Hotel room prices are very low in the city, must not be random investment


The overall hotel price is very low in the city, must not be over there.Do the hotel can be said to buy low and sell high, you put the house rented at the lowest rent, after decoration has single rooms at the highest price to sell out, the profit generated is the profit of the hotel investors.But if you sell at a very low price, then you do the business, its cycle is stretched out, the overall profitability is very poor.Why are hotels selling for so little?The following points are summarized: First, supply exceeds demand. When all competitors open shops near you, they will either compete with each other in product strength or price. The final result is that everyone’s products are almost the same, but the price keeps falling, which is irreversible.For example, just like Sanya in Hainan, the rent is generally high, and the selling price is 70 to 80 percent in the off-season. This kind of business is very risky.So choosing a hotel depends not only on the cost, but also on the seller’s bargaining generated by it. Only when these two reach the optimal value, can your return on investment be proportional to the higher and higher.Follow me to share dry goods knowledge that hoteliers can understand.

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