What does a small hotel near the train station that costs 20 yuan a night make money?
We may have seen these small inns, but few of us have an in-depth understanding of how they are run. So, how exactly do these hotels make money?
First of all, we need to understand who the main customer group of the small hotels near the train station is. These hotels cater mainly to travelers who need temporary accommodation. Because they are pressed for time and have a limited budget, they will choose a place to stay at a relatively low price. This provides a large potential market for small hotels.
Although the cost of accommodation per traveler is not high, it adds up to a lot due to the large number of visitors, which is also one of the important reasons for small hotels to achieve profitability.
In addition, many guests do not stay overnight, but only take a temporary break. Some people may take the train in the middle of the night, so they choose to go to the hotel early to rest for a while and wait until the time is up to continue the journey, while some people may get off the train at 2 or 3 in the morning and sleep until dawn before leaving.
There are also people who just need to change trains at the hotel, but they have to wait for seven or eight hours or five or six hours, so they will take a break and wait until the time is up before taking the bus. As a result, despite the small number of rooms in these hotels, they are able to receive multiple batches of guests per day in order to maximize their own interests.
Of course, relying on room income alone is not enough. Another way for small hotels to become profitable is to diversify. Many small hotels offer simple food and beverage services, which are not expensive but are a good option for those who need to make ends meet. In addition, some hostels also sell some travel goods such as toiletries, maps, souvenirs, etc., which are additional sources of income.
In addition to diversification, small hotels are also good at creating more value with limited resources. For example, in the past, some illegal transactions were often carried out in hotels. For example, some masseurs, hair salon girls, etc. will look for customers in the hotel. Because hotel guests near train stations tend not to stay for long periods of time, they feel that these deals are relatively safe.
In addition, for those guests who are unable to opt for an upscale guesthouse due to financial reasons, an affordable hostel deal is a great option. As a result, many people in this industry will knock on the door of their guest rooms at night to sell their services.
Of course, with the constant blows of the state, this has been significantly reduced. However, this has also led to a decline in the hotel business and a decrease in revenue.
Although he has lost a large amount of income, according to insiders, if he opens a hotel near the railway station in a second- or third-tier city, he can basically earn tens of thousands of yuan a month.
Although it is not comparable to large hotels, it is at least more than the income from work, which is already very good.