Limited-service Concepts
There exist significant differences between the services offered by businesses in the restaurant industry. Some of them operate full-service operations while others assume a limited-service approach. Limited-service restaurants include establishments where customers select from a menu, pay before receiving meals, and have the option to dine within the establishments. Some of the examples of limited-service restaurants include cafes, pizza locations, and doughnut shops. These establishments have several advantages and disadvantages.
Hotels incorporate limited-service concepts in their establishments to boost the overall revenue regeneration of the business. There is increased competition among restaurants for clients in the industry. The concept presents hotel owners with the opportunity to serve and satisfy their clients. For instance, establishments that target tourists and business travelers have changed to grow their sales through the service.
Another benefit of the service is hotels get the opportunity to collaborate with other brands to give the customers maximum satisfaction. For instance, hoteliers may consider partnering with popular coffee brands such as Dunkin Donuts and Starbucks, making meals more appealing to the clients. According to Tristano, hotel guests may have an affinity to specific fast casual and fast food brands where they would welcome them as an alternative to room service (2011). Moreover, limited-service hotels present their clients with convenience, which helps to retain and attract new customers.
The concept has several disadvantages to the hoteliers. First, operating and managing limited-service concepts is requires extra commitment from the restaurant. The establishment oversees not only normal business development but also the daily offering of the services. Second, chain restaurants such as McDonald’s specialize in offering quality limited-service meals that provide them strong purchasing power. Hotels may end up paying high prices considering the small volume of purchases.
Finally, hotel establishments have a challenge in hiring and retaining limited-service staff. The businesses operate in a fast-paced environment that focuses on variable hours, customer demands, and less stress on the employees. The limited-service concept may lead to regular turnover for a hotel, making it hard to sustain the products.