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AirAsia Targeting Low Cost Budget Hotel Market

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Posted: 12 Nov 2009 | 9:29 am

Tune Hotels which is the budget hotel brand heralded to change the way people think about low cost hotels has announced aggressive development targets including Thailand. The company which which was founded by the airlines CEO currently has operating hotels in Malaysia and Bali.

Recently Mark Lankester who is CEO of the chain has been quoted as saying there are plans to have over 60 properties over the next 5 years with Thailand named as a critical target for multiple properties. Room size is a spartan 12 square meters and pricing is set in levels according to add on's in a similar fashion to the airline's model.

Budget hotels are currently a buzz word, given the global recession, spawn of luxury guilt and perhaps travelers who will be tainted for the next decade in changing consumer patterns which are leading to greater cost awareness; are now cutting spending whenever possible without sacrificing the all important ability to travel.

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THIS HAS HAPPENED ALL OVER EUROPE WITH THE ACCOR GROUP TAKING THE BIG SLICE OF THE MARKET . AIR ASIA AND THE TUNE HOTEL CHAIN ARS FOLLOWING SUITE IN ASIA. BEWARE PHUKET HOTEL CHAINS IF YOU WANT TO COMPETE YOU BETTER GET YOUR ACT TOGETHER AND START WITH GIVING THE TOURISTS BETTER VALUE, THESE HOTEL GROUPS HAVE MASIVE MARKETING BUDGETS. DONT FORGET THE CUSTOMER IS KING.

JOHN DEVENPORT, 16 Nov 2009 | 12:23 pm

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