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Posts Tagged ‘economy’

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Just a bed to place your head

Thursday, November 17th, 2011

Sure, luxury accommodations take headlines, but what about us regular folk who want just a decent bed to place our head before our big day in the city?  Big hotel chains such as InterContinental, Swiss-Belhotel International and Accor have recently announced plans to build hundreds of economy and express hotels around the world by the end of 2012.

Don’t call the new breed budget hotels or hostels, which are usually in cheaper areas. High-end hotel companies that have “economy” brands are often higher quality, cleaner, chicer and closer to city centers. Post-recession travelers are being more responsible with their money and hoteliers say they are demanding high-quality hotels with fewer trimmings like business centers or rooftop pools.  Consumers are looking, more than ever, for a quality vacation but without exhorbitant costs.  If you are such a vacationer-one who wakes up and hits the highlights not to return to your hotel until the end of the day-why pay for resort or convention facilities if you’re not going to use them?

These days there’s a louder cry than ever for tourists who can enjoy two- to three-star facilities because it’s convenient, clean and comfortable.  They don’t want to waste money on facilities like convention rooms, pools and restaurants they won’t use.

Global business travel spending is projected to grow 34 percent in four years, from $896 billion in 2010 to $1.2 trillion by 2014, with Asia, Latin America and the Middle East expected to grow faster than the current recovering economies of the United States and Europe, according to Ernst & Young’s report.

Much of the growth will be driven by the increased demand for economy hotels, which cost less than full-service hotels because guests pay only for basic amenities. Fewer frills means more savings;  express hotels are everything you need and nothing you don’t.

And the strategy for no-frills, but decent, rooms is working. Revenue per room grew 15 percent in Asia-Pacific during 2010, while the United States saw about 7 percent growth, as reported by Ernst & Young.

For the regular non-business folk who just want to hit the beach on a nearby island over a weekend, this means more economy chains located in downtown cores.

So while the roach-infested hotels with views over the sewer will still be there for those who like to slum it, there are now cheap places in good areas to toss your luggage and explore the city — without forcing yourself to use the pool or gym you didn’t ask for.