The Importance of Location in Luxury Hotel Management

There are many aspects of hotel management. These include location, size, scale, distribution, and on-site properties. It is important to know that a well-managed hotel will provide guests with an enjoyable experience. That is why it is important to consider all of these factors when making decisions about a new hotel.


As the industry continues to evolve, new business models are emerging in luxury hotel management and prices are going up. This is particularly true for the larger hotel groups that are faced with more complex branding challenges. However, the importance of location cannot be denied. It makes a statement about the brand identity, and its position in the market.

The location of a luxury resort plays an important role in its experience. For example, a beachfront property may be attractive to many guests, but it has to be more than that. In addition to offering a beautiful setting, it must also be able to provide guests with high-quality services. Food and beverage operations are especially important for all-inclusive resorts, as these play an essential role in creating the ideal luxury experience.


The size of the luxury hotel management industry has grown in recent years. This has been attributed to the rise of the standard of living. It is also due to the fact that a growing number of people are traveling for leisure. In fact, the number of tourists travelling for fun is expected to grow by about 50% over the next few decades. Also, the introduction of new technologies such as internet of things are helping businesses of all sizes tap into the travel market.

As of 2020, the global luxury hotel market had an estimated value of $197680 million. This represents a CAGR of 10.5% during the ensuing four years. With more and more hotels entering the fray, it will be interesting to see how the industry fares in the future.

On-site properties

Luxury hotel management includes on-site properties such as restaurants, spas, and bars. In addition to these amenities, luxury hotels also take direct bookings on their own websites. Some of the best ways to improve your on-site operations is to engage in a strategic approach that utilizes the available resources at your disposal.

A comprehensive sales and marketing plan will position your on-site property as a premier high-end destination. Smart marketing techniques include creating a branded website to showcase your property, creating a mobile app to allow guests to access services on the go, and designing a memorable experience to improve customer retention and promote brand loyalty. Lastly, you’ll need to create a solid strategy for staffing your on-site staff to ensure your operations are efficient and effective.

Customer-friendly environment

Luxury hotels offer customers more than just accommodations. They are able to provide a memorable experience, which may lead to word-of-mouth advertising. As a result, ensuring that a customer is satisfied with their experience is important to hoteliers.

Research has found that a customer-friendly environment can positively affect a hotel’s customer satisfaction. One of the best ways to achieve this is to engage with your guests. Providing your customers with a sense of belonging increases their level of satisfaction. This is particularly true for travelers, who have become more demanding about the environmental impact of their travel choices.

In addition to providing a more personal service, a hotel can also encourage its customers to participate in co-creating the experience. It can even encourage them to recommend the hotel to their peers.

Scale and distribution

Several studies have conducted research on the factors influencing the scale and distribution of the hotel industry. These studies use a variety of methods including questionnaire survey, interview, and network text analysis. They have also studied the impact of public service, commercial prosperity, distance to scenic spot, and traffic conditions. However, these studies have not fully addressed the spatial distribution characteristics of the hotel industry. This article explores the key spatial characteristics of the hotel industry and provides a theoretical basis for future research.

The scale and distribution of the luxury hotel market are different from those of the budget hotel. Luxury hotels offer over-the-top facilities for upper management executives during business tours. In addition, they have excellent HQD levels.

The market of luxury hotels in Japan and the world increased significantly between 2010 and 2015. Its growth was fueled by an increasing number of tourists. However, the overall spending on hospitality stayed below pre-pandemic levels. A new pandemic, COVID-19, has caused a sharp decline in the number of tourists. Moreover, the number of hotels has declined.