Europe turns to budget hotels for premium experience at lower cost

17th Sep 2009
Europe turns to budget hotels for premium experience at lower cost

Samsung Electronics Europe, the leader in flat panel televisions, has today announced the findings of a new research project looking at consumer spending habits in hotels across Europe.  The research examines the factors that matter most to guests when booking a hotel room and demonstrates that the recession has led to a renewed focus on quality of experience as well as cost – making Europe’s budget hotels ideally placed to prosper during the downturn.

The research, which surveyed five thousand consumers across Europe*, found that 39% of respondents were becoming less convinced about the added value of premium hotels.  Whilst 87% pay less than €120 per night for their stay, whether business or leisure, almost one in three (29%) said that they considered staying in budget hotels to be a great experience.


Pammi Mudhar, B2B Sales and Marketing Director at Samsung Electronics Europe said: “Our research highlights the importance of guest experience in today’s value-driven marketplace. Hotels that can offer a home-from-home experience with stylish design and innovative technology are ideally placed to capitalise on the new cost-conscious consumer.”



The opportunity for hoteliers is highlighted in the frequency of travel and amount that respondents are prepared to spend on hotel rooms. Despite the recession, 70% of UK respondents said that they stay in hotels at least six nights per year, with 26% staying for 17 nights or more.


Vanguelis Panayotis, Director of Development from MKG Hospitality added: “Our most recent Hotel Industry Trends report demonstrates that budget hotels have felt the effects of the recession significantly less than their upmarket competitors both in terms of customer numbers and revenue per room. Value is the key decision maker for today’s guests, whether they’re travelling for business or pleasure, and budget hotels are ideally placed to benefit from it.”


Samsung’s research also identified which factors and services are most important to travellers across Europe. 81% said that cleanliness was a crucial part of their decision-making process; 55% named a comfortable bed; and one in ten insisted on a home-from-home TV experience. In addition, 46% of Germans were not prepared to compromise on the quality of breakfast/dinner, while 33% of Italian and 17% of French respondents named customer service as their top priority.


The research also asked what single factor would deliver the greatest ‘upgrade’ experience.  WiFi was specified as a key influence in Spain (16%) and France (18%), while in Italy 15% said that luxury toiletries would have the biggest influence on their impression of a hotel. For 22% of UK respondents the size of the room came top of the list, with 19% voting for a stylish interior. An active 17% cited the presence of a swimming pool, while 13% said that a flat screen LCD or plasma TV would make them feel like they were in a top of the range hotel.


The findings support Samsung’s 2008 research, which showed that one in five hotel guests will demand an upgrade or switch to a different hotel if the in-room entertainment is poor.


Mudhar continues: “High-quality services and features give the impression of luxury in a hotel. By offering the latest in-room technology budget hoteliers can give their customers a first-class experience that will help build loyalty and ultimately drive repeat custom.”


Samsung’s range of Hospitality TVs combines design and functionality to meet the high standards guests expect in any hotel, creating a home-from-home experience. The range is designed to be easy to install and operate for hoteliers while also offering the aesthetic values and intuitive controls that guests expect from the Samsung brand, creating a best-of-breed experience at a reasonable price.


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