With spending by “young overseas tourists” expected to rise from $230 billion in 2014 to $336 billion in 2020, the world’s largest hotel company wants a piece of the action.
Yet, Millennial travelers don’t have the disposable income to stay at even Hilton’s mid-range brands, like Hampton Inn, not to mention its luxury properties, like the Waldorf Astoria. So what’s a global hotel juggernaut to do? Build shittier hotels, I guess.
Hilton, owner of the Waldorf-Astoria and Hampton Inn brands, aims to meet increasing demand by young travelers seeking no-frills, affordable lodging. Large hoteliers face increasing competition for budget accommodation from online providers such as Airbnb Inc. The brand would offer “hostel-like” accommodation for younger guests, with lower prices and less service, Nassetta said.
A no-frills, hostel-like hotel chain that will try to compete with hostels and Airbnb? This I gotta see.
h/t: Bloomberg News