08
Mar
2010

easyHotel Making economy hotels more like airlines
In a world of a-la-carte pricing and fees for … everything… it’s always been an irony of sorts that economy hotels have continued to be as all-inclusive as they are.

Free internet, free local calls, and free breakfast are commonplace at the lower end of the hotel spectrum, while at the luxury end, you’re paying for each of those. (The sweet spot may be the mid-range hotels and suites which improve the comfort level over the Motel 6′s but throw in the freebies.)

Given the success of Ryanair, EasyJet, and their ilk, it’s actually a surprise that the a-la-carte model hasn’t been more widely tested at the economy tier. But that’s changing.

EasyHotel, from the folks who brought you EasyJet, EasyCar, EasyCruise, and their ilk, opened its 12th hotel yesterday. The most recent property, in Berlin, follows other properties in London, Luton, Basel, Budapest, Larnaka, Sofia, and Zurich.

The pricing concept is (unsurprisingly) similar to the airlines: You pay a base price for the (small) room with spartan private bath. (Berlin seems to start at 25 euros per night, though some reports mention 12.50. The earlier you book it, the lower the price. Then, the add-ons.

Want to watch TV? That’ll be 5 euros.

There’s a single towel per guest. Want another? That’ll be 1 euro.

Wi-fi? Another 3 euros per 24-hour period.

Housekeeping? Only on request. Additional charge: 6 euros.

Unfortunately, it doesn’t appear that comfort is something you can buy as an add-on. And the decor is extremely orange, branded just like the airline. Which is fine if you’re decorating in order to appeal to the Dutch Olympic team, or taking your interior design inspiration from a 1979 Burger King. But for a hotel, it’s rather jarring.

This particular configuration doesn’t appeal to me personally, but I can see the draw for those who aren’t interested in hostels (…or camping) but are looking to keep lodging costs near rockbottom. Why pay for stuff you don’t need?

The pay-as-you-go model for hotels and motels isn’t new. This just takes it to a different level. And while luxury travelers have ironically accepted this model for years, it’s an innovation at the low end. Expect to see others follow suit in coming years.

What’s your take? Are a-la-carte economy hotels a good idea or another step backward for travelers? Vote in the poll below and hit the comments with your thoughts.

A-la-carte pricing for economy hotels: Boon or bane?

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16 Responses to “Making economy hotels more like airlines”

  1. sanjay Says:

    I think luxury hotels will go the other way. People will come to expect certain facilities are provided and inclusive. Especially as more and more mobile devices are wifi equipped and luxury travelers expect to be more connected while traveling.

  2. Mike Maddaloni - @thehotiron Says:

    I have stayed in what would be a “traditional” 2-3 star hotels in Europe, and from the pictures on their Web site, there isn’t much difference! And it is also comparable to the facilities in homes I have been to in Europe as well.

    I particularly like what appears to be a styling of the room to make it easy to clean and maintain. This alone makes it a preference over Super 8, et. al.

    mp/m

  3. Raph Says:

    I agree with sanjay: it really hurts when luxury hotels charge you for internet (and I’ve been charged outrageous rates of 22 euro a day for a crappy wifi service from Swisscom). Add-ons lack class.

    At the low end, why not? 3 euro for internet is very reasonable, and I’m happy to have the option to save that money. Same for housekeeping — getting it every day is often overkill, why not pass me the savings if I accept to pass up on the service?

    I’ve been very satisfied with a All Seasons stay (Accor’s heavily branded, low-end-but-decent-basic-package city-center hotels).

    Decor is more of an issue for me: that orange doesn’t look friendly at all. Do you think they get cheaper deals on pigments wholesale?! Fine for the outside of a plane, but man, for a tiny cupboard of a room that you’ll try to sleep in?

  4. Susan Says:

    A la carte amenity pricing isn’t a bad concept for budget hotels. Trouble with Easy Hotel, based on one night in Zurich, is that you can’t “add on” a better neighborhood.

  5. Aviator Says:

    Toon Hotels (linked to AirAsia) has also been rolling out the concept. Their hotels are reasonably nice but tend to be in out of the way locations.

  6. robert Says:

    I see nothing wrong with the concept (the execution is another matter, especially the decor as you mentioned). For example, I personally wouldn’t want a premium added for free wifi as I have a wireless broadband modem for my laptop.

    After all, how many people really ‘make use’ of their hotel room? I would suspect most are out all day and most of the evening and just come back to sleep.

  7. kate Says:

    I hope the housekeeping between guests is still free. I’d hate to think I got a room after a week of cheapskates doing who-knows-what… :)

  8. Greg Says:

    Depends on the market they are going after. The business traveler? Does not matter, it all gets expensed. The individual or family traveler? Sounds great!

  9. monstersinc Says:

    Stayed at the one in Zurich right after it opened and had a mostly positive experience (although Susan is right about the neighborhood). My major problem was that the divider they had put in for the restroom allowed you to see the silhouette of the person inside, which is both disgusting and a weirdly unnecessary thing to do to your customers.

  10. Ken Says:

    I just wish I could get internet access for only 3 Euros a day at other European hotels.

  11. The Amazing Spider-Ads Says:

    At 12-25 euros a night this sounds like a great alternative to hostels, especially for backpacking couples that aren’t planning on spending much time in the rooms but want the privacy at night. Hell, I’d've probably brought my own towel anyway.

  12. Mark Ashley Says:

    Thanks for the votes and comments.

    I think Ken’s comment re: 3-euro internet is spot-on. 3 euro internet is cheap, and sounds like it’s the best part of the easyHotel offer.

    Unlike sanjay, I’m not sure that luxury hotels will be cutting their prices for the “add-ons.” Nearly everyone has a cell phone, but that hasn’t stopped hotels from charging big fees per call from the room phone. I’ll be glad to be proven wrong, though.

  13. Oliver Says:

    Personally I don’t mind if hotels charge for add-ons that not all guests would want. Like parking or internet or phone. I do then expect them to clearly document those extra charges on their website so I can factor it into my booking decision. Unfortunately the actual cost is hidden behind a “for a fee” screen, making it difficult to compare.

  14. Bevin Gaines Says:

    There’s one more variable in this equation that wasn’t mentioned: the luxury, all-inclusive B&B. It’s an alternative lodging option that is often overlooked, but that delivers a much bigger bang for the sometimes bigger buck.

  15. Hotel GO Says:

    These budget hotels are fine if you want a simple nights sleep, but if you can’t live without extras then don’t bother. By the time you have added the top up fees, you’ll wish you had paid for a decent hotel in the first place.

    I really would recommend finding a hostel first if you are on a budget – you’ll meet loads of great people. Okay you have to share but by being a bit more sociable you’ll probably have a better time.

    Sleeping in an orange box looks pretty grim.

  16. Would you accept a cash credit or loyalty points to decline housekeeping? | Upgrade: Travel Better Says:

    [...] Thumbs up for this option. I really like the idea of a rebate for opting out of the service, rather than imposing a housekeeping fee for opting in, the way easyhotel has done. [...]

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