DATÜM: Affordable Luxe Travel
The demographics are rapidly shifting when it comes to hospitality design. What trends are catching on, and who’s leading the pack when it comes to fresh ideas for the modern traveler experience?
Influence
Young travelers prioritize authenticity, community and affordability when searching for a place to stay.
- 75% of millennials see their travel style as urban [source: Hipmunk 2015]
- 50% of millennials want integration of tech throughout their hotels [source: Hipmunk 2015]
- 40% of millennials saying they used a hotel during their last trip (versus 3.7% saying they used Airbnb during their last trip) [source: Skift, 2015]
Inspire
To cater to this unique demographic, several new hotel and hostel brands that offer affordable luxury have launched.
Local, Artsy Flavor
Hospitality brand citizenM aims to bring ‘affordable luxury’ to millennials through its global portfolio of boutique hotels located in prime cities throughout Europe and, more recently, New York. Created with tech-savvy, design-oriented and budget-conscious young travelers in mind, the brand offers conveniences like one-minute check-in and 30-second check-out, complimentary WiFi and movies, and jet lag killing rain style showers. Curated cocktails and fast-casual food offerings are also made available in an effort to cater to what citizenM calls its ‘mobile citizens’.
Feed the Social Yuccie. Yup. (aka, Young Urban Creative)
The world’s first “Instagram hotel” opened in 2013 as part of the 8Hotels stable after a $30m makeover. With a five-story atrium, exposed brick walls and colorful furniture, Sydney’s 1888 Hotel provides plenty of photo ops for its social media-savvy guests. Screens at the reception desk display a constantly updated feed of photos uploaded with the #1888hotel hashtag, while guests can proceed to the specially designated “selfie space” and take a photo behind a gilt frame. Instagram users with more than 10,000 followers get a free night’s stay, as does the guest who posts the most creative shot of the hotel each month.
Hybrid Spaces
Launching this summer in Amsterdam, Zoku (Japanese for “family” or “tribe”) hopes to facilitate global living and working for young, traveling professionals or “global nomads.” Zoku is a new brand of hotel that will feature micro-lofts that are “hybrids” for living/working — more suitably designed for domestic routines like cooking, entertaining and working than the conventional hotel room.
Rise of Poshtels
Upscale hostel brand Freehand opened in Chicago recently, the company’s second property in the US and another location is coming soon to Los Angeles. Freehand was created for young global adventurers and emphasizes amenities such as private bathrooms, lively bars featuring specialty cocktails, rooftop yoga, chic rooms and offers access to a guest kitchen. Design-led Generator Hostels, the fastest growing hostel brand in Europe, has plans to reach 12,500 beds spread across 15 properties by 2018 and is reportedly close to acquiring a building in Miami Beach.
Invent
For millennials, it’s all about affordability, comfort and convenience – with an authentic, artsy edge. Keeping that in mind, future-thinking brands can leverage these trends into strategies that provide unmatched experiences for young travelers.
- When it comes to guest data, don’t just guess.
- Anticipate guest needs and be prepared to adapt to (and invest in) changing technology and better property management systems.
- Show that you value their time, implement technology solutions to be more efficient so guests can drive their own experience before, during and after check-in.
- Personalization is no longer a luxury.
- Incentivize their visit by offering opportunities for guests to get additional loyalty rewards for things like using dry cleaning services or ordering room service.
- App programs are allowing guests to control their own room temperature or order room service when they are away – let the guests decide what’s best for them and give them the tools to make it happen.
- Create an authentic stay.
- Differentiate your brand by selecting a unique array of amenities and designing spaces for the audience you want to attract. Targeting healthy, young urban travelers? Offer complimentary bike-share programs to cruise around the city. Give out reusable branded water bottles and offer filtered water stations around the hotel or partner with local attractions or popular shops to sponsor filtered water stations throughout the city. Offer a complimentary healthy breakfast with options less than 500 calories per serving.
- Local pervades. Stock the shop with products from local makers, feature artwork from people within the community and source local produce in your cuisine – curating an authentic experience makes guests feel that they can get the real taste of the city without leaving the lobby.
- Celebritize your staff via storytelling: highlight what’s unique about your employees on all of your channels – design a space for guests to learn about the mixologist that will make their cocktail upon arrival. Happy employees equal a better guest experience, so get them involved in spreading the awesomeness on social media.
Hi Kristin,
Like so many new hotels trying to capture this large demographic it seems that they have forgotten that the other age groups even exist. Besides, what the young urban traveler wants….we all want. Seamless connectivity..check; authenticity…check; affordability…check. I think that the talk of the millennial has gotten so far out of hand that we have forgotten that the general consensus is for just good new hotel experiences. Promises by the brand that deliver a great experience for everyone. It’s OK to focus on one age group but what I have found (when I hang out around the reception desk or front door) is that the boomers and Gen X are checking in too. Interesting.
Great research! Keep it coming! Thanks!
Clay, you’re absolutely correct! Baby boomer travelers are not to be ignored! Skift says that 97% of Boomers say they’ll take at least one domestic trip in 2015, more than double the 45% who say they’ll take at least one international trip. They are up for adventures and trips with their families!! Even my 85 year old Grandmother is on her iPad all of the time and is very tech-savvy. Also, I have to admit – this piece was Millennial focused but (even as a Millennial myself) I am really over talking about Millennials, but that’s what the people are stuck on at the moment – a decade long moment, in fact. However, you offer a great idea for the next post – multigenerational travel: how they travel, what they look for and what they value. Thanks!!