Apart from that, there are other services that give serviced apartments a glamorous touch like housekeeping on call, Wi-Fi connectivity, and other additional facilities offered in society/complex (swimming pool or fitness center). In 2020-21, there were 12,54,743 serviced apartment or condos available for the guests throughout 15,464 locations.The top 15 brand names, consisting of chains like Marriott, Accor, IHG, and Hilton, make up a stock of 6,85,303 serviced apartment or condos at 7,817 locations.These figures show that the prolonged stays industry is flourishing on a quick scale. The current scenario of work from house has paved the method for home owners to re-market their property with a brand-new approach.In truth, I have a real-life circumstance to describe why serviced house service is worth investing in.” So, you see that serviced apartments are faring well in terms of creating revenue and are in need as well.How to Make Money from Your Serviced Apartment Business?Now the tips Im sharing here can work if you have even a single home. Let me offer you a much better insight on it.There are 2 classifications in the features that you ought to have in your serviced apartment: Necessary amenitiesLuxury amenitiesTalking about needed amenities, it consists of the basic furniture and some important services that are discovered in every house.
A couple of months earlier, I did a substantial blog site on marketing strategies for serviced apartment or condos which was well gotten by the readers. In fact, a few of them suggested that I must compose something to resolve the success from serviced apartment company. And here we are.In this blog site, Ive covered all the elements relating to serviced houses with some ideas that can help in improving your booking circulation. What is a Serviced Apartment?Serviced house is a property flat, equipped with services and features that deal with visitors for short and long stays.They are totally provided with all features that are required in a home, such as a bed, TV, cooking fundamentals, fridge, AIR CONDITIONER, and so on. Apart from that, there are other services that provide serviced apartment or condos a glamorous touch like housekeeping on call, Wi-Fi connectivity, and other extra facilities offered in society/complex (pool or gym). Often called as serviced condos and extended stays, this hospitality section is among the profit-making organizations these days. Let me inform you how.Why Should You Invest in Serviced Apartments?First, lets have a look at the marketplace stats. According to the Global Serviced Apartment Industry Report (GSAIR), 2020-21 edition, by The Apartment Service Worldwide, In the past two years, the serviced apartment or condos market has seen a development of 24% in terms of business and capacity. In 2020-21, there were 12,54,743 serviced apartment or condos offered for the guests across 15,464 locations.The top 15 brand names, including chains like Marriott, Accor, IHG, and Hilton, constitute a stock of 6,85,303 serviced apartments at 7,817 locations.These figures show that the prolonged stays industry is growing on a fast scale. The present circumstance of work from home has paved the method for house owners to re-market their residential or commercial property with a brand-new approach.In truth, I have a real-life situation to discuss why serviced house organization is worth investing in. Back in my home town, among my friends had an uninhabited house, which was typically utilized by us for hanging out. One great day, he came up to me with a service plan, which was to lease his flat to the local renters. I had a much better concept. I suggested to him why not convert his flat into a serviced apartment?Furthermore, I described to him how it works in addition to the concrete earnings. He was quite intrigued and quickly started the setup process.While looking into for this blog, I called him approximately get some insights. And this is what he stated: ” There has actually been an increase in bookings for long stays, particularly throughout the rainy season. In fact, Ive got a number of customers from neighboring cities that have reserved stays for a month due to their work from home policy. Even the revenue earned is rather greater in comparison to routine flat rental company.” So, you see that serviced houses are faring well in terms of producing income and remain in demand as well.How to Make Money from Your Serviced Apartment Business?Now the suggestions Im sharing here can work if you have even a single home. If you are preparing to invest in a flat and convert into a serviced house, these points will be rather useful.1. Make use of area properlyIts important to have an understanding of area. Usually, the extended stays are either studio homes, 1 BHK, or 2 BHK. This area determines the number of guests you can accommodate in your house and work on the furnishing part accordingly.Suppose you have an unfurnished studio apartment or condo that is large for an optimum of 2 guests. After preliminary calculations, you come to a conclusion that it can be furnished with specific products, such as a bed, fridge, TV, closet, and so on.Once you are done, you intend on putting an additional bed to accommodate another person for increasing the earnings. I would state its an arduous task considering the brief quantity of area youve in hand.Even if you change it somehow, the location will look busy and there will not be sufficient aisle space to move. Furthermore, the space will do not have air circulation, making it feel claustrophobic. Thats why its important for you to have a clear understanding about your houses carpet area. It would assist you in gauging the area use and making additional changes.2. Buy crucial amenitiesIt goes without stating that serviced homes have to be fully furnished. However, it does not mean that you need to cover every inch of space with all the amenities and furnishings available in the market. Let me offer you a much better insight on it.There are 2 categories in the amenities that you need to have in your serviced home: Necessary amenitiesLuxury amenitiesTalking about essential amenities, it includes the fundamental furniture and some crucial services that are discovered in every house. Here are some of the necessary ones: Bed (king/queen size) Table and chair/recliner/couchWardrobeFridgeKitchenette center (cooking devices, utensils, and dishwasher) Centralised/Window ACHot and cold water (24 * 7) Free Wi-Fi accessHousekeeping servicesTV with meal connection24 * 7 securityOn the other hand, the luxury services and amenities are optional; because it depends on your spending plan and visitors needs. These are a few of them provided by leading brands, Bean bags rather of regular chairLaundry centers Smart lightingVoice control gizmos (Alexa) Gaming consoles (X-box, PlayStation, and so on) Access to premium facilities (Swimming swimming pool, fitness center, health club, etc) Hardwood/Carpet flooringParking facilityResident mobile appBy deciding for these or any other premium facilities, you can give your guests a sense of luxury living and have an edge over your rivals. 3. Employ staff to maintain the propertyJust like other hospitality facilities, serviced houses likewise require routine upkeep in regards to housekeeping and repair. For that, you require to have devoted personnel released at your home. I would suggest keeping a minimum of 2 housekeeping personnel members that would be accountable for the maintenance of the home. Ensure that they are properly groomed, trained, and should adhere to the created SOPs (Standard Operating Procedures). When guests check-in at your residential or commercial property, dont forget to notify them about the shift timings of housekeeping staff. If you are deploying a 24 * 7 staff on your home share their contact details with guests. In this way, they can get in touch with the staff whenever they wish to avail housekeeping services.Word to sensible: If you desire to obtain any type of deep-cleaning services by specialists or need to repair something in the apartment or condos, choose home-service companies. However again, its not advisable to opt for it regularly considering its cost. 4. Bring technology to your aidTechnology has reshaped the working structure of the hospitality industry. In fact, there are a number of SaaS companies that supply various solutions for hospitality establishments.Start by investing in a PMS. It will help in keeping a track of reservations, handle requisitions from a single dashboard, collecting and storing guest data, and so on. You can integrate it with a channel supervisor. Itll help you in upgrading real-time inventory and pushing rates on all the online portals in a single go. 5. Divide and SellNo, its not something that I created after checking out the liberty movement of India. When I say divide and sell, it implies that rather than selling your house as an entire, you can offer it on a bedroom basis. Let me discuss with an example.For circumstances, you own a 2BHK serviced house. Now, youve noted the residential or commercial property on various booking websites with a tariff of Rs. 3500 daily. However because way, your home can only be leased by groups and households. The other sections, like private working professionals, couples, and solo tourists would be left out.In order to accommodate them as well, you need to embrace the divide and offer policy. Its basic, simply develop a different room category called as single room on all the online reservation portals.Once done, you can upgrade the tariff as Rs. 2000 per space per day. In this method, you can increase your bookings in addition to the overall profits. Keep in mind that the rates you update for private spaces must be skilled in contrast to that of the whole residential or commercial property. 6. Present packages and feasible tariffsAnother strategy to make your serviced apartment or condo company lucrative is having versatile tariffs. Thats one of the prime reasons that people select prolonged stays. While you work on your tariffs, keep the concept of log stays in mind. Furthermore, you can create packages for long stays, like one week or a month. Also, try including meals like breakfast in the tariff. A report by Seven Rooms specifies that, Around 65% of tourists decide for a lodging facility providing totally free breakfast. For this reason, when you are producing a package, do focus on the meal component. And for that, you require to have partnerships with close-by restaurants. This will come in convenient if guests desire to order food from outdoors or attempt local specials. 7. Have a versatile cancellation policyOften visitors tend to have changes in their travel strategies, which leads to the cancellation of their existing reservations. However, the cancellation policies of accommodation facility suppliers are normally stiff. Which ways, either they suffer a loss or the visitor. Thats why it is suggested to have versatile cancellation policies that would remain in favour of visitors as well as your serviced apartment service. You can charge a charge of 25-50% fees if the visitors cancel their bookings 3 days prior to their check-in date. Flexible cancellation policies can assist in enhancing guests self-confidence that they can schedule the home without fretting about changes in plans and loss due to cancellation of reservation. This will result in improving your booking circulation. 8. Have a robust marketing strategyMarketing is among the crucial aspects for any organisation to raise awareness about their service or product among their audience. There are a gazillion marketing methods that you can utilize to promote your serviced apartment business. Its essential to examine which ones will work for you. Lets take help of an example to comprehend it much better. Expect youve a serviced studio apartment or condo that is large for a couple of visitors. Promoting it to families or bigger groups is an useless step. Thats why, while creating marketing strategies, you need to be familiar with your target market. If you are looking for ways to improve your serviced homes organization flow, you MUST have a robust marketing plan that need to be able to catch the attention of your target audience.9. Concentrate on guest satisfactionGuest fulfillment is the essence of the hospitality market. The primary goal is to give guests a comfortable and elegant experience which deserves the quantity of money invested. So, whenever you have any guest at your property, guarantee you deliver the highest level of services to them. Attempt to provide a personal touch to their stay by offering them regional experience based recommendations. 10. Keep a check on your online reputationIf you believed that reviews and track record refer concern just for hotels, you are wrong. Similar to hotels, reviews play an essential function in the serviced home organization. Based on a study done by TripAdvisor,87% of travelers choose to check evaluations prior to booking any sort of hospitality business.So, if you havent begun gathering evaluations for your serviced home, you need to consider doing it in the very first location. Likewise, do not forget to respond to all the feedback, be it positive or negative.ConclusionServiced house service is among the lucrative sections in the hospitality market. In truth, its an excellent method for home builders and apartment or condo owners to earn a much better profits from their vacant flats. This blog site is for you if you are one of them. All you need to do is carry out the actions Ive pointed out and enjoy the outcomes for yourself. If there is any other subject you want me to cover, do let me understand in the comments. Till then, happy hoteliering..
