Demographic issues in the hospitality industry

Demographic issues in the hospitality industry

There are many issues in the hospitality industry such as long working hours, and health and safety. Demographics is a broad segment in the industry that also has issues which are causing an impact in the industry. Demographics means ' the structure and profile of the population along with the concept of disposable income' (Jones, 2002:32). Powers and Barrows (2006: 34) further define demographics as 'measurable characteristics of the population in terms of age'.

One protruding issue that is impacting the industry involves the younger and older population in the work force. The older population is retiring earlier and the younger population has become more successful at early ages.

The aging generation are more active and have more disposable income. This is leading the generation in to retirement leaving a void in the workforce. The aging population is also causing a challenge in the accommodation sector as they have a demand for more comfortable and full- serviced rooms (Jones, 2002:34). This population tends not to be as responsive to price and monetary appeals as compared to the younger population. The younger population puts a strain on the industry as they have a higher demand for greater service quality and are brand and price conscious ( Jones, 2002:33).

Jones (2002:33) has realized the changing trend of the older generation moving into early retirement and the younger generation are becoming more successful at early ages. Fewer graduates want to work for organizations in the industry due to reasons such as low wages and long hours. This increases the void the older generation has created and leads to fewer young and fresh qualified possible employees (Classof1, 2002). As many graduate students prefer to work in other industries or become entrepreneurs this has lead employers to settle for cheaper unskilled labour.

Conclusion

Demographics is of paramount importance as it deals with people and that is what the hospitality industry is about. Without the people there is no service to offer and there is no recipients of the service. That is why it is important for organizations to make their employees feel secure with their jobs, keep track of trends and be flexible enough to accommodate the trends. Marketers are also advised to find other value- added goods and services that target the older retired generation.

Reference

Classof1. (2002) Issues and problems concerning hospitality industry. [Online]. Available at: http://www.classof1.com (Accessed: 9 March 2014).

Jones, P. (2002) Introduction to hospitality operations. 2^nd edn. Hampshire: South- Western Cengage Learning.  

Powers, T. & Barrows, C.W. (2006) Introduction to management in the hospitality industry. 8^th edn. Canada: John Wiley &Sons Inc.