Would it be possible to make a hotel chain like Ryanair work (something that's affordable and provides good value)

[vdj_145]

Suppose you had the resources, do you think it's possible to set up a good value for money hotel chain like what Ryanair did for the Airline industry and if so, what kind of policies would it need to have in order to be feasible?

 

[markis10]

Hotels are different to airlines, as Air Asia found out with Tune, Easy hotels seems to be Ok but reality is the market is already covered by various business models.

 

[WilsonM]

Suppose you had the resources, do you think it's possible to set up a good value for money hotel chain like what Ryanair did for the Airline industry and if so, what kind of policies would it need to have in order to be feasible?

Well, Ryanair works by creating the most efficient cabin configuration possible. A hotel is inefficient regarding space utilisation, so it presents your answer - hostels

Many hostels are run in a kinda similar way to Ryanair - they get you what you want (a bed), but you have to pay for everything else - towels, sometimes even bedsheets, breakfast, and privacy.

Would also say there's plenty of budget hotel brands that are very basic. But hostels are still cheaper on a per-bed basis.

 

[Scarlett]

It’s called the Ibis chain.
(as an aside, does that make Ibis Budget the ‘Bin Chicken Hotel’ in Australia?)

Also, you have an unhealthy fascination with FR: they’re a poor quality company whose only redeeming feature is that they’re often on (their excessively padded) time.

 

[MEL_Traveller]

There have been plenty of hotels on the ultra low cost side… Formula 1, Inis Budget, Air Asia’s Tune, Easyhotels. Slightly more upmarket are Motel1 and The Hub by Premier Inn.

They all work well, except easy hotel was *very* basic. Probably more depressing because Inhad a room without a window

Hub by Premier Inn was exceptional. Rooms 11sqm, but with all the luxury of a 4 star hotel.

 

[moa999]

Floorspace is the most important characteristic, but fixed costs in cleaning and front desk etc.
Most of the capsule hotels seem to be overpriced on this basis to me, maybe utilisation is lower.

 

[Saab34]

We stayed at the Tune at London Paddington a few times, we also stayed at the Pod Hotels in NYC. I note Tune in London is no longer.

Needless to say one would assume costs got away from them.

On the occasion I was solo they had been fine, having been well experienced with LCCs I was aware what to expect.

 

[clifford]

Also, you have an unhealthy fascination with FR: they’re a poor quality company whose only redeeming feature is that they’re often on (their excessively padded) time.

Also, you have (or seem to have) an unhealthy dislike of Ryanair.

They are an LCC that can provide exceptional value for flights between city pairs that no/few other airlines sevice. Just pay for a decent seat and bags and you're fine (well perhaps not you?).

For example, I've booked FR MLA-CTA in June at an all-in cost of EUR50. The seats are fine for short journeys (thank god they don't recline) and the cabin crew are better than some QF ones I have met.

So what's your gripe?

 

[elanshin]

Suppose you had the resources, do you think it's possible to set up a good value for money hotel chain like what Ryanair did for the Airline industry and if so, what kind of policies would it need to have in order to be feasible?

Already exists buddy. The reason airline industry is harder is because the capex cost to get going is huge. By comparison hotel capex to get going isn't anywhere near as much and thus this sort of concept is around everywhere.

From capsule hotels to Japanese "business hotels" to ibis, holiday inn. You even have massive disruptors like airbnb come into the space.