If you have free space in an area where people travel a lot, then implementing a hostel business idea is the perfect solution to start your own business. A hostel is a mini-hotel intended for short-term accommodation. Usually the fee in the hostel is taken not for a room, as in large hotels, but for a bed. Therefore, hostels are more like hostels than hotels.
The huge advantage of hostels is the relatively low price and proximity to the main city centers.
The cost of organizing a hostel is relatively low, however, to calculate the payback of the project, it is necessary to first conduct a marketing research on opening a hostel .
The number of potential customers is large in almost every locality, especially where there are not enough hotels. And there are not enough hotels in our country almost everywhere, especially in large cities. But even with a sufficient number of hotels, hostels are almost never empty. This is due to the fact that hostel customers are guided by a completely different price category than hotel settlers. Moreover, many people prefer to stay in a hostel because they feel more comfortable in it.
There is very little competition in this small business segment. Therefore, it is enough to simply inform potential customers about the availability of the hostel in order to get a constant influx of customers.
Hostels are especially in demand in tourist and industrial centers, places of pilgrimage, areas where educational institutions are located. A huge number of business travelers, part-time students, tourists traveling on a small budget will gladly use the services of the hostel.
The ideal option for opening a hostel is the presence of a free living space, or several located nearby.
Often, family people buy several apartments nearby or build a large house for three generations to live together, but then the children leave, the old people die, but the premises remain. It is in such premises that you can arrange a wonderful hostel. To do this, you need to transfer the premises from the housing stock to non-residential, draw up the relevant documents and carry out minimal re-equipment.
In principle, even a separate apartment can become a small hostel that brings a good income.
However, in order for the business idea of the hostel to justify itself, it is necessary to take care of the convenience of the residents. It is highly desirable to provide good sound insulation, install a split system, connect Wi-Fi, equip the kitchen with everything you need. The hostel is designed for relaxation, so customers should feel comfortable and cozy in it.
I also recommend reading the following articles on the topic of the hostel on our website:
- you can read more about how to choose a room for a hostel here ;
- you can read about how to achieve growth in hostel sales in this article ;
- specific calculations for opening a hostel — see this article .
In order to get a clear and clear idea of the project that is just being born in you, as well as to present it beautifully to investors, you can always order a business plan or get advice: