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Hospitality can be defined as the relationship between a guest and the hoteliers. It is diverse due to innovation, ownership, operation classification, level of service, future trends etc. In Europe, there are many hotels and restaurant which provides standard services to the service user (Radojevic, Stanisic and Stanic, 2015). The hotel now focuses on internet, gymnasium, swimming pool, sauna bath, night clubs, hair and beauty salons, car parking etc. Present report is based upon hospitality industry of UK which is facing issues related to current changes in laws and regulations. It is affecting hotel sector to a great extent and accordingly detail overview has been provided. Furthermore, this file explains the recent trends which have been occurred in the economic market. Further, it also emphasizes on problems that are faced by the hospitality industry due to increment in the wage rates (Gummesson, 2014).1. Identify two of the most recent developments that have occurred or are likely to occur anytime soon in the future.There are many facilities which are included in the accommodation like internet, swimming pool, sauna bath, night clubs, hair and beauty which attract guest.
It is the new aspect which has made mark in UK in 2015 with introduction of new service such as Urban Villa. London is attracting a number of investors by using serviced flat. It is fully furnished available for the short term and long term stay of family or business person. They provide Wi-Fi, restaurant, swimming pools, Golf course, health club, media room which lures the customers to stay in Hotel (Law, Buhalis, and Cobanoglu, 2014).
Hospitality industry provides E-Booking facility to book and get the tickets quickly and easily. Clients can book the tickets by using mobile application or online portal which will make it possible to book tickets anytime as per the suitability of customers. (Lub and et.al., 2012).
From the above mentioned trends, by making bookings through website reservations is contributing in flourishing its business. Due to invention of new technology, the life of customers has become easier. The term globalisation has also created impact on the hospitality industry. The hoteliers are thinking to expand their business and establish current trends in Hotel for attracting the customer and enhancing the image of the hotel worldwide.
In new era, the hospital industry has adopted various new trends to increase competition in the market. They accept various tremendous changes in accommodation service such as Wi-Fi, Hair and beauty, swimming pool in room etc. The customers have started spending in leisure travel and holidays (Andreeva, 2012). They have made contract with different airline industry which provides budgeted airlines to the customer. Moreover, the budgeted hotel came into existence which provides facilities like package for family at the cheaper rate. So, service user started spending more money in the hotel or restaurant which increased the flexibility in business operation. By using updated technology such as internet, Wi-Fi, M-application where the customers can book the hotel rooms and makes changes in booking if possible. The contribution of technology has strengthened and contributed in the growth in hospitality sector. The customer can find the information about Hotels and can choose as per the convenience or affordable
The Hoteliers can simplify the booking process from greeting customers, providing information, check in or out, till they leave the premises. The hoteliers emerge to provide quick service in restaurant and contract with caterers who provide the affordable service on table (Endter, 2011). The hospitality also uses applications that would help to reach the customers on one click. This application tracks the customer and provides information about the events and facilities which are conducted by hospitality association. Due to increasing use of technology, the hoteliers can track time, name and number of customers who visits frequently advertise on Facebook page. Other than this, the CRM system can send the information through mails to the customer, which builds the brand image to the existing customer. The CRM system works on digital platforms and database that the hotel can get more clients. By using centralised system, the hotel gets advantage of flexibility in the workplace which reduces the cost of product or service (Williams, 2012).
Minimum wage rate is a national economic policy which is responsible for the hospitality industry services. The managers of hotel have to pay employee minimum wages as per the guidelines of UK government (Gursoy and et.al., 2014). The federal sets standards to the minimum wages to the workforce that changes might affect the employment terms and condition. These factors are as follows:
Increment in wage rate can create negative effect on employee. Minimum wages rate usually create lower wealth in hospitality and for other individuals in the business market. By increasing the tax liability, it can affect the wealth of employee and can reduce the income level. This can decrease the motivation and satisfaction level in the workplace (Issues, challenges and trends that hospitality industry is facing, 2016).
The high price of labour is directly impacted to the premises in market. In case of economic booms, the price of labour goes up as the skilled or experienced person requires high wage to work. The result is that the skilled and experienced individuals are attracted to the other industry where they are paid more. In hospitality, skilled and experienced employees are paid less.
The minimum wage rise will uplift unskilled or inexperienced workers out of poverty. However, 2003 study stated that 15% of minimum wages earners would be directly impacted by the increase in the minimum wages. Example: Texas in 2010, minimum wage's employee earns $510 over the national poverty level. The hospitality is unable to pay higher wages which are enforced to reduce the employee numbers or supply high cost product to the customers (Wolfe, Phillips and Asperin, 2014).
UK regulates labour laws which build strong relation between workers, employs and trade union. Individuals in UK hospitality industry get benefits by using various Acts, regulations in hospitality sector. These laws are described below:
This act makes provision for the employee who get minimum wages as per skill or experience. This act created responsibility to the hospitality sector on National Living Wage for workers, which has implemented at higher minimum wage rate of £7.20 (Chang, 2013).
This act regulates and governs the time that the employee may work in UK hospitality industry. This regulation applies on all workers and specifies the minimum rest time, daily and weekly rest (Inversini and Masiero, 2014).
It includes overall wellbeing of health centre at hotel that individual is experienced in holiday becomes more desirable to the service user. The hospitality association are rebrand in order to increase the wellness, recognition of the business procedure and focusing on fitness by facilitating gymnasium or other fitness equipment.
The hospitality industry also focuses on trip advisory which provide advice for trip and share the videos on special portal tripadvisory.com to their guest. In this, the advisory person shares the pictures of hotel and reviews that make impression on the service user to that hotel. This give new sight to the visitors and it also facilitates the reservations service for customers in advance at hotel. This also provide effective system to hotel industry that provides hotel chains so the service users can visit the uploaded fresh image of hotel and answer to the online customers (Endter, 2011).
Development of new trends improves service and helps in understanding the customer's expectation in hospitality. The hotel industry setup the system that helps in growing the economies in many countries that increase quality of service. Hotel industry also implements quality based foundation which focuses on the new trends which adopts the hospitality to enhance quality in products. This new trends have quite significant impact on hotel as they provide knowledge and enhance the skills to their workforce. By accepting changes, the hotel can make transparency into the service or product which is delivered to customers. Hospitality association seeks to progress after accepting changes which can help in creating competitive advantage in the market. Moreover, this will provide a brief description of different practice and procedure which a hotel can use to predict the expectation of customers. With this, the hospitality industry increases the interest of investors to invest in the hotel industry.
As per the mentioned case, most of restaurant and hotel have viewed current trends which are helpful to increase customer volume and revenue. This can only be done when hotel has sufficient amount of money to implement the changes or adopt new technology at workplace. The customers are more satisfied if hotel covers all legislation which is required for the product or services. By using government laws, the hospitality also address the issues faced by the operational or managerial functions of the hotel. The business predicts the future trends which is beneficial for the hotel to compete in the Europe market.
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