Top 5 Hospitality Business ideas for 2019
In this post, we are gonna cover accommodation as one of the hospitality business ideas for 2019. The research in this post is based on the latest profitable trends.
Nowadays, we often come across the term “Hospitality,” but what meaning does the word have and where it comes from?
Hospitality as a term in English was first used in the 14th century and borrowed from the Latin word “hospitalitas,” which literally means “entertainment of guests “
So, the term “hospitality” means the relationship between the host and the guest.
There is a whole branch of the hospitality industry that covers a wide range of businesses, but if you ask me, i would choose accommodation from any other profitable business ideas in 2019.
Why start a hospitality business?
Well, the hospitality industry is a more critical and indispensable activity on the world market.
The income from hospitality on a global scale goes up, and will not stop in due time.
Worldwide, only hotel industry revenue is up to $ 500 billion. It’s a huge number, right?
Since hospitality is the fastest growing business in the world, and that in every three seconds one person is employed, gives it enough importance as an industry that needs to be respected and, of course, invested in it.
The hospitality industry includes a lot of business, and these are the main:
- Accommodation
- Transportation
- Restaurants and bars
- Travel and Tourism
I am going to give you the top 5 business accommodation ideas to start in 2019 that includes lodging.
If you considered these business ideas to start in 2019, you would realize that everything you need to enter the world of hospitality is to have a love for that job and, of course, a little money to invest, all of this will pay off quickly.
If you read carefully what I will tell you, you will have a successful hospitality business.
Serviced Apartments as a business idea for 2019
This business is perhaps one of the most popular businesses today. Many of those who want to work in the hospitality business or accommodation are deciding for serviced apartments.
What are serviced apartments?
Serviced apartments are apartments that are fully furnished with furniture and offer short and long-term accommodation.
The suites have an equipped kitchen, bathroom, living area and bedrooms. The number of bedrooms is dependent on this is a large apartment, but it is desirable to have at least one bedroom that will be separated from the living area.
To avoid confusion, let me explain what the difference is between a hotel apartment and a serviced apartment.
The difference is that in serviced apartments the guests have more privacy and feeling like home. In serviced apartments, guests can prepare their own meals, unlike in hotels where it is scarce to have a kitchen in the apartment.
Why start a business with services apartments?
If you have always wanted to be part of the hotel industry and to welcome guests, this is an excellent opportunity to do this without having to invest a lot of money.
If you live or you are close to a tourist location, the best thing that can happen to you is to start this business. Tourists want to enjoy their vacation in a lovely apartment without spending a lot of money, and you offer it, of course, if you are doing such a business with a serviced apartment.
How to start serviced apartments or rental arbitrage business?
First of all, you need to love working with guests. In the hospitality industry that is all we do. We make guests feel comfortable and make them smile while they are in our accommodation.
Ok, if you love doing this business, next, you will need an apartment.
If you are going to buy a condo, make sure that it is on the right location. Location is one of the most essential things in the hospitality business.
The design of the arrangement of the apartment has a significant role in whether you will be successful in renting the apartment. So try to be with style and unique. If you do not know how to do it find a designer who will do the job professionally.
Once the apartment is completed, the next thing you need to do is photos. Photos are crucial for renting an apartment.
The other way to make this idea profitable is to try doing Airbnb Arbitrage, where you lease other people’s properties and rent them on Airbnb.
According to Sam Zuo, an expert in Airbnb Arbitrage, says that this is one of the most profitable business ideas for 2019 and can get you up to 6 figures with only a few properties. Negotiations with the landlord are crucial when making the lease contract, and that this is not a time consuming job since everything can be automated and outsourced, says Sam Zuo.
Bed and Breakfast
The word itself tells us what bed and breakfast means. It is a small type of accommodation that offers short-term accommodation with morning breakfast. The accommodation capacity is usually a house of four to ten bedrooms. Typically for the B & B is that the house is home to the owners.
The difference between bed and breakfast and hotel is the luxury and the price. In a hotel guest can get more luxury, but also pay a higher price for the same type of service.
Why start B&B?
Well, this type of accommodation even in 2019 does not require too much money to start a business. If you have a big house, and your bedrooms are unused, then why not earn money from renting them.
Guests are looking for accommodation for as low a price as possible, and yet receive service as in a hotel. That’s why this type of accommodation is perfect to offer overnight guests, but at the same time to make money.
How to realize this business idea?
As I said at the beginning, you first need to have a house large enough to have at least four bedrooms have a kitchen and a dining room where you can serve breakfast for the guests, and the most important is to be hospitable. That’s the key.
Equip the rooms with what is most needed, equip the bathrooms with enough towels, and hygiene. Buy enough bedding for the beds (I recommend white, for easier washing) and make a warm ambient throughout the house.
Hostel, a business idea that will attract younger population
The hostel is an establishment that provides short-term and long term accommodation with lower prices than hotels.
The hostel owner rent a bed in a dormitory room with shared bathroom. The hostel to have ranked as hostel need to have at least two dormitory bedrooms with six to eight beds, usually bunk beds. There should be dormitory rooms for mixed-sex but also rooms for one sex.
In the hostel, there should be private rooms with private bathrooms, and it is desirable to have dormitory rooms with three or four beds.
The difference between a hostel and the other accommodations are that the guest doesn't have much privacy.
It seems quite complicated, but it’s not.
Why start this kind of business idea?
It is an excellent opportunity for backpacker and solo travelers, because of the low prices compared to other accommodation facilities. And for this last few years, it is prevalent among young travelers. The guests in the hostels have the opportunity to meet new people around the world.
What do you need to start a hostel business
This type of accommodation requires a little more investment if you want to have success.
For a start you will need a big building with several big rooms where you can settle the beds. A reception desk, lobby and a place where the guests can have rest or playing games.
You’ll need to have lockers for every bed, that is where the guests can store their personal affairs.
Apart from the basic things each hostel needs, such as linens, towels, there may be additional amenities that you can offer free of charge to the guests or charge them. I am always on the first option — free of charge.
Get social games or games that can offer great entertainment to guests.
Do not forget to have free Wi-Fi, for young travelers it is vital for them to have access to Wi-Fi.
Make your hostel pleasant for friendship among guests. The design should be contemporary and unique. That will bring you more young guests, and that means more money.
Hotel, a future business idea
A hotel is a type of establishment that offers accommodation and other services short term. The hotel is more expensive than the hostel, b&b and service apartments, because of the service and amenities that it offers.
For this type of accommodation to have the status of a hotel should have a minimum of six rooms of which three should have a private bathroom.
There are different types of hotels, and every kind of hotel offer different service and quality for a different price.
Every hotel needs to have basic service and amenities like:
- Beds (single or double)
- Bathroom
- Toiletries
- TV in the room
- Telephone
- Reception desk
Hotels are divided according to the number of stars they receive from what kind of service and quality they offer to the guests. The hotel stars start with one and go to five.
For a hotel to earn five stars, need to offer very luxury service and also some extra special amenities.
Why start a hotel business?
There is no need for a particular explanation of why to start a hotel business. It is clear that the hotel business brings profits. Now, depending on what type of hotel you will begin to work, what kind of service you will offer and many more things will also depend on your revenue at the end of the year.
Trends show that running a hotel business is profitable, only if you work correctly.
What does that mean?
If you have not been in the hotel business so far and now want to invest in this business idea, but still have no experience, do not manage the hotel alone. Employ people who have experience in the hotel business, create a team that knows and wants to work in a hotel. And only then you will have a successful hotel business.
How this business idea to become a reality
Let’s be honest, to start a hotel business you’ll need money. Well, every new business required money.
But, there is always a way to have your dream business with less money. If you ever want to run a hotel, but you don’t have a lot of founds, you can start a small hotel business.
Yes, some properties are small but luxury, and that are the boutique hotels.
Boutique hotels are a small establishment that offers all the services and amenities that ordinary hotel can offer, but with much of taste in decorations and a little bit more luxury.
Why am I explicitly writing about boutique hotels?
Because the newest trends show that travelers would instead reserve a room in a boutique hotel, then in a hotel with 5stars. I will tell you why.
Boutique hotels have lower prices than hotels with 5 stars, for example, but the service that they offer is like in a luxury 5-star hotel.
I am mentioning luxury often, and that is with reason. If you start a boutique hotel, you need to know a little more about the necessary thing that this type of hotel need to have.
Boutique hotels are often located in the center of the city, or a very attractive location.
The style of this type of hotels are contemporary (which young people love that).
The guest in this type of hotels enjoys all the amenities for free.
The boutique hotels offer room service, mini bar, cleaning service, laundry service, etc.
Many of the boutique hotels have a Spa center and pool, and for sure that is a massive plus for the hotel.
Often these hotels are pet-friendly.
For all those reasons I will gladly book a room in a boutique hotel.
Resort
The most prominent type of all these establishments that offer accommodation and many other services.
The resort is a facility that provide full service for the guests. The resort hotels are located near attractive locations like a sea, beaches, mountains with ski parks, and the primary purpose for this establishment is to provide relaxation and recreation for the guests.
The resort can be a place, town or commercial establishment that can offer a relaxing, shopping, sport recreation, entertainment and everything that one person can ask to have in his vacation.
The differences between hotel and resort are the location, the services that provide both accommodations, activities included in the facilities and the recreations.
Why have a hotel resort?
The same as the other reasons for hospitality facilities, love for hospitality and profit. To be an owner on a resort, you need to know how to manage effectively. If you want just to invest in this kind of business and to hire managers to do the job, that will be the most perfect investment in your life.
The most essential thing in the hospitality business is the experience and knowledge of how to manage the property.
How to choose the perfect resort for your investment?
Location. You must find the perfect location for the resort. That is the crucial thing.
The typical things for successful hospitality business ideas
All hospitality facilities which are intended for providing guest service have some standard rules that need to be met, to have a successful business.
And for every business idea to be completed have to follow the steps of the market.
Before to make the investment in any kind of these hospitality businesses you need to have a business plan, which will be your guide along the other things.
To have leading business in hospitality must choose the perfect location for your accommodation or resort.
Choose the right target market. No matter which hospitality business idea you will choose to invest, selecting the right target market is, and it is a prerequisite for a successful business.
When you already have a property, now it is time to attract guests. The property needs to be seen by the guests. Nowadays, when technology is on our side, it makes things more straightforward than ever before. And the Online Travel Agencies do with their work make hotels to have more guests than ever.
To have a website for your hospitality business is essential. Without a website, your business will not reach the desired success.
Photos are also crucial in the hospitality business. The guest wants to see where are they going to book a room, apartment, etc. Hire a professional photographer to have professional photos of your property.
After everything is setup don’t forget to submit your Hotel, Hostel or any kind lodging property to the trending Online Travel Agencies for 2019 for further revenue.
I hope these hospitality business ideas will help you this year to start a business that you always loved.
Hospitality is everything about the guests.
My advice plus:
Never offer anything you do not have in your accommodation capacity.
Be real and kind with the guests.
Do not sweep fake photos on your website or on the go, it will never be in your favor.
No matter how many stars has your property, always offer a 5-star service.
Be better than yesterday, go ahead with vision, always upgrade yourself. It is the key to success in any business.
