Industry Update
Press Release17 July 2014

J.D. Power Reports: Hotel Satisfaction Reaches Record High; Gen Y Guests Are More Critical But Not Necessarily Less Loyal

Four Seasons Hotels and Resorts; Kimpton Hotels; Hilton Garden Inn; Holiday Inn; Drury Hotels; Microtel Inn & Suites by Wyndham; Homewood Suites by Hilton; and Candlewood Suites Each Rank Highest in Guest Satisfaction in Their Respective Segments

share this article
1 min
J.D. Power

Hotel guest satisfaction has reached its highest level since J.D. Power revised its methodology in 2006, according to the J.D. Power 2014 North America Hotel Guest Satisfaction Index StudySM released today.

Advertisements

The study, now in its 18th year, measures overall guest satisfaction across eight hotel segments: luxury; upper upscale; upscale; midscale full service; midscale; economy/budget; upper extended stay; and extended stay. Seven key factors are examined in each segment to determine overall satisfaction: reservation; check-in/check-out; guest room; food and beverage; hotel services; hotel facilities; and cost and fees.

Overall satisfaction in 2014 averages 784 points on a 1000-point scale, up 27 points from 2012, with significant improvement in all segments except upper extended stay and extended stay, where satisfaction remains stable. The midscale segment posts the largest year-over-year improvement, increasing by 10 points to 801, which is the first time satisfaction in the segment has surpassed 800 points.

The study finds that Gen Y guests[1] (Millennials) are more critical of their hotel stay but, despite popular sentiment, not necessarily less loyal. Among Gen Y guests whose stay at the hotel they evaluated was their first experience with the brand, overall satisfaction is 29 points lower than among those who have a previous experience with the brand they evaluated (758 vs. 787, respectively).

"By improving the brand experience for first-time Gen Y guests, there is a substantial opportunity for hotels to gain a pool of satisfied, committed guests who will be loyal for years to come," said Rick Garlick, global travel and hospitality practice lead at J.D. Power. "We also find that satisfaction is more than 300 points lower among Gen Y guests who have a low opinion of staff than among Gen Y guests who have a high opinion of the hotel staff, while that difference is much smaller among those in other generation groups. Hoteliers have the opportunity to improve both satisfaction and loyalty rates by simply focusing on improving their staff interactions with Gen Y guests."

KEY FINDINGS

  • Hotel brands that are perceived as being exciting and trendsetters receive the highest number of positive recommendations, while those perceived as environmentally careless receive the highest number of negative comments.
  • The proportion of Price Buyers—hotel guests who select their hotel brand primarily based on price—has fallen by a significant 7 percentage points from 2013 (19% vs. 12%, respectively). Price Buyers are among the least satisfied of the guest groups.
  • The proportion of Scrutinizers—those who thoroughly research their hotel choices through online travel review sites and other sources—has increased to 10 percent in 2014 from 7 percent last year. Notably, the Scrutinizer group has the largest number of highly committed guests to a hotel brand.
  • Among all the problems experienced by guests, rooms that are not clean has the greatest negative impact on satisfaction (213 points).
  • Challenges with Internet connectivity remain twice as prevalent as any other guest problem. The negative impact of these problems is relatively consistent regardless of whether Internet access is complimentary or guests have to pay an additional fee for it.

Hotel Segment Rankings

The following hotel brands rank highest in guest satisfaction in their respective segments:

  • Luxury: Four Seasons Hotels and Resorts
  • Upper Upscale: Kimpton Hotels (for a second consecutive year)
  • Upscale: Hilton Garden Inn
  • Midscale Full Service: Holiday Inn (for a fourth consecutive year)
  • Midscale: Drury Hotels (for a ninth consecutive year)
  • Economy/Budget: Microtel Inn & Suites by Wyndham (for a second consecutive year)
  • Upper Extended Stay: Homewood Suites by Hilton (for a second consecutive year)
  • Extended Stay: Candlewood Suites
Source

View source

Related Brands

Hilton Garden Inn

The award-winning Hilton Garden Inn brand provides business and leisure guests upscale, affordable accommodations and unexpected amenities for an experience that is ‘Simply on Another Level.’ The Hilton Garden Inn Promise affirms the brand’s goal to make each guest’s stay better and brighter.
brand information

Homewood Suites

Homewood Suites by Hilton, Hilton’s upscale, all-suite, extended-stay hotel brand with more than 490 locations in the United States, Mexico, and Canada, is an award-winning leader. The first choice for guests seeking comfortable accommodations when traveling for extended or quick overnight stays, Homewood Suites offers inviting, generous suites featuring separate living and sleeping areas, and fully-equipped kitchens with full-size refrigerators.
brand information

Holiday Inn

With over 1,200 hotels worldwide, the Holiday Inn® brand is the most widely recognized lodging brand in the world. In fact, the Holiday Inn brand was one of the first international hotel brands to establish a presence in China in 1984.
brand information

Candlewood Suites

Candlewood Suites® hotels provide a relaxed, casual and home-like experience for extended stay travelers. The brand has more than 421 properties located throughout North America with an additional 77 in the pipeline.
brand information

Microtel

Microtel by Wyndham is an award-winning chain of more than 340 economy hotels located throughout North America, the Philippines and China. Consistently over-delivering on both guest and owner expectations, Microtel is the only all new-construction hotel in the economy segment.
brand information

Four Seasons

Four Seasons is dedicated to perfecting the travel experience through continual innovation and the highest standards of hospitality. From elegant surroundings of the finest quality, to caring, highly personalized 24-hour service, Four Seasons embodies a true home away from home for those who know and appreciate the best.
brand information

Kimpton

San Francisco-based Kimpton Hotels & Restaurants is a leading collection of boutique hotels and restaurants and the acknowledged industry pioneer that first introduced the boutique hotel concept to the United States.
brand information

Drury Hotels

Drury Hotels Company is a Missouri-based, family-owned and operated hotel system with more than 130 hotels in 21 states. Founded in 1973, brands include Drury Inn & Suites®, Drury Inn®, Drury Plaza Hotel®, Drury Suites®, Pear Tree Inn by Drury®, as well as other hotels in the mid-priced hotel segment.
brand information
Related News

Hilton Garden Inn and Homewood Suites by Hilton Awarded Highest Ranking by J.D. Power

28 July 2014 — Hilton Worldwide today announced that two of its brands, Hilton Garden Inn and Homewood Suites by Hilton, received the highest ranking in the 18th annual J.D. Power 2014 North America Hotel Guest Satisfaction Index StudySM in the upscale and upper extended stay segments, respectively.
Read more

About J.D. Power

J.D. Power is a global leader in consumer insights, advisory services and data and analytics. These capabilities enable J.D. Power to help its clients drive customer satisfaction, growth and profitability. Established in 1968, J.D. Power has offices serving North America, Asia Pacific and Europe.

Latest News
Advertisements