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Concept of Micro Stay

Saturday, December 17, 2016, 11:41 Hrs  [IST]

It may raise mistrust in your mind if somebody walk in to your reception asks for a room for few hours. But it should not be misapprehend for any romantic purposes. There are many business travellers and pilgrims seeking for a room for few hours to meet their travel needs.

Micro stay
The concept of providing hotel rooms on hourly basis is called micro stay, this may also be called as day stay, hourly stay, day used stay and capsule stay. This concept is well accepted and overwhelmed at western counties and USA. This concept is also getting popular in countries like India, China, Indonesia, Canada and also expected to get popular in geographically bigger countries and developing nations.

Suites for business travellers & pilgrims in India
This concept works better for the business travellers who travels same day back to the starting destinations. These travellers normally travel to the metros, Tier II or Tier III cities in India for a few hours meeting. Any hotels located near airport or at business hubs can offer these facilities to the travellers who are willing to spend few hours to freshen up before going for meeting or to pilgrims for few hours to rest before they go for next Dharsan. These guests are happy to get the star category hotel rooms at an affordable price instead of waiting in an airport or any other places by not taking rooms because it is expensive for few hours stay.

Few hotel sites are offering this facility internationally. SliceRooms. com is the hotel website emerging in India to offer this service to cater to the business travel segment and pilgrims segment. These rooms are normally sold at discounted and competitive affordable price from the rack rate. These hotels or these rooms at time act as an alternate for their office. Many hotels in Europe and USA follow this concept to increase their room revenue.

Good concept for hotels to increase revenue
A lot of hotel research scholars and analysts mention that hotels need many ways to boost their revenue in order to achieve their bottom line which is ever declining hence they have started renting their rooms two times which are called micro stay.

Maha, one of the top executives of a media firm takes early morning flights to Mumbai to meet with clients or some time to conduct interviews. She doesn’t take rooms often because of the cost of the room which is quiet expensive, and she has expressed her gratitude on the micro stay concept. And she schedules her meetings mid morning so that she can take a nap, and use well cleaned rest rooms before go for a meeting. Also a V P Operation of one of the leading five star hotel chains in India says, “Customers are given the option to rent out for few hours while transiting and this will lead to increase in top line of the hotel and bottom line as well.”

Powerful sales tool for hotels
This is definitely one of the powerful sales tools for hotels as they can attract more customers by selling rooms two times in a day. It enables them to increase their room revenue. Hotels can offer minimum of two hours and maximum of eight hours, by charging extra for each hour stayed. If customer wants to stay more than 8 hours then it is sold as full day.

All hospitality consultants and GMs of the hotel who are trying hard to increase their sales, micro stay is one of the best and powerful sales tools for hotels to increase their revenue. It is observed that in Europe and some of the destinations in the US nearly 40% of bookings are last minute check-ins for an appropriate duration of less than six hours.

Hotels have understood the importance of this tool and have started offering micro stay.

The views expressed within this column are the opinion of the author, and may not necessarily be endorsed by the publication.

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