The marketplace for travellers searching for cheaper lodging as they journey the globe is booming. Safestay is hoping to capitalise on that progress.
Hostels operator Safestay is planning to double its portfolio throughout Europe over the subsequent few years, in accordance with a report in The Occasions.
Chairman Larry Lipman is reported as saying the corporate ought to “simply be capable of double over the medium time period, which is about three years”.
Presently it runs 20 hostels throughout Europe, together with within the UK the place it owns and is chargeable for the freehold of 5 hostels. It additionally has one freehold hostel in Italy and 5 in Spain whereas the remaining are run on a leasehold foundation.
The corporate is already reaching out to potential hostel operators by way of a franchise supply. Lipman was quoted as saying: “They offer us the prospect to safe different websites with out the necessity for large fistfuls of {dollars}.
“If we can veer away from shopping for the buildings we are able to get extra flags within the floor and a bigger income stream with no capital requirement.”
Though Europe was nonetheless the group’s “instant taking part in area”, Lipman identified that “the expansion in Asia and potential in america will not be misplaced on us”.
The worldwide hostel market is attracting extra customized as budget-conscious travellers look to expertise completely different international locations inside a extra sociable group environment than is present in lodges.
The worldwide hostel market is ready to be price round $12.1bn (€11.6bn) by 2033, in accordance with Safestay, quoting Hostel Market Outlook 2023 – 233, Future Market Insights.
