In recent years, the serviced apartment industry has grown steadily. It was reported by the Association of Serviced Apartments that overall occupancy increased 2% up to 78% and net weekly rentals increased by 3% in the UK.
Despite its continued growing popularity, to the hotel industry’s detriment, luxury serviced apartments are a novel idea still for some consumers who aren’t even familiar with what they are and the ways they differ from staying in a traditional hotel. To simplify things here is a simple definition – a service apartment is a kind of furnished apartment that is available both for long-term and short-term stays, which offers amenities to be used on a daily basis. That sounds a lot like a hotel doesn’t it? Actually, the differences are quite large, with the major ones being amenities, length of stay, price, privacy, and space.
At times we take our home environment for granted; having the ability to relax and making the most out of our own privacy and space. Business executives who live out of their suitcase while travelling continuously and staying every night in a hotel will really appreciate this luxurious option. The aim of serviced apartments is to offer a home away from home type of environment. The average hotel room has a bed, bathroom, telephone, TV, tea and coffee facilities, and if you are lucky maybe a biscuit; these rooms can feel quite isolated. With an apartment, you can close your door, take your shoes off, and then relax and watch television in your private lounge or cook something tasty in the kitchen. It can be quite lonely to work away from home, especially at night after the working day is over, so you want to be comfortable within your own environment and be able to do the same things that you could do if you were at your own home.
What is the Price Difference Between Hotels and Serviced Apartments?
One of the biggest differences between serviced apartments and hotels is the price. There is a very big preconception that when compared to hotels that serviced apartments are very expensive and that they are for only the elite. However, this is not true. Serviced apartments, on average, are 30% less expensive compared to a hotel stay. Then there are all of the added benefits of the various comforts that are provided by guest services with a home away from home environment.
The typical cost of staying one night at a four-star hotel is £85+, compared to £70 for an apartment. So there really isn’t a big difference, but what do you receive for this price? The hotel price will give you a bedroom, bathroom and some basic amenities and entertainment along with using some facilities that the hotel provides. The serviced accommodation price, in comparison, includes a full apartment, and typically is comprised of two bedrooms (which will be available for as many as four individuals), a kitchen, two bathrooms, lounge, and home away from home amenities, modern facilities and conveniences, entertainment and of course guest services as well.
Length of Stay and Price
The greatest difference in price is when you consider the length of your stay. If you are going to stay in a temporary place for a couple of nights or months the price of staying in a hotel can really start adding up. Typically serviced apartments offer flexible price ranges, which will depend on the length of stay and are therefore negotiable for various budgets. There are also short- stay group bookings that are available when there are a large number of people that will be staying at apartments in the same general area that can be obtained at a much lower price.
Small luxuries, like an entertainment system, a fully equipped kitchen as well as modern conveniences, are some of the greatest advantages that come with staying in a service accommodation. Being able to prepare and cook your own meals might sound like a small thing, but that is actually a major cost benefit to it. You can avoid having to eat at a restaurant or the hotel every day, and will provide you with much more flexibility. Most service accommodations also offer the latest modern conveniences and entertainment systems, including docking stations, DVD players, WiFi internet and satellite televisions. Serviced apartments, like hotels, offer guest services in the price, which includes turndown and cleaning services.