A motel may be an easier business to manage if you are looking to invest in the lodging slash tourist industry. Unlike hotels, motels are a lot less expensive, which means you may have more opportunities to get more customers. And since these establishments will be situated in highways or the outskirts of towns where no other accommodations can be arranged, you will also not have any problems with competitors.
So it makes sense that you would want to buy a motel or even a chain of motels. But before you do, make sure you’ve gone through these five steps to launch one of the most successful motels this side of the planet.
1. Discover the latest trends in lodging.
You might not have that much competition in your location but it would still be good business to keep abreast of trends in lodging. What features are guests looking for in motels? What new and innovative services are being offered in some of the more established motels? Which areas of your motel business should you focus on to keep up with industry trends?
2. Look for the best locations.
Location still plays a crucial factor in your bottom line. Most operators of motels have reported this as the key to business success. Consider what sort of traffic comes through the location and if most travellers will be persuaded to make pit stops in that area. You may also want a motel that is accessible to hospitals, dining destinations, shopping areas, and the like.
3. Do a thorough inspection of the motel you plan to buy.
By thorough we mean bring the right experts with you during the inspection. You’ll want to get a pest and building inspector to determine potential problems with the structure like termite infestation or water damage. Knowing these issues will save you from costly repairs, and give you leverage to negotiate a much lower price.
4. Get creative and consider what you would want to see in your motel as a
traveller.
Sometimes when you put yourself in your customer’s shoes, you get the brightest, most creative ideas. These ideas could translate into profits. From adding a pool bar to offering free gourmet breakfasts, your ideas could get you more guests into the motel.
5. Arm yourself with the knowledge to run a motel.
Lastly, running a motel business is more than just knowing how to manage one. As the owner, you need to be able to wear many hats; you need to be sufficiently capable as a bookkeeper, a marketing manager, a sales executive, and a customer service rep. This might not only help keep your payroll small but also give you greater control over how your motel business will go.