Without an inch of doubt, the choice of location for a new hospitality business has a strong impact on its long-term success. For this reason, you need to be informed about how your potential choice of location; will affect overall costs, guest impression, and long-term profit.
When choosing your location, it is ideal to follow these required steps:
Know your budget
You should have an estimate of what it will take you to start-up. You have two options. Either to start building from scratch or to take-over an existing hotel? Analyze the cost for each one and pick the one that matches your budget.
Have an expert support team
It is very important to surround yourself with a set of professionals who can assist you throughout the process. This support team should consist of commercial real estate agents, business/property lawyers, a chef or restaurant consultant, and an accountant. If possible, have an architect or a contractor with you as well to help determine accurate renovation costs based on the space.
Identify your accessibility and traffic
When reviewing a potential location for your hotel, make sure to analyze the accessibility from different streets, directions, and intersections. And never fail to consider the amount of traffic flow in the area.
Know your competitors
When siting a hotel, you need to study the locality and know those who will likely be your competitors. This will help you to properly strategize your planning to make you have an edge over them.
You might find out that your potential competitors lack in some hotel features like Gym Centre, Swimming pool or Event Hall, it’s an opportunity for you to get ahead of them. With the right innovative mechanism, you can surpass your competitors and generate a high return on investment in no time.
See also: How to Start a Hotel Business