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Tuesday, March 14, 2017

Independent hotels are up to 15 per cent cheaper than chain hotels

With an 88 per cent share of the market, independent hotels form the backbone of the European hotel industry, and they often offer a better price/performance ratio than chain hotels according to results of a recent analysis conducted by HRS. An overnight stay in a three-star independent hotel costs, on average, 84 euro (£71) – that is 15 per cent cheaper than in a chain hotel of the same category. In the four-star category, independent hotels are ten per cent cheaper. In the luxury hotel sector, the average price difference is eight per cent.

Independent hotels: higher guest satisfaction but lower room rates
Chain hotels often incorporate a marketing and franchising fee into the room rate. Independent hotels, on the other hand, operate leaner structures and are usually run more efficiently – which has a positive impact on costs. As a result, they can invest more in facilities and services to ensure an equal or better quality of service despite their lower rates. Travellers appreciate the value for money and rate medium-sized hotels as high, or even higher, than large chain hotels. According to HRS’s analysis, the average rating for independent hotels is 7.48 out of ten, compared to 7.42 for chain hotels (three-star category). In the four-star category, independent hotels are on an equal footing (7.93) with chain hotels (7.92), despite the rates being ten per cent lower. Only in the luxury sector do the chains score more highly (8.25) than the independent hotels (7.74).

See more at:  https://www.traveldailynews.com/post/independent-hotels-are-up-to-15-per-cent-cheaper-than-chain-hotels