The 21st Century Hotel Industry Summit and the ninth Golden-Pillow Award of China Hotels were held in Hangzhou, Zhejiang province last month to honor achievements and discuss trends in the industry.

The forum was held as international hoteliers increasingly arrive in China to compete with domestic operations, posing a challenge to local operations in attracting and retaining guests.

The event hosted senior experts in China's hotel industry, CEOs of renowned hotel groups and local officials.

In speeches and panel discussions, participants said international hotels should pay more attention to traditional Chinese food, tea ceremonies and other consumer habits.

He Jianmin, director of the Tourism Management Department at Shanghai University of Finance and Economics, said that competition from international hotels has reached a fevered pitch, with some even founding new brands for the Chinese market.

One example is international French hotel group Accor, which has launched the new brand Grand Mercure to meet the needs of the Chinese market.

InterContinental Hotels Group has introduced the Huayi Hotel and Resort brand especially designed for Chinese tourists, while US-based MGM Hospitality is planning a partnership with China's Diaoyutai State Guesthouse.

Marriot International Group is also considering a new local brand, said He.

Industry experts at the forum said that a custom hotel brand designed for China is also an effective way to gain Chinese customers who travel abroad.

The number of outbound tourists is increasing 9 percent annually and will reach 88 million Chinese travelers overseas by 2015, according to figures from the China National Tourism Administration.

Experts said those tourists will be more likely to choose familiar hotel brands that offer the style of hospitality they prefer even when abroad.

Another important discussion centered around hotel professionals and training.

Du Hongxin, general manager of the Dragon Hotel in Hangzhou, said that many hotels urgently need professional staff members, but are finding it even more difficult to recruit excellent employees as the demand for hotel professionals increases.

Developing and retaining current workers while enhancing their loyalty is now even more crucial, Du said.

Some experts said that compared with other countries, employee turnover at hotels in China is very high.

They noted that salaries and welfare are not the only criteria for employee retention because many young workers want to improve themselves and view professional training as crucial.

Marriot International Group has begun a 24-month employee training program called "The Sail" in China, while Shanghai Peninsula Hotel in cooperation with Britain's Institute of Hospitality recently concluded an 18-month training initiative for 20 employees in Shanghai.

The summit also discussed small luxury, designer and themed hotels.

The star rating system was the symbol of a hotel's class and helped in the first step to get market share several years ago, but many international hotels now emphasize personalized services, said Wu Zan, CEO of Zanadu, an invitation-only travel community that provides members with insider access, expert knowledge and deals on top-class vacations.

Wu said small, boutique hotels offer a style of localization not feasible for large, comprehensive properties.

This year's Golden Pillow Awards were given in more than 100 rankings, including China's most popular international hotel group brand, top 10 most popular resort hotels and leader in the hospitality Industry.

The event held at the Sheraton Huangzhou Westbrook Resort was hosted by Guangdong 21st Century Business Herald and Business Travel and sponsored by Mercedes-Benz.

"Chinese consumers will be the fastest growing group in the global hotel market in the future, so catering to Chinese habits will be one of the main directions for development," said Shen Hao, CEO of Guangdong 21st Century Media Co Ltd.