Are you looking for an investment opportunity with a promising future in a field that isn’t saturated, and which promises a quick return on your investment? Managing serviced accommodation might be just the thing for you. It’s a sector which has seen significant growth in recent years, but which, more importantly, has serious potential for further future growth.
It’s a great business to get into. It has far surpassed the point of being a flash in the pan, and it no longer involves the level of risk that it did in years gone by. With demand for serviced apartments being higher than ever, the odds of making a successful investment in serviced accommodation are stacked in favour of those who are willing to seize the opportunity and invest in this booming industry right now.
What Has Made Serviced Apartments So Successful?
Working professionals who travel for work have found serviced apartments to be a great alternative to traditional accommodation. They have the right environment and the right level of comfort – a home from home – for those who need to be away from their permanent home for an extended period. Although business professionals have been quick to see the advantages of serviced apartments for business travel, they aren’t the only ones who have found this type of accommodation the perfect solution for travel. Travelers and families who are visiting a new location for leisure purposes have also found them a great, cost effective and more flexible alternative to hotels and B&Bs. They allow travelers the option of cooking their own meals while providing them with the comfort of home, which is a feature that sets serviced accommodation apart from traditional hospitality options.
What Statistics Show
In the space of just eight years, the number of serviced apartments in Europe has nearly doubled from 43,687 in 2008 to 114,021 in 2016. In the year 2016, there were approximately 19,000 serviced accommodation property units in the UK, and these figures increased by almost 13 percent in 2017 to include another 2,600 serviced apartments in their figures. According to the Association of Serviced Apartment Providers (ASAP), in 2017, the occupancy rate of serviced accommodation touched 83.8 percent in London and 81.7 percent in other parts of the UK which is nearly at par with the hotel occupancy rate.
How You Can Get It Right
The statistics above indicate that the airbnb management London sector is ripe for development, and it is expected to expand rapidly across the UK in the near future.
Provide Services Which Add Value
It is no secret that service is the most important aspect of any hospitality business. And it wouldn’t be an exaggeration to say that service is the make-or-break factor. Failure to provide the right kind of service can severely hurt your reputation in this industry. You could think of ways to make the stay of your guests as convenient as possible by providing services such as free airport transfers, or a chauffeur service.
Minor details such as stocking up on food in the fridge before the arrival of guests and putting a bunch of flowers in the main room can make a big difference to the overall experience of guests. Guests are also likely to appreciate efficient cleaning services. Paying careful attention to this feature can become a strong point of your business that sees you receive high customer satisfaction ratings and ample recommendations.
Round the Clock Support
Serviced apartments are different from hotel stays in many ways. However, providing 24/7 support is one factor which must be replicated in your serviced accommodation business if you want to achieve success. By offering a reception desk or concierge service, your guests will be relieved to know that they can call on someone who can assist them at any time. This also alleviates the stress that they may experience when visiting a new city. Besides providing accommodation related services, a concierge or reception desk can help give your guests any information they may need on the local area, transport and tourist attractions.
Know What Your Guests Have to Say About Your Service
The only way to improve your service is to ask for customer feedback. You can either provide a survey at the end of their stay or check the online reviews which they post to understand which areas of your service can be improved. Turning a deaf ear to what your guests have to say about their stay at your serviced apartment can come at the cost of losing valuable business.
According to the Global Service Apartments Industry Reports, online reviews are as important as personal recommendations for nearly 79 percent of consumers and more than 80 percent of travellers make use of the internet to plan their trip. As guests are likely to stay for extended periods in serviced accommodation, reviews play an important role in helping businesses and travellers decide which accommodation option they should opt for their executives and families.
Consider Providing Flexible Lease Terms
Everybody loves having a choice and it is especially true for your potential guests. Providing added incentives such as lower rates for longer stays and waiving late checkout charges where possible, will give them another reason to choose to stay with you. By differentiating the services and prices that you provide for short and long term leases, you can attract a wider range of customers and thereby increase your occupancy rate.
Location And Security
Location is another important consideration when it comes to serviced accommodation. Having a serviced apartment in close proximity to commercial spaces or tourist attractions can make a huge difference to the demand for your property amongst travellers.
Additionally, your property should be located close to cafes, bars, shops and restaurants so that your guests do not have to travel long distances to get basic services. Security is another aspect which you cannot neglect or compromise on. Your guests are likely to feel safer if they know that CCTV cameras are installed in prominent places.
Attention to detail and a commitment to providing a great service will make you stand out from the crowd, give you the foundations of a great marketing strategy and will help you build a long-standing, solid reputation. And it’s these things that matter more than anything else in the hospitality industry.