Classification of hotels
The Ministry of Tourism has formulated a voluntary scheme for classification of operational hotels into different categories, to provide contemporary standards of facilities and services at hotels. Based on the approval from the Ministry of Tourism, hotels in India can divided into two categories:
1) DoT (Department of Tourism) classified hotels 2) DoT (Department of Tourism) unclassified hotels
Classified hotels
Hotels are classified based on the number of facilities and services provided by them. Hotels classified under the Ministry of Tourism enjoy different kinds of benefits such as tax incentives, interest subsidies, and import benefits. Due to lengthy and complex processes for such classification, a significant portion of the hotels in India still remain unclassified. The Ministry of Tourism classifies hotels as follows:
- Star category hotels
- Heritage hotels
- Licensed units
Star category hotels
Within this category, hotels are classified as five-star deluxe, five-star, four-star, three-star, two-star and one-star.
Heritage hotels
These hotels operate from forts, palaces, castles, jungles, river lodges and heritage buildings. The categories within heritage classification include heritage grand, heritage classic and heritage basic.
Licensed units
Hotels/establishments, which have acquired approval/license from the Ministry of Tourism to provide boarding and lodging facilities and are not classified as heritage or star hotels, fall in this category. These include government-approved service apartments, timesharing resorts, and bed and breakfast establishments.
Unclassified Hotels
Branded players
This segment mainly represents the branded budget hotels in the country, which bridge the gap between expensive luxury hotels and inexpensive lodges across the country. Budget hotels are reasonably priced and offer limited luxury and decent services. Increased demand and healthy occupancy have fuelled growth of budget hotels. These hotels use various cost control measures to maintain lower average room rates without compromising on service quality. Ginger Hotels, ITC Fortune, Hometel, and Ibis are some of the popular budget hotels.
Other smaller players
These are small hotels, motels and lodges that are spread across the country. This segment is highly unorganised and low prices are their unique selling point.
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| Team Samrat Singh | +91-8087788822 |
| teamsamratsingh@gmail.com |
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