotel industry.

With the rise in apartment sharing websites like Airbnb and homestays, Select service segment of hotels gives the Hotel industry an area to expand and innovate for the good of travellers.

 

Business and Profitability

Select-Service Hotels are in high demand in the current era. Need for innovation, speed, select-service and affordability have increased the setup cost of Full-service hotels.

The select service segment is thus less risky for the hotel industry with a good margin of profitability. 



While there may not be a lot of difference in the profitability of Full-service and Select service type of hotels in the USA but the low risk and setup cost gives latter a clear edge over the former.

 

 

Image Courtesy- Hospitalitynet 

 

This hotel segment which has become more popular over the past couple of decades is set to gain further momentum in the coming years.

The scope is even better in the developing country with a more cost-conscious crowd and with a fickle travel trend. If the trend continues the hotel industry is set to see more of these type of hotels. Tourists are looking for personalised services and with more and more automation these hybrid segment of hotels will do justice to the ever-increasing choices of the customers.

Things look bright for this hybrid segment with more and more hotel chains investing big in it. The hotel industry of the USA seems to be a front runner as far as experimenting with the types of a hotel is concerned to cater to multiple segments.

The trend seems to be following in a lot of developing nations as well that are witnessing maximum growth in the hospitality and travel industry.

All in all, the future seems to be bright for the hotel industry and the tourists who are looking for a memorable experience every time they stay in a hotel.