Hotels and resorts, as the two mainstream types of cultural and tourism projects, are generally misunderstood by people. The main objective of this article is to help entrepreneurs who want to invest in one of these two projects to distinguish the difference between hotel and resort. Reading this article can guide you to choose an investment that is more suitable for you.
What is a Resort?
A resort is not just a place that provides accommodation; it is usually a tourist attraction in itself. Tourists will spend the majority of their journey here. Resorts usually have specific themes, such as hot springs, water parks, rural tourism, beaches, and so on. Resorts are usually located in suburban areas, as they typically require natural landscapes and larger spaces. People go to resorts hoping to escape from the hustle and bustle of the city, temporarily forget about their daily lives, and find a new environment to relax and rest. The interior of the resort usually covers the consumption places that guests may need, so guests can meet the vast majority of their needs without leaving the resort.
What is a Hotel?
A hotel is a place that provides accommodation. Of course, most hotels now offer more features such as fitness, buffet restaurants, cafes, hot springs, and other services. Hotel guests usually leave after resting and head towards their true destination. So when choosing a hotel to stay in, people often consider convenient transportation as an important factor, preferably closer to their destination. The distribution of hotels is very extensive, such as near famous tourist attractions, highway entrances and exits, high-speed railway stations, and so on. The location of hotels is not limited to urban or suburban areas. If people need to engage in other consumption or leisure activities, they usually need to leave the hotel.
Difference Between Hotel and Resort
There are many differences between hotel and resort, and Glitzcamp provides the following analysis and recommendations for entrepreneurs who want to invest in building hotels or resorts.
Target Audience
Target audience is the first difference between resort & hotel. The target audience of hotels is broader and not limited to groups or individuals. Tourists, business travelers, educational research trips, or travel groups all stay in hotels. People who stay in hotels tend to prefer short-term stays. The resort’s target audience is mainly composed of groups such as families, corporate groups, a group of friends, club members, etc. They usually spend an entire weekend or even a whole vacation at the resort.
Business Strategy
In terms of hotel vs resort in business strategy, hotels focus on service. They improve the quality of room service and add more types of services to deepen the impression of guests. For example, they improve the service attitude of room service staff, increase the types of food and beverage delivered to the room, enrich the equipment in the hotel gym, etc. Resorts focus on the overall experience. Some group project facilities can be appropriately added to the resort to meet the needs of group activities, such as badminton courts, golf courses, barbecue areas, etc.
Return Model
Due to the different target groups and business strategies of hotels and resorts, their return models are also different. If you are not investing in a luxury hotel, the operating costs of the hotel are usually not as high as those of a resort. By implementing dynamic pricing and establishing long-term partnerships with tour groups, hotels can increase their occupancy rates, which in turn can quickly boost their revenue. The hotel’s catering and fitness services can also increase revenue for the hotel. But overall, the hotel’s revenue source is relatively single.
The income sources of the resort are relatively diversified, and guests will consume other entertainment and leisure activities in the resort besides accommodation, such as sports projects, restaurant and bar consumption, souvenir purchases, beauty and spa projects, etc. However, correspondingly, the operating costs of the resort will also increase with the enrichment of facilities. For high-end resorts, the potential for higher profits is greater.
Marketing Promotion and Brand Building
The difference of hotel and resort in marketing promotion and brand building is based on the difference in information transmission and goals. Hotels can use convenience, comfort, and economy as selling points, as these are the areas that most hotel guests care about. You can do some promotional activities, set attractive prices within a limited time, or offer monthly discounts to promote the brand. Resorts can be marketed from the perspectives of luxury experiences, natural scenery, and group fun. You can plan a family-based sports event and set an experience price that includes all items within the resort. The more guests participate, the stronger their experience.
Ecological Design Town-Monet Garden Resort Introduction:
Glitzcamp completed the Ecological Design Town-Monet Garden resort project in Guizhou Province, China in October 2021. This is only 500 meters away from Xijiang Qianhu Miao Village, making it an excellent place to experience Miao culture. The project is located in mountainous areas and near rivers, with beautiful natural landscapes, creating boundless water features and sky scenery.
There are 20 acres of tea plantation bases around. The project includes 14 sets of three peak luxury lodge tents, each with an internal usable area of over 100 square meters, which is quite spacious. The tent’s appearance resembles a mountain peak, and the antique path outside it perfectly blends in with the surrounding scenery. The frame is made of Q235 steel, and the outer fabric is made of 1050g/㎡ PVDF tensile membrane and 850/㎡ PVC fabric, making the tent of the project very stable and durable.
Which One Should I Choose?
Now you know the difference between hotel and resort. Whether it is a hotel or a resort, a clear brand positioning and customer value proposition are the keys to winning the market. Entrepreneurs can set long-term goals, deeply cultivate segmented markets, and win customer trust through precise marketing and high-quality services. If you don’t know how to start your project, you can contact Glitzcamp‘s professional team for initial planning.