All you Need to Know About the Classification of Hotels

All you Need to Know About the Classification of Hotels

The classification or categorization of Hotels can be done using various methods. Therefore, in this article, we will read in detail about the various types by which a hotel is classified.

Need for Classification of Hotels

The structure of the hotel has grown and come across a long way since the olden times. Originally, it developed with a concept of the Hotels/Inns which provided only the basic needs of shelter with some minimal standard of hygiene and sanitation. But, Modern hotel these days aims at providing a hotel room which is clean, hygiene and has excellent services to offer to the guest who comes for a stay at the hotel. 

Therefore, the classification of the hotel in such cases helps the tourist who is new to the City to select a hotel that suits their requirements and budget. 

The need for these classifications initially started with the rapid growth in the Countries tourism to provide travellers with an idea of the type of accommodation they are offered.

Hotel Classification serves the following purposes:

  • Uniformity is found in services
  • Sets general standards that need to be met by a hotel.
  • Provides an idea regarding the range and type of hotels that are available in a specification location.
  • Measure to categorise the hotels based on the services they offer.

Classification of Hotels

Classification of Hotels based on Star

One Star Hotel

These are small and independently owned, suitable for a family atmosphere. They have a very limited range of facilities. The maintenance, cleanliness and hygiene will be of an acceptable standard

Two-Star Hotel

These hotels offer more facilities than one-star hotels. They provide a comfortable place to stay for travellers.

Three-Star Hotel

High quality of services and range of facilities offered when compared to the previous classifications. These have their public areas more spacious and the restaurant also caters or provides services to its non-resident guests. 

Four-Star Hotel

This level includes a degree of luxury and quality in all the aspects of the hotel like the furnishings, decor, and equipment in every area. Also, the bedroom offers more space than the lower star level categories of room.

Also read, about the multiple departments of a hotel.

Five-Star Hotel

 More spacious and luxurious accommodations are offered and best international standards are matched in the room. Also, the service in these hotels should be formal and flawless when it comes to, giving attention to the needs of the guests visiting the hotel. For instance, Hyatt Regency is a Five-star Hotel.

Classification based on the Size of the Hotel

Small Hotel

 The hotels with less than 100 rooms are considered as small hotels.

Medium Hotel

Medium hotels have 26-100 guest rooms. For instance, Hotel Taj View, Agra is a Medium Hotel.

Large Hotel

 This category of the hotel has 101-300 guest rooms.

Very Large Hotel

 The hotels that have more than 300 hotel guest rooms are known as, very large hotels.

Classification based on Location

Downtown Hotel
  • Located in the centre of the city within a short distance from the main areas like a business centre, shopping areas, theatres, etc.
  • Centre of the city refers to the commercial hub of the city.
  • Room rates are generally higher than the similar kind of hotels located in other areas. This is because the hotel has to cover the huge investment that they made while purchasing the land.
Suburban Hotel
  • Hotels are located on the outskirts.
  • Advantage of quieter surroundings is present here.
  • These hotels are ideal for people who want to stay away from the hustle and bustle of a city.
  • Also, the duration of the guests staying here is longer than the guests staying in the Downtown Hotel.
Resort Hotel
  • Hotels are located in tourist destinations like hill stations.
  • They have a calm and natural ambience.
  • Away from the cities and have a pollution-free environment.
  • Also, the occupancy ratio is higher in these hotels during weekends and vacation times.
Airport Hotel 
  • Situated near the airports or other ports of entry.
  • These hotels are generally used by passengers who need a stopover.
  • Formed by merging two words ‘Motel’ and ‘Hotel’.
  • Located on the highways and provide lodging facilities to the highway travellers.
  • These are the type of lodging properties that float on the water. 
  • This category consists of all lodging properties that are built on top of rafts.
  • For instance, cruise liners and houseboats.

Classification based on Clientele

The hotel caters to the needs of their guest. It is unlikely that all the guest coming for a stay at the hotel will have the same needs and requirement.

Some would prefer luxurious accommodation while, the others would like to stay in a simple and cheap room. Therefore, hotels can be classified into the following categories based on guest requirements.

Residential or Commercial Hotels
  • The needs of business travellers are fulfilled.
  • This hotel provides high standard rooms and amenities and is situated in the city centre.
  • Duration of the guest is generally short in these hotels.
Transient Hotels
  • Caters to the needs of travellers who are on the move and needs a stopover en route their journey.
  • Located near airports, seaport, railway stations, and, is normally used by the transient travellers.
Residential Hotels:
  • These hotels provide accommodation for a longer duration.
  • These hotels, satisfy the needs of people who do not have their accommodation and have temporary work assigned in the city.
  • Also, guests stay in these accommodations for a minimum period of one month extending to a maximum of two years.

The other type of hotel that is classified based on the type of clientele include, suite hotels, Bed and Breakfast hotel, casino hotels, convention hotels, conference centres, etc.


To conclude, the above mentioned are a few important types of classification that are done for hotels. Therefore, the lives of the travellers are made easy with these aspects of classifications.


Anushobikha Satish is the Creator and Admin of this website. If you want your content to be a part of the knowledge hub category of this website you have two options to do that. Message us by selecting the Instagram icon on this webpage or Email us about the same to

Leave a Reply

Your email address will not be published. Required fields are marked *