Authors: Ourania-Panagiota Rompora, Alexandra Alexandropoulou, Eleni Didaskalou

Title: Hotel Classification Systems and Service Quality Improvement: A Case from Greece

Abstract

Worldwide, the hotel industry is characterized by a variety of quality classification systems incorporating different criteria. Europe, Australia and the US, employ, for example different grading symbols (stars, diamonds) while the number of criteria that are being graded also varies significantly.  These systems are often driven by the special (cultural, environmental, economic) and spatial (urban, inland, beach, etc) context each one is established in. Nonetheless, any classification system can be a powerful marketing tool for accommodation businesses seeking to promote the quality services they offer and penetrate further in their market.

In Greece, hotels are rated in an obligatory system of five (5) star categories with 5* being that of the highest standards and 1* that of the lowest-basic requirements. This classification is subject to conformity with the specifications of the 216/2015 Ministerial Decision which aims at establishing an organized and objective hierarchical validation system in order to address the competition rules in tourism in a global market.

The purpose of this research was to study the process of classifying hotels as a tool to improve the quality of services offered in accordance with the new legislation. The study focused on the set of non obligatory criteria in order to showcase any relation between the new system and the and the upgrade of the hotel services. The survey was conducted in the city of Ioannina, Greece in a sample of 52 hotels using the quantitative method with a questionnaire.

Through the survey, it was concluded that the new legislation was positively received by the hotel owners / managers – respondents as it was perceived as a tool for improving the quality of their establishment. The majority of the hotels of the sample has already adhered to the new star rating system, while they have acquired a classification certificate according to the new legislation. Most of the hotels already possess several of the specifications mentioned in the new system, or they are in the process of acquiring them. In this context they have undertaken/consider investing in upgrading some of their services and especially those related to people with disabilities. However, findings have also shown that there was a lack of certification from most hotels. Overall, it has been established that the new star rating legislation has led to the addition of new quality services and to the improvement of the quality of existing services and may lead to attracting new customers by offering/creating a competitive advantage for the hotels of the study.