Concierge Services: Business Model Study

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In this 21st century, more and more people are becoming lazy and have enough money to spend to ease the efforts of the tasks they can do alone. New types of products and service are being introduced to this world every day for the comfort of the people. But there’s one service where you can hire people to do your daily errands. It is called Concierge Service.

There are conceirge companies now who provide concierge service. Their employees are very professional and will do anything you want them to do as long as it is moral, legal and ethical. The employees are an expert at being a person’s life manager or a personal assistant.

Today, concierge services are in almost every industry and have become a profitable business.

What is Concierge Service?

Many people have a question in mind that what is concierge service? The word ‘Concierge’ is formed from a Latin word ‘conservus’ which when translated means ‘fellow slave.’ But some people say that the same word ‘concierge’ has been derived from the French ‘comte des cierges’ which translates to ‘the keeper of the candles’. But over all these years, the understanding and responsibilities of the concierges have changed. The concierge professionals now do tasks for high income people or professionals like film stars, top-level managers, VIP clients of hotels, banks, etc.

Concierge services definition or VIP concierge definition

It is a type of service in which a person or an organization is expert in providing personal assistance services which can be household chores, holiday/ vacation planning, lifestyle & fashion management, etc. It is the complete concierge services definition. The services provided by conceirge companies or professionals should be legal, moral & ethical and harm no one.

The purpose of the service is to provide comfort and save time & efforts of the clients. Generally, the clients who opt for concierge service are high income groups who live a luxurious and comfortable lifestyle. This will help you to easily understand concierge service meaning.

Now, we know Concierge service meaning; let’s further understand the business model around this type of service.

Concierge service business model

Nowadays, we hear this saying very often that “Time is Money”. Well, it’s really true in today’s times. There is competition everywhere and people have to work really hard to earn for themselves and their families. They don’t have time to do household chores, plan and do bookings for a vacation, etc. The high end income groups want to time for themselves and want someone who can manage some of their work which will matter only for a while. Here, concierge companies and professionals take advantage (in a good way) and offer their specialized services.

Till the past few years, concierge services were only limited to hotel and costly & luxurious high class apartments where the concierge professionals used to help the guests with hotel’s restaurant reservations, book a spa or massage appointment, arranging transportation for commutation, also advising on the places to visit during their vacation, etc. The time has changed now and concierge service industry as well. They are now specialized in almost anything a client want them to do. In the case of a hotel, the concierge service companies or professionals now can do shopping, plan for your vacation, buy tickets of a concert or event, make reservations at a restaurant, the list goes on and on.

The business model of concierge service depends on which service is being provide and to whom it is being provided. It is also depends industry to industry. The clients will get their personal assistance at variable prices. The fixed clients taking concierge services are the film stars, VIP politicians & business men and the people who have enough money and like to live a luxurious life.

what is concierge service

Here are some most popular concierge services business models in today’s time:

1. Concierge Medicine

Concierge service is known by various names like direct care, boutique medicine, membership medicine and retainer free practice. It is a general concept where clients receive better personalized care and best access to his doctor in return of a fixed retainer or an annual fee.

This concept of concierge service is great for both the doctors and the patients because the doctor doesn’t need to care about getting many patients as long as he’s getting enough fees. On the other hand, the patients need not worry of finding a good doctor every time as he will expect of receiving the best direct care from his/her doctor.

The annual retainer fee for concierge medicine varies from USD 100 to USD 10,000. A person has to check with her insurance company whether direct care service is covered or not.

2. Personal Assistance or Lifestyle Management

Life management is a concierge service which is availed by high income groups. The client hires a concierge company or professional for doing his personal tasks to save time & efforts. The tasks can be daily household work management, pet & house care, shopping, making hotel reservations, booking events, etc. The professionals providing this kind of personal assistance to their clients are well behaved and trained.

Since only high income groups avail this service, the concierge professionals use their skills to save their clients’ time and provide personally enhance luxurious service.

Usually film stars and rich business men avail these lifestyle management services as they want to spend their time to more valuable things in life which make they feel happy and relaxed.

3. Hotel Concierge

This is the oldest and still most used concept of concierge service. The client calls the concierge desk to manage his bookings & reservations, welcoming & assisting client’s guest, arrange transportation, arrange spa and massage services, getting special event passes arranged, etc. The client can ask for many specialized services till his stay in the hotel.

Again, this type of service is availed by high income groups.

4. Travel Concierge

Traveling is gaining popularity and is being affordable these days. With the rising popularity, it has given rise to travel concierge. It is a type of service where a professional assists the client where to go, what all activities to do, make proper hotel reservations, etc. The concierge professional provides VIP treatment to the client to make him feel satisfied.

All in All

This was the complete article on what is concierge service in which we tried to explain everything which would justify the concierge services definition.

If  you have any suggestions or questions then you can mention them in the comments down below.

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