PARTNERSHIP OF GOVERNMENT AND NON-GOVERNMENTAL PARTNERSHIP OF GOVERNMENT AND NON-GOVERNMENTAL ORGANISATIONS IN THE FIELD OF TOURISM:ORGANISATIONS IN THE FIELD OF TOURISM:

TTHE HUNGARIAN EXPERIENCEHE HUNGARIAN EXPERIENCE

AKOS NIKLAIVice President of the Hungarian Hotel and Restaurant AssociationTreasurer and EXCOM member of HOTREC

Moscow, Russian Federation 19 March, 2012 

Tourism in HungaryTourism in Hungary

A key, strategic sector in the national economy

5.9% direct contribution to GDP

9.8% of total workforce

Over 4 billion € receipt

Both inbound and domestic tourism is significant

Benefits from EU funds

Key Tourism ProductsKey Tourism Products

Budapest

MICE

Lake Balaton

Culture

Spa & Wellness

Hungarian Hotel and Hungarian Hotel and Restaurant AssociationRestaurant Association

• Established in 1968• Membership: 388 hotels388 hotels (representing 726 restaurants),

22 educational institutions, 110 associate members• Membership coverage 77% (by room numberMembership coverage 77% (by room number))• PurposePurpose: :

represents the interest of Hungarian hotels and restaurants

represents the Hungarian hospitality industry on international level

lobbyingdevelopment and growth of the hospitality industry

BRIEF INTRODUCTION BRIEF INTRODUCTION TO HOTRECTO HOTREC

What is HOTREC?

•Umbrella association of national associations representing the hospitality sector in Europe (Hotels, restaurants, cafés & similar establishments)

•43 national associations / 26 European countries

HOTREC’s main objective:•Representation / Advocacy of the hospitality sector interests before the EU institutions

HOTRECHOTREC

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European hospitality sector in the EU-27

•1,7 million enterprises

•9,5 million persons employed Compare! Automotive production: 2,2 million

Chemical industry: 1,9 million

•195 billion EUR value added Compare! Automotive production: 155 billion EUR Chemical sector: 194 billion EUR

HOTRECHOTREC

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What is doing HOTREC on a regular basis?

•Monitor EU developments of likely impact on the sector

•Coordinate Members’ views

•Exchange of best practices

•Lobby EU Institutions: Commission European Parliament Council of Ministers

HOTRECHOTREC

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Main EU policy issues:•VAT•Quality•Social affairs•Sustainability•Hotel classification•Fire safety•Consumer protection•Copyright•Food & Health issues•Standards•ICTs in tourism

and many others…

HOTREC - UNWTOHOTREC - UNWTO

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• HOTREC is affiliate member of UNWTO

• Good relationship and looking forward to strengthen it

• HOTREC President participated in a recent UNWTO round table discussion on consumer protection and accommodation services (ITB Berlin, 9 March 2012)

Hotelstars UnionHotelstars Union Unified European Unified European Classification SystemClassification System

• 2007 idea (Austria, Germany and Switzerland)

• 2009 7 founder countries (Austria, Czech Republic, Germany, Hungary, Netherlands, Sweden and Switzerland)

• 2011 4 new members (Estonia, Latvia, Lithuania and Luxembourg)

• Currently 11 countries (18 000 hotels, 150 million inhabitants)

• Further interest from other EU and non EU countries

ObjectivesObjectives & & AdvantagesAdvantages

•Same principals of classification

•Criteria – developed based on guest surveys

•Clear communication of star-rating

• Improve quality and satisfaction

• International trademark

•Fair competition on market

•Dynamic - criteria updated in every 5 years

270 criteria270 criteria ( (minimumminimum + optional+ optional))

1* „tourist”, 2* „standard”, 3* „comfort”, 4* „first class” and 5* „luxury”

Cooperation of Cooperation of government and NGOsgovernment and NGOs• Since 1990 NGOs role increased government cooperation Forms: • legal framework • government support • government contracting • NGO involvement in government decision-making Benefits:• Strengthening government and voluntary sector relationship • Support the quality improvement and growth of the hospitality

industryOther recent examples of the issues:• Smoking• Hygiene, HACCP• Tourism promotion• Tourism strategy

Previous Previous ClassificationClassificationin Hungaryin Hungary

National compulsory hotel classification systemResponsible authority: Hungarian Trade Licensing

OfficeCategories: 1*- 5* Process:

Self-ClassificationNo on-site inspection / control many classification

were unrealistic

Hotelstars Union in Hotelstars Union in HungaryHungary

• First classification : December 2010

• Voluntary

• System operated by Hungarian Hotel and Restaurant Association

• Online process: RegistrationSelf-ClassificationOn-site inspection Decision

•Total hotels in Hungary 817817

Hotelstars Union in Hotelstars Union in HungaryHungary

345345 registered 207207 classified 72 % 3* and 4*

31% in Budapest 25% superior

Hungarian Tourism Quality Hungarian Tourism Quality AwardAward

• „ ” high standard guarantee

•2006 introduced

•2007 Accredited by HOTREC (EHQ level 2)

•Valid for 3 years

Currently

•171 applied hotels and restaurants 147 winners

•Future plans: TA, TO, Taxi

Recent DevelopmentRecent DevelopmentHotelstars national trademark of HungaryOperation: Operation: Ministry of National Economy with the

cooperation of HHRARecently – the negotiation is ongoing between

Ministry of National Economy and HHRA NEWNEW AGREEMENT TO BE SIGNED SOONAGREEMENT TO BE SIGNED SOONBenefits:Benefits:

transparent quality, better informationtransparent quality, better informationincreased consumers protectionincreased consumers protectioncontribution to competitivenesscontribution to competitiveness