Over the past 20 years, many facets of the hotel industry have change to adapt to new technology, design and space to provide service quality to customer satisfaction, while service quality and satisfaction are important throughout the hotel industry, they are nowhere more important than in luxury properties, where guest expect high quality, showed that consumers associate luxury with words such as upscale, quality and class.
Given that the twenty-first century is an era of globalisation, luxury and luxury goods now travel through all cultures, luxuries play a predominantly social symbolic role, minimising their private meanings and hedonic value.
Given that the twenty-first century is an era of globalisation, luxury and luxury goods now travel through all cultures, luxuries play a predominantly social symbolic role, minimising their private meanings and hedonic value.
When it comes to luxury, service quality and satisfaction, positive customer experiences are vitally important, because a positive experience will cause the customer to wish to return or stay longer and to recommend the establishment to others, as a result, hotel operators must concentrate on the quality of every detail of they hotel interiors and services, the customers’ emotional judgments about their hotel stays become the basis for the companies’ efforts to differentiate themselves from competitors and achieve competitive advantages.
The value attached to luxury is crucial in any hotel in this days, which increases hotel budget on its construction or renovation, good news for costumers and they expectation on higher quality wen they visit or stay in hotels, however, those changes have also had an impact on the bottom line for the manufactures and suppliers on how much the budget hotels should have for the high quality Furniture, Fixtures & Equipment.
The value attached to luxury is crucial in any hotel in this days, which increases hotel budget on its construction or renovation, good news for costumers and they expectation on higher quality wen they visit or stay in hotels, however, those changes have also had an impact on the bottom line for the manufactures and suppliers on how much the budget hotels should have for the high quality Furniture, Fixtures & Equipment.
All hotel projects have a budget. From construction to final Installation and inspection every dollar is to be accounted for.
When calculating hotel costs these variables will play a major role:
When calculating hotel costs these variables will play a major role:
- Where it sits on the sliding luxury scale
- Size/scope
- Location, location, location
- Innovation and sustainability
To get a rough idea of the total cost of a hotel project of any scale, simply include these factors:
- Land
- Hard costs
- Soft costs
- Working capital, pre-opening, and supplies
- Furniture, Fixtures, & Equipment (FF&E)
- Development fees
The average hotel per-room cost is more or less $115,000, with FF&E, including hotel furniture, being a key component.
The average FF&E costs per hotel room (by scale) could be:
The average FF&E costs per hotel room (by scale) could be:
- $10,000 (or 9%) of the total cost per midscale room
- $16,000 (or 12%) per upper midscale
- $20,000 (or 11%) per upscale
- $32,000 (or 9%) per upper upscale
- $101,000 (or 8%) per luxury room
The maximum FF&E portion per upper midscale room was $30,000, while the minimum for an upper upscale room was $10,000. In most cases, you should expect quality custom hotel furniture to cost about 30% of the FF&E total.
So expect furniture costs to be:
So expect furniture costs to be:
- $3-4,000 (or 3%) of the total cost per midscale room
- $5-6,000 (or 4%) per upper midscale
- $6-7,000 (or 4%) per upscale
- $10-11,000 (or 3.6%) per upper upscale
- $30-40,000 (or 2.4%) per luxury room
Consider quality and cost when it comes time to start issuing Purchase Orders to vendors. Some hotels will elect for their hotel furniture to be made overseas versus domestically as a cost-savings technique, this happen in Europe, United States and Middle East, were the cost of production is high, never mind furniture with brand name because will triple or quadruple the hotel budgets.
In most cases, they will “see” an up-front savings with the overseas option. They should also expect and plan for the furniture’s life cycle to be much shorter. That means, likely within 5 years or less, they’ll be placing another order to replace items that have not withstood the test of time, especially in the high-traffic hospitality environment.
In most cases, they will “see” an up-front savings with the overseas option. They should also expect and plan for the furniture’s life cycle to be much shorter. That means, likely within 5 years or less, they’ll be placing another order to replace items that have not withstood the test of time, especially in the high-traffic hospitality environment.
The other option is to go with an higher budget, while spending a little more up front, hoteliers can be assured of the following quality benefits:
What’s more, long-lasting quality means your product should remain in great condition beyond the average 8-year hotel-renovation cycle, that’s a definite win for hotels, cheap comes with a cost, some times will cost double with initial spending a little more up front from the start.
- Shorter lead times
- Responsive communication
- Quicker access to replacement parts
- Reduced risk of defects
- Greater protection against counterfeits
- Safer materials & products
- Reliable manufacture
- Assurance on specification and engineering
- Quality
What’s more, long-lasting quality means your product should remain in great condition beyond the average 8-year hotel-renovation cycle, that’s a definite win for hotels, cheap comes with a cost, some times will cost double with initial spending a little more up front from the start.
If you are planning to invest in a new hotel or refurbish your hotel, this article may be able to help you.
In addition, if you are looking for a hotel furniture supplier for your hotel project, Bestar Hospitality will be your good choice,which is a top 20 hospitality furniture manufacturer in China offering a complete range of custom hotel furniture FF&E solutions,including casegoods,seating etc.
In addition, if you are looking for a hotel furniture supplier for your hotel project, Bestar Hospitality will be your good choice,which is a top 20 hospitality furniture manufacturer in China offering a complete range of custom hotel furniture FF&E solutions,including casegoods,seating etc.