A Brief History of the Hotel Industry

Cyclical History of Early Hotel Industry Roman Empire (30 BC - 400 A.D) Medieval (500 - 1300) Renaissance (1300 - 1600) Dark Ages (400 - 500 )

History of Early Hotel Industry Sumerians (2500 BC) – “Houses of the go far people” Code of Hammurabi (1792 - 1750 BC) Hotel in Olympus for visitors to games (4th century BC) Caravanseri (Persia 200 BC) Caravan “inn” or “Palace” Fortified area that housed animals, goods, and travelers First true commercial “hotel”

History of Early Hotel Industry Roman Empire (265 BC – 400 AD) Religious & Military Travel Market Segmentation: Mansio to Taberna China (250 BC – 100 AD) Post houses/hotels every 10 miles for nearly 300,000 miles Monasteries (400 – 1300 AD) Henry VIII Act of Supremacy (1534) Abolished monasteries; Inn keeping flourishes

History of Early Hotel Industry _______________ (1353) Guild of 235 Inn keepers Travelers met at city gate and escorted to appropriate inn England Ye Olde Fighting Cocks in St. Albans – Oldest Inn (800 AD) London (1384) – Innkeepers were responsible for the behavior of their guests Railway Hotels Built at every major terminal during the 19th century

Cyclical History of Hotels in America Golden Age (1920’s) Motel Age (1950’s) Growth (1960 & 70) Recovery (1990’s) WW I (1910’s) WW II (1940’s) Recession (1980’s) 9-11 Early America (1600 - 1920) Depression (1930’s)

Firsts in America First Inn (1634) - “Coles Ordinary” - Boston, MA First Hotel (1794) - “City Hotel” - New York City The Tremont House (1829) – First luxury class hotel Private rooms with locks on the door ___________________ (1908) – First modern hotel Slogan: “A room and a bath for a dollar and a half” Early taverns were unofficial City Halls The Queens Head – Plotted the Boston Tea Party

Innovators & Leaders Fred Harvey (1876) Harvey House Hotels Ellsworth M. Statler (1908) – Buffalo Statler Hotel Father of American Hotel Industry Conrad Hilton (1919) Banker’s Mentality Kemmons Wilson (1952) Holiday Inns

History of American Hotels 1920’s - Golden Age of Hotels Unprecedented Building and Occupancy 1930’s - Great Depression 85% of hotels in receivership or liquidation 1940’s - World War II No materials for expansion; 93% occupancy

History of American Hotels 1950’s - Growth of Motel Chains Reasons for increased travel after WW II: 1. Pent-up Demand 2. Transportation Improvements Interstate Highway Act of 1956 3. Desire to Travel 4. _______________ 1960’s - Growth of Hotel Chains Hyatt, Howard Johnsons, Marriott

History of American Hotels 1970’s - Growth of Franchising Market Segmentation 1980’s - Prosperity & Recession Product Segmentation & Over Expansion 1990’s - Recovery Expanding Markets & Mergers Sept. 11, 2001 - Major Decrease Recovery began in 2004

Growth of hotel industry Leisure and pleasure concept Discretionary income Family size/household size Business travel

Classification of hotels On the basis of standards: One star: a low budget hotel with limited facilities, offering accommodation and food and characterized by informal standards of service Two stars: an economy market hotel offering moderate services along with accommodation and food Three stars: