{"id":3640,"date":"2018-12-28T11:40:40","date_gmt":"2018-12-28T10:40:40","guid":{"rendered":"https:\/\/www.thehotelfactory.com\/en\/?p=3640"},"modified":"2022-03-04T13:23:25","modified_gmt":"2022-03-04T13:23:25","slug":"the-world-of-limited-service-hotels-the-affordable-luxury","status":"publish","type":"post","link":"https:\/\/thehotelfactory.com\/en\/the-world-of-limited-service-hotels-the-affordable-luxury\/","title":{"rendered":"The world of limited service hotels: the affordable luxury"},"content":{"rendered":"\n

Seeing the recent success of low cost airlines<\/strong>, it is not surprising that the low cost business model may be extrapolated to other sectors<\/strong>. In fact, during the last few years, the world of limited service or low cost hotels has become increasingly popular. But not only small hotel chains or singular hotels have opted for this segment, but also large chains have opted for creating a new low cost sub-brand, for example, Marriott and its new brand, Moxy.<\/span><\/p>\n

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In the hotel market, the low cost segment is mostly characterized by offering hotel stays at competitive prices<\/strong>. Within this segment, many of the new hotels are opting for a new concept: the affordable luxury<\/strong>, through which they offer luxury rooms and services at affordable prices<\/strong>.<\/span><\/p>\n

Most of the guests spend between one and three nights<\/strong> in this type of hotels, since most of them are: millennials or tourists<\/strong> who spend the day exploring the city, although, depending on the location, they are also frequented by families and business people<\/strong>.<\/span><\/p>\n

But, how do they manage to offer competitive prices?<\/strong> Based on our experience, <\/span>the hotel factory<\/span><\/i> has identified the key aspects in which these hotels manage to reduce costs:<\/span><\/p>\n

First of all, the location. Most of the hotels are located on the\u00a0<\/span>outskirts of large cities<\/strong>, so the rental price of the establishment is lower. However, these hotels are usually located in areas with good communication in public transport<\/strong> and good complementary services in the vicinity<\/strong> (restaurants, bars, shops, etc.) so that the location does not involve a great inconvenience for the guest.<\/p>\n

Secondly, the creation of reduced size rooms<\/strong>. This is possible because affordable luxury hotels are committed to keeping the guest out of the room and they are investing in large open spaces and common areas<\/strong> that encourage socialization. In the same way, to reduce the feeling of overwhelm of the guest inside the room, these hotels favor an efficient distribution<\/strong>, creating bathrooms with an open concept and replacing the walls with transparent glass to increase the feeling of spaciousness.<\/span><\/p>\n

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In addition, the rooms have all the basic needs<\/strong>, but without sacrificing the luxury and comfort<\/strong> sought by the most demanding clients. Hotels opt for efficient construction and design, using elements that are easy to assemble. However, the bed<\/strong> is the most important component<\/strong> of the room and, usually, it is the element in which more money is invested<\/strong> by this type of hotels.<\/span><\/p>\n

Thirdly, limited service hotels have the least personal possible<\/strong>. Thus, they look for proactive employees, able to perform different tasks<\/strong>. In fact, many of the hotel establishments choose to place the reception near the bar<\/strong> so that the same employees can perform tasks in both departments if necessary.<\/span><\/p>\n

In addition, to reduce the front desk staff, most hotels opt for the self-check-in<\/strong>, where the guest performs its own check-in through a computer, although an employee will help them if they need it.<\/span><\/p>\n

However, to make up for the lack of staff<\/strong>, employees strive to interact with the client and make him feel special as well as creating a unique experience<\/strong>.<\/span><\/p>\n

Finally, they also reduce costs in \u200b\u200bF&B area. Hotels usually have a grab&go buffet<\/strong> for breakfasts with quality food but little elaborated and food is located in removable trays easy to assemble. They do not offer lunches or dinners<\/strong> on a regular basis, but, for those guests who require it, they offer <\/span>a la carte<\/i><\/strong> food at the bar<\/strong>. This food is made in a Merrychef type oven<\/strong>, which allows them to cook different types of meals with little effort.<\/span><\/p>\n

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Another interesting thing that these hotels use to attract more guests and earn an extra income<\/strong> is to have meeting rooms or coworking rooms<\/strong>. These rooms have the latest technology and they offer the necessary furniture and office equipment. Additionally, some limited service hotels have innovative meeting rooms with differentiating elements<\/strong>, such as the hotel <\/span>Hoxton<\/span><\/a>, in London, that one of its meeting rooms has a kitchen that may be used to serve both tea and coffee in the afternoon, but also to create dinners and private parties.<\/span><\/p>\n

After visiting hotels in London and Amsterdam (leading destinations in this segment), <\/span>the hotel factory<\/i><\/strong> has identified three examples of international brands or hotel chains as best in class in this segment<\/strong>:<\/span><\/p>\n