9/24/2023 0 Comments Day use hotel![]() Since there’s no extra cost attached to this (ie the rooms are already there), all the incremental revenue is pure profit for the property. “By selling these rooms and distributing these services, hotels can transform unused assets into incremental revenue.” “Most hotels have two key problems with their business: empty rooms and unused services,” he says. Yet most properties are not doing this – he estimates that only 2% of properties advertise day-use rooms and services on their own website. Selling empty rooms – or even selling rooms twice over – therefore makes great financial sense.Ī hotel can boost its net profit by 10-15% simply by selling empty rooms, Botto says. Add to this the fact that many hotels have been hit hard by home-share websites, and the problem deepens. during daylight hours) most of them are empty. The greatest asset for a hotel is its rooms – but for the majority of the time (i.e. Essentially, a customer – both travellers and non-travellers – can transform any hotel into a temporary office, a destination for a daycation (to have a mini-break in their hometown) or a place where they can rest for a few hours. The majority (40%) use them for business, with around 25% using it as a place to rest while in transit. In fact, leisure travellers make up just 35% of customers booking a day-use hotel through the site. “A hotel is a nice piece of real estate with a number of services inside – and there’s no reason that these services should be limited to travellers.” “The current definition of a hotel – which is a place for travellers to sleep – is self-limiting,” says Simon Botto, CEO of DayBreakHotels. ![]() It has almost 4,000 hotels in 16 countries on its site since launching four years ago. is a website dedicated to selling hotels’ purely daytime services, such as day rooms, meeting rooms, food and beverage packages and access to the spa and gym. With around 35% of their rooms underutilised, hotels would be wise to jump onto this growing trend. Our customers – a 50/50 mix of local workers and travellers – include sleep-deprived new parents, people recovering from a night out and international travellers in transit.” “Studies show that if you take a 25 minute nap, you can improve your performance by 34% and alertness by 54%. “Nowadays people are working longer hours and commuting longer distances – it can leave them feeling burnt out, and coffee isn’t enough, you need a proper break,” he says. Mauricio Villamizar Rangel set up Pop & Rest in October 2017 and the company has plans to open two more locations across London. ![]() Exhausted New Yorkers can catch a 45-minute nap at The Dreamery for $25, while London’s Pop & Rest pods cost from £8 for 30 minutes. Tampa Airport Marriott has recently unveiled flexible day use rooms, while “power nap pods” are popping up in cities, attracting tired business people. Offering stays from between 10am and 5pm, these daytime breaks cater to everyone from jet-lagged travellers and professionals, to leisure tourists booking a “daycation” at luxury hotels. To recoup some of this lost income, many hotels are now turning to a new business strategy: day-use accommodation. For four-star and five-star hotels in Europe, this corresponds to around $40bn lost annually, according to Eurostat. According to STR research, the global occupancy rate in 2018 was 67.5% – meaning 32.5% of rooms (around 2 billion rooms) remained empty. Accommodations that offer their rooms and services specifically during the daytime are on the rise – and for good reason. Gone are the days when a hotel was simply a place to stay the night.
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