Lodging

Lodging
Brief Excerpt from Industry Overview Chapter:

Companies in this industry operate hotels, motels, resorts, casino hotels, and bed and breakfast inns, along with RV parks, recreational camps, and rooming and boarding houses. Major companies include Hilton, Las Vegas Sands, Marriott International, and MGM Resorts (all based in the US), as well as Accor (France), IHG Hotels & Resorts (UK), and SJM Holdings (Hong Kong).

COMPETITIVE LANDSCAPE

Business and leisure travel drive demand. Strength of the economy affects these factors. The profitability of individual companies depends on efficient operations and 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 by offering personalized service and a unique customer experience. The US industry is fragmented: the 50 largest companies account for about 40% of revenue.

PRODUCTS, OPERATIONS & TECHNOLOGY

Major revenue sources for the industry include room or unit accommodation, which account for about 70%, followed by gambling machine products (about 15%), and meals, snacks, other food items, and beverages (more than 10%). Other products and services include table wagering games and alcoholic beverages. Bed and breakfast inns (B&Bs) primarily offer guest rooms, typically in a converted private home, with breakfast services in a common dining area.