1. Comparing to other businesses, asset appreciation businesses like Hotels, demand detailed feasibility studies to avoid higher risks.
2. Capital intensive investments like hotel projects should be done only by proper market and financial feasibility studies
3. Since the relocation and reconfiguration of Hotels are highly difficult and extremely costly, the hotels rely heavily on an effective location strategy to succeed in the competition to attract hotel guests to rent their rooms.
4. Spacious location is one of the most important factors for a new hotel establishment.
5. The location should be either Tourist (pilgrims/ leisure/travellers) spot or Business spot
6. Should have closer Accessibility to Airways, Railways and Road ways (high ways) etc.
7. The location should have space for customised/special amenities and Parking.
8. Continues demand is the key to success for any business.
9. Star rating is the common indication for customers about the facilities and features available in the Hotel.
10. The preferences of customers vary according to their income class. And in order to assure the demand, it is important for new Hotel developers to identify the most potential customers in the preferred location.
11. Identification of these factors are possible through different feasibility studies.
Every hotel property should have a personality of its own, which we call, its business model. Engaging professional consulting firms will help in developing the unique business models based on the feasibility studies. At AASC, we deliver such requirements of the client in various industries, including the hotels and hospitality sector.
To know more about how AASC can add value to your existing business or new upcoming project, please call +91 8606 556 318
Author: Savad, PGDBM (Edxel-UK), works as Junior Business Analyst at Ameen Ahsan Strategy Consulting.
Mobile: +91 8606 556 318