Bed and breakfast owners have carved out a very competitive portion of the $2.3 trillion lodging industry for themselves—collectively bankrolling around $3 billion a year. Owned almost exclusively by families, B&Bs are recognized and remembered for superior service and unique atmosphere, giving new entrepreneurs without an established marketing presence the chance to break into a market. B&Bs have long been a smart investment in the right markets, and 2018 is shaping up to be one of the most prosperous years yet for B&B and boutique lodging—and here’s why.
Millennials Are Picking B&Bs
While some say millennials are killing industries such as casual dining and golf, the travel industry has never been in better shape thanks to young, newly employed adventurers. Millennials make up nearly a quarter of the population—just as large of a population as baby boomers—and are looking for unique travel experiences.
B&Bs are a great value for millennials traveling on a budget. One fee warrants a roof, food, and most importantly, an adventure. B&Bs inherently offer a quaint, unique stay complete with the personal touch—akin to staying with a friend. From the fruit bowl on the table to family pictures on the mantel, B&Bs give visitors an immersive experience to remember.
The Power of Recommendations
The travel industry is experiencing a bit of a sea of change lately—people trust their friends more than they trust traditional advertising. Studies show that travelers will overlook a notable brand name, and even a low cost, in favor of a positive recommendation. One survey found that 76 percent of people ranked recommendations as their primary consideration when booking lodging. The same survey found that over 75 percent of people do their own travel planning, so B&Bs that offer notable experiences will stand out when it comes time for individuals to make reservations.
The Added Value of B&Bs
B&Bs are emerging as viable lodging options due to their inherent value. When travelers book a B&B, they don’t just get a bed—their reservation is complemented by various invaluable amenities such as homemade food, free Internet, and, most importantly, a hospitable staff.
The significance of a personal connection with guests is invaluable—travelers will seek out a B&B due to its reputation, so if the owner can offer an exceptionally friendly stay, their property will stand out.
About the Author
Bruce Hakutizwi is the U.S. and International Business Manager for us.businessesforsale.com. Bruce is passionate about helping businesses succeed in niche industries and regularly shares his expertise about entrepreneurship and business growth.