Self-contained and fully furnished, serviced apartments are designed for short term to medium term stays with all the facilities and fittings you need for an extended trip away from home. In addition, serviced properties give a more homely feeling because of the space they offer guests, with separate living and sleeping areas. However, space is not the only advantage to serviced apartments.
With many companies looking to reduce their travel budgets, serviced apartments can offer considerable cost savings compared to stays in traditional hotels. With today’s trend of outsourcing and off shoring business services, offering short-term assignments and fixed term contracts, serviced apartments are a real alternative to hotels for short-term stays for the corporate traveller. The cost-effectiveness of serviced apartments attracts corporate clients and is one of the reasons why the market for this type of accommodation is growing steadily. Not only is the rental price for these apartments lower on average than a corporate rate for a hotel, but the incidental business costs are substantially lower too.
The most notable savings on these extra costs results from the absence of restaurant bills, room service charges and bar tabs. Serviced apartments have a kitchen as standard so that guests can cater for themselves. This means that guests pay supermarket prices for food instead of marked up restaurant prices, and of course, there are no service charges for the company tab. For a family on vacation, costs saved on eating out for every meal are substantial. In all cases, every coffee, juice or beer consumed costs far less than it would on a bar tab. Entertaining business clients in a serviced apartment, instead of a hotel restaurant, can also amount to savings for the company, as well as perhaps providing a more informal atmosphere for discussions.
Another cost saving factor is that serviced apartments include laundry facilities, eliminating the need for external laundry services and the associated high costs, as is the case in hotels. Telephone and internet costs contribute to the total financial savings too, as rates for calls and internet access tend to be cheaper than the average hotel offers. Serviced apartments do not have to cover the same salary outgoings as a hotel does; there are no costs for chefs, kitchen staff, laundry staff, room service, bar staff and waiters. The overheads for a serviced flat are considerably lower. There are also no running costs for communal facilities such as the restaurant, bar and meeting rooms. The guests see the results of these savings on overheads and salaries.
Multiple occupancy of a serviced apartment also offers major savings for either business or leisure travellers. Colleagues or family groups sharing a two or three-bedroom apartment with en-suite facilities do not sacrifice their privacy, but the total bill for two weeks will be dramatically less than two or three hotel rooms for the same period. In addition, serviced apartments often offer an additional pullout bed in the living area to put up the occasional guest as required, incurring no extra cost as is the case in a hotel. For corporate clients flying in an additional resource for a couple of days this already amounts to a considerable cost saver.