J.D. Power: European Hotel Satisfaction Rises

Satisfaction scores for all tiers of European hotels reached a five-year high in the 2009 version of J.D. Power and Associates' European Hotel Guest Satisfaction report, released late last week.

The annual study surveyed more than 13,000 guests who stayed at a hotel in Europe between May 2009 and September 2009. The survey covered 42 hotel brands on seven measures, such as costs and fees, guest room and hotel facilities.

"Despite lower occupancy rates and discounting and pricing, what we're finding is that the guest experience is improving and quite substantially," said Michael Drago, director of the global hospitality and travel practice at J.D. Power and Associates. "We're seeing a perceived increase in value among consumers which is helping to drive up loyalty."

Additionally, overall hotel guest satisfaction rose at least 16 points, based on a 1,000-point scale, across all of J.D. Power's hotel segments—upper upscale, upscale, midscale full service and economy. The greatest gains were seen in the upscale (up 25 points) and the upper upscale (up 24 points) segments. Top brands in the upscale tier included Movenpick Hotels & Resorts (up 38 points), Crowne Plaza Hotels & Resorts (up 24 points) and Hotel Novotel (up 27 points); while Steigenberger Hotels and Resorts (up 20 points), Radisson BLU Hotels & Resorts (up 36 points) and Maritim Hotels (up 27 points) were listed among the top upper upscale brands.

Park Inn (up 73 points) took the top spot in the mid-scale segment, rising up from 16th place in 2008, with outstanding performance in reservations, food and beverage, and costs and fees. Dorint Hotels & Resorts and Clarion followed, gaining 15 and 17 points respectively. Premier Inn (up 18 points) saw its second year as the top economy brand hotel, with Travelodge (up 26 points) and Etap Hotel (up 15 points) ranking at No. 2 and No. 3.

When it came to making a hotel selection, guests cited convenience/location (48 percent) and price (41 percent) as the most influential factors overall. However, hotel reputation (44 percent) held more sway in the upper upscale sector, and price (68 percent) was most important in the economy sector.

It's important, however, for hoteliers to remember that while these factors and other must-have amenities—such as air conditioning and a complimentary breakfast—drive business in the door, only a universally solid product can drive loyalty, said Drago. "A great deal of the differentiation comes in staff service—the consumer contact moments where hopefully we're having a rewarding experience and the building of a relationship as opposed to something that's nondescript and forgettable."

Hoteliers had best continue to focus on the customer experience, said Hospitality Sales & Marketing Association International president and CEO Robert Gilbert, as guests' expectations will continue to rise.

"With the supply growth that's still in the pipeline globally, there's an awful lot of new supply still under construction," said Gilbert. "Supply has not slowed down in spite of the economy because many of these projects that were under construction have to be finished out."