DEMAND FLUCTUATION IN OFF SEASON : Case Study of Summit Hotel, Lalitpur, Nepal

Abstract

Seasonality is known as one of the most typical features of the tourism industry, affecting positively or negatively on tourism including the hotel industry. Seasonality demands have been a major problem for the hotel industry and have had a negative impact, such as, difficulties in gaining access to capital, low returns on investment and the inefficient use of resources. The phenomenon of seasonality imposes greater risks for tourism.

This thesis concerned with a case study of a three star hotel of Nepal named Summit Hotel. Tourism as well as agricultural sectors depends upon the season in Nepal. It has been a challenge to make a business during off season for most of the hotels. This thesis was therefore aimed to develop particular opportunities for the hotel industry to increase demand in low season. The whole research was about the impact of seasonality in this hotel. This thesis also tried to evaluate current trends of tourists’ inflow on a national level, and analyze the most effective factor of seasonality. The objective of the study was to explain some new ideas for maintaining off season and service management. Moreover, this thesis recommended or suggested some new policies and plans for the development of the hotel industry. This also implied the effects in the accommodation sector during low season.

The study observed problems and key features of seasonal effects on the hotel industry. The methodology of this work included secondary collected for the quantitative research and a qualitative case study including semi- structured interviewing, and a text analysis of the website of Summit Hotel. After the analysis of Summit Hotel, it became apparent that the hotel has good condition during 2011 and there should be some necessary of improvement services and facilities, and a website could be linked with a social network. To promote the hotel good marketing strategy is the strongest part to increase guests in off season as well as main season.