Managing a hostel can be a bit tricky at times especially if you’ve just ventured into the service industry. And creatively increasing hostel profits can seem a task too tedious and monumental. But, in reality, all it can take is making small smart extensions to your services. You won’t just garner a profit, but also satisfy the needs of your target demographics (mainly millennials where hostels are concerned). After all, it all boils down to them. Want to know more about these extensions? Here are some ways to make additional income as a hostel.
You may use one, or even all of the strategies that we will mention. Choose whichever, apply them, and watch your profits grow over time.
Use Your Space To Host Events
What do you do with your dorms during the off-season? We hope you just don’t shut them and leave your rooms at the mercy of termites and dust. In fact, use the off-season as an opportunity to attract new customers to your hostel. This is one of the best ways to make additional income as a hostel. Events such as standups, or musical evenings have a high impact on millennials, so use the best part of your premises for this. You could also go beyond and fit appropriate lighting to enhance the mood of the property. Once you get the hang of hosting, you could tie up with bigger brands and reel in even more customers than before. But for now, try focusing on hosting small events and progress from there onwards.
Offering rentals is one of the innovative ways to make additional income as a hotel. Here, you’re making things even more convenient for your guests by eliminating their trouble to search for transportation from other sources. Some places that offer rentals tend to overcharge tourists for bikes that aren’t even worth the price. Offering rentals makes their experience bitter since their money should be spent more on other activities, not just on travel. Renting cars, bikes, and bicycles at affordable prices won’t only save your guest’s money but will also leave a memorable impression on them. They will be drawn towards your hostel the next time they arrive and might even recommend your services to friends and family. In the end, it’s a win-win situation for everyone.
Organize Activities In Or Around The City
Visiting a new destination is overwhelming. Especially, for those who aim to cover a substantial number of activities surrounding where they live. A great way to help them out is by offering a helping hand in the form of activities, especially since adventure activities are looming on the horizon.
Start organizing treks, paragliding opportunities, intercity bus tours, and bike tours as an extension of your accommodation package. You could also combine these extra services with the accommodation price and offer discounts. This is a great strategy to encourage independent traveling since all services are offered under one roof, making their stay in the city even safer and hassle-free. Plus, your guests save up on time they would’ve spent searching for these activities elsewhere and with other organizations. They now have more time enjoying the wonders of the state rather than searching for packages that’ll offer them the best deal.
Open A Café
When anyone wakes up from a good night’s sleep, the first thing they want is their morning tea or coffee. Even after a day’s worth of exploring, there’s no better feeling than having some light snacks accompanied with a warm beverage. A small café having a few local snacks along with some beverages is another great strategy to make your guests recommend your hostel even more.
Here, the key element is to keep it simple! Don’t overdo it. Serve a combination of sandwiches along with some varied teas and coffees. That is more than enough. The more dishes you have on the menu, the more resources and manpower you’ll require. Looking from an economical standpoint, you’ll be spending more on your café than your hostel. You don’t want that to happen, so always focus on primary needs even when thinking of ways to make additional income as a hostel.
Offer A Membership
To increase your chances of winning the hearts of new guests as well as old, consider offering a membership. With the incentive of a membership to stay at your hostel, you can boost the number of guest bookings. By having a high hotel occupancy rate you are ultimately paving ways to make additional income as a hostel. Once the membership picks up pace, you will also have guests that stayed with you before referring the offer to more travelers.
At goSTOPS we’ve also taken up this idea and launched the Dream.Invest.Travel Membership. The membership also serves a bigger purpose which is to make travel affordable for all kinds of travelers in the community who are all set to travel post the pandemic. Memberships are also a great way to provide your guests with irresistible offers that get passed on via word of mouth. Ultimately building your brand credibility and having great occupancy.
You now have some of the best ways to make additional income that will benefit your hostel. Most importantly, have a team with innovative minds to help you in this journey. They’re your backbone, so listen to whatever input they’ve to improve the quality of your hostel. A robust team along with these strategies suggested will surely make you stand out among the rest!