Service quality in the past three decades has attracted the attention of major practitioners, researchers and managers due to its robust influence not only on business operations, profitability but also on customers’ satisfaction and repurchase intentions. Furthermore, a number of empirical studies indicate a positive relationship between service quality and customer satisfaction as well as between customer satisfaction and positive word-of-mouth. In view of the strategic and growing importance of service quality for corporate success and growth, an attempt has been made in the present paper to measure service quality variance among different categories of hotels in northern India. Based on data gathered, with the help of a statistically-tested research instrument, from six hundred and sixty three (663) respondents, the study concludes that respondents are overall satisfied with the hotel services but overall improvement is needed to influence customer satisfaction particularly among “A” category of hotels to make accommodation services more effective and efficient.