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The millennial effect: Is the definition of luxury in hospitality changing?

Dubai - Luxury has become a word that is overused and applicable to almost everything

Luxury is a concept that can hardly be confined to a few attributes and whether it was the Georgians, the French or even the flash of the opulence of the 1970s, they all seem to swear by it. In recent times, however, it has become a word that is overused and applicable to almost everything.
With our societies becoming more democratic and the distinction between the classes no more an uncrossable gulf, its exclusivity too seems to have waned. This acquires greater importance in the hotel industry that is actually defined as midscale, upscale amd luxury. But the hotels are not restricted by the stars it receives and is actually providing services that are of a higher standard.
 
Luxury in the time of the millennials
This begs the question, what is a luxury? The road to a definite answer gets even difficult if you consider the expectations of the modern, millennial traveller. These urban, digital nomads have no patience for services that do not complement their busy and fast-paced lifestyle. They prefer an efficient use of technology to make their experience seamless over traditional, physical markers of luxury.
The current generation chooses a hotel not because of its repute but the connection they feel with the brand. Similarly, they are looking for experiences tailor-made for them and will rate experience over expense. While physical attributes may have been enough distinction in the past, the market today rates the service, the hospitality, the comfort that the establishment provides. The traveller today prefers personalisation and comfort over opulence. To truly cater to the present market, hoteliers will have to study their target segment's habits and be in a position to cater to the requests as they arise. The wow factor for the incoming guests are no longer physical fixtures, but the overall experience.
 
The shift in parameters
The present group of travellers are smart, well informed and are not likely to fall for gimmicks. Their criterias for choosing a hotel are not bathroom fixtures, the number of dining options available or even the view from the room.
They want bespoke experiences, service and most importantly, their interaction with the hotel. They want Wi-Fi that is fast and a service that does not interfere. They want to be able to book and manage while on the move and are looking for a hotel that keeps up with the changing times. These are the parameters of luxury for them and the industry will have to adapt to the changing requirements.
 
Star certifications can't define luxury
To this end, many three-star hotels are really adapting to the challenge and offering a host of services that are traditionally the forte of the higher-ranked hotels. They offer a variety of cuisines at the premise, have aesthetically-designed rooms with fantastic views and have competent staff.
The greatest factor, perhaps, is their use of technology to really bridge the gap between a three-star and four-star. Online booking, app-based stay management and customer data-base management are just a few of things that are creating great experiences for its guests. We must appreciate that luxury is primarily perceptual and by customising the services to suit the modern traveller, the brands are able to project luxury.
 
A class apart? I don't think so
In the past, luxury also meant being a 'class apart', which was another way of saying that they wished to be considered in isolation. The same does not hold true for brands anymore as the present-day guest is very much a part of the community and does not want to be seen as separate from its peers. It has become common for luxury brands to partner with younger brands to remain in vogue.
The upscale brands have realised that when it comes to hospitality, the market will stay clear of conspicuous consumption and would rather opt for a brand that provides a holistic experience. Veblen goods or 'snob' goods are no longer the yardsticks for opulence and the hotel industry is no exception to that trend.
The millennial generation is an informed group of savvy travellers that will need more than just glamorous physical attributes to capture their attention. With the advent of social media, their certification of luxury often matters more than any official rating. With the focus shifting to services and midscale hotels doing just as well and in some cases, even better than their upscale counterparts, we see that the definition has definitely undergone a massive change.
The reason for the change is not rooted only in the economy with many citing income distributions as the main cause. It finds its origins in the changing tastes and preferences of the new class of travellers. If the current trend is any indication, luxury will become a dynamic concept that will need revision with the times.
The writer is founder of Leva Hotels & Resorts. Views expressed are his own and do not reflect the newspaper's policy.