Would you buy this?

killmeplease

Senior member
Feb 15, 2001
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I have to stay at a hotel for a while out of town and I'd like to have web service while I'm there. This has got me thinking about a business oppertunity. Please tell me your thoughts.

I like to approach a hotel or chain of hotels and offer to provide internet service to their guests. This would be based on their existing pay-per-view business model. It would be a wireless network and involve very little destructive retrofitting. Probably less than a phone system upgrade while avoiding a substantial phone upgrade.

I would provide:

1. A "web station" in every room separate from their phone and TV system. (15' LCD with toch pad or touch screen)
2. A "web station" in public areas such as pool, gameroom, lobby and bar.
3. A station at the service areas of the hotel (housekeeping, maintenance, lobby and kitchen).
4. A network connection and email service to the hotel and/or chain.

The room stations would include:

1. A "banner type" of web service.
2. The ability to order hotel services
3. The ability to connect directly to affiliated local services such as taxi, restaurant reservations and local attractions.
4. The ability to make reservations to chain hotels and other affiliated travel services such as air and rental car.
5. Filtering for the kiddies
6. Pay-per-game entertainment
7. Messaging service

The public areas would have all the above except direct web access while dispalying outside ads, ads for hotel services or general hotel info while not in use.

The service area stations would recieve orders from patrons and messaging to the patrons and employees to provde services.

Employees could communicate via PDA from any point on the grounds.

Patrons could order or schedule services with out waiting on hold and employees could schedule services without putting patrons on hold. You could order a pizza for the kids by the pool. Bar tenders could order a taxi for a couple to go to dinner without inconvenience to either the employee or patron.

I would recieve:

1. All advertising revenue.
2. A commision on all purchases made via the system
3. Fees that would normally be incurred by using an internet communication and data network for outside communication to company WAN.
4. The hotel would be charged for damage incurred unless normal wear & tear. (They would be the guardian of the system)

My question........................Would you buy it or at least consider it?

Any ideas?

 

pulse8

Lifer
May 3, 2000
20,860
1
81
I don't own a hotel, so I can't say that I'd buy it.

But I'd stay at a hotel that had one. :)
 

hx009

Senior member
Nov 26, 1999
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Just curious: what market/city would you be doing it in? It'd have to be in a well travelled metropolitan area with lots of business travellers I'd think...

p.s. Yah, I'd stay at a hotel that had something like that. The only thing I'd add is a keyboard option. It'd be alot more useful to be able to check email and so forth.
 

dude8604

Platinum Member
Oct 3, 2001
2,680
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That sounds like a good idea, but I think it would cost a more than you think it would.
 

pulse8

Lifer
May 3, 2000
20,860
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<< Would you pay an "invisible" $3-$5 charge for it if you were a business traveler? >>


If I were a business traveller, chances are I'd have a laptop. I would pay extra to connect my laptop to the network, but if I didn't have a laptop, then I would only find your solution useful if it had a keyboard so that I could do e-mail.
 

killmeplease

Senior member
Feb 15, 2001
972
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OK. You still have your laptop, but you now have access.

It would strictly be business type of markets. Any advertising and business affiliations could focus their efforts on this segment.
 

chickenhead

Banned
Jan 21, 2002
227
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anyone who is sophisticated enough to want to interact with computers even on vacation would already have their own notebook

anyone who doesn't have a notebook would be scared by the technology

so I think this idea would bomb bigtime
 

bunker

Lifer
Apr 23, 2001
10,572
0
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99% of business travellers that require net access have their own laptops. Any decent hotel already has network access points in the rooms (the last Marriot I was in had 3). They charged $10 a day for high speed net access, which is a covered business expense so the travellers don't give a hoot about the price.

For individuals that need it and don't have a laptop, the hotel has a business center with several pc's connected directly to the 'net for a couple bucks an hour.
 

killmeplease

Senior member
Feb 15, 2001
972
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<< That sounds like a good idea, but I think it would cost a more than you think it would. >>



If it costed a million dollars for 500 rooms, you need approximately $5.50 per night based 100% occupancy to break even.
 

killmeplease

Senior member
Feb 15, 2001
972
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That's why I would incorperate normal hotel functions and outside affiliations. This isn't just web access. I would also be recieving fees that hotels normally incur. This would allow me to get an already money-making sector while selling more while my foot is still in the door. The hotel gets ONE bill for the works.

<< 99% of business travellers that require net access have their own laptops. Any decent hotel already has network access points in the rooms (the last Marriot I was in had 3). They charged $10 a day for high speed net access, which is a covered business expense so the travellers don't give a hoot about the price. >>

 

Cooltech2k

Banned
Feb 9, 2001
2,001
1
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I Think It Sounds Like a Good Ideal.... But as Far as Trying it I Would Sudgest Las Vegas.... Due to All The Conventions There is a Business Need & Due tot he Genreal Tourisim That WOuld Give You Exposure to other People Also...
 

johneetrash

Diamond Member
Jan 3, 2001
3,791
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<< I Think It Sounds Like a Good Ideal.... But as Far as Trying it I Would Sudgest Las Vegas.... Due to All The Conventions There is a Business Need & Due tot he Genreal Tourisim That WOuld Give You Exposure to other People Also... >>



are you drunk? You Dont Need To Capitalize Every Word And You Could Spell Suggest Right :)
 

killmeplease

Senior member
Feb 15, 2001
972
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Service is the number one point.

You check in and your remote needs batteries. You set down you luggage, and notify maintenance via your station before you leave to the bar.

While at the bar you see an add at the another point for a restaurant (affliated and advertising $$) and make reservations by clicking a few things. Your bartender orders you a cab (affliated and advertising $$) by his station.

You pay you bar and services ordered while you are away by swiping your room key at the station.

The hotel fvcked up and only gave the two of you one bed. You order a roll-away or have your things transferred while sipping a 7 & 7 downstairs.

You come back from dinner, check your room staus at the lobby station and you find you have go to the desk to get the room key for the room that your things have been moved to (with 2 beds & new batteries in the remote control).

No time waiting. Seamless.
 

bigrash

Lifer
Feb 20, 2001
17,648
28
91
Whether a business or personal stay at a hotel, I would definitely buy that service for about $3-$5. Internet connection is one thing I miss when I'm not home or in college.
 

chickenhead

Banned
Jan 21, 2002
227
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I don't know that the savings brought about by web-based ordering could justify the infrastructure or customer costs.

If it costs me $5 extra to order using a computer, and if it costs me nothing to just pick up the phone and order, what do you think I am going to do?
 

killmeplease

Senior member
Feb 15, 2001
972
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<< I don't know that the savings brought about by web-based ordering could justify the infrastructure or customer costs.

If it costs me $5 extra to order using a computer, and if it costs me nothing to just pick up the phone and order, what do you think I am going to do?
>>



What if it's easier to do so, the $5 is over several purchases, you may only pay $3 and sombody else pays $10, you don't have to wait for a person to screw it up because they forgot what you said and you are a business traveller?
 

chickenhead

Banned
Jan 21, 2002
227
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<< What if it's easier to do so, the $5 is over several purchases, you may only pay $3 and sombody else pays $10, you don't have to wait for a person to screw it up because they forgot what you said and you are a business traveller? >>



I don't see the value proposition.

First and foremost, I disagree that using a computer interface to place orders is easier than using a phone. The phone interface is more than a century old and is familiar to everyone, young and old. GUI's are less than 3 decades old, and still unfamiliar and scary to many people.

As for the order getting screwed up, it is the personnel's job to not screw up my order. I should not have to pay extra just to get them to not screw up. If my order is screwed up, I don't tip. If my stay is very unpleasant, I never go there again. Fulfillment is the hotel's job, I shouldn't have to pay extra to get it.

Besides, if an idiot is serving me, he'll find a way to screw things up regardless of how my order reaches him.
 

kgraeme

Diamond Member
Sep 5, 2000
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Already been done. Every industry article I've read about hoteliers that have partnered with a specialized ISP have experienced extreme cost and support issues. It's a great idea in concept, and when it works I love it, but in practice it's generally been a failure.

You have issues of bandwidth, firewalls preventing people from accessing what they want, or in your case, terminals that are so limited they don't provide anything near the facilities that business travelers need. Business travelers need to have real network connections for their own computers, they need to be able to directly access their Exchange server or use a Terminal Services client to get their office desktop, and all sort of other particular "needs". When you start getting into that level of complexity, support calls go up and profitability goes down.

The limited terminal idea is more commonly being implemented through a TV interface, providing access to hotel services and in some cases specialized internet access.



<< I Think It Sounds Like a Good Ideal.... But as Far as Trying it I Would Sudgest Las Vegas.... Due to All The Conventions There is a Business Need & Due tot he Genreal Tourisim That WOuld Give You Exposure to other People Also... >>



It's already being done in Vegas. One of the hotels that does it (Aladdin) has declared bankruptcy. I can't really say their bankruptcy was caused by the Internet access, but it's one more negative on their balance sheet. Of course, the Treasure Island hotel also offers high speed internet and they're doing great. Being financed by MGM helps.
 

killmeplease

Senior member
Feb 15, 2001
972
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I understand the TV interface model. Hate it. This would be something additional for the patron, not just a TV enhancement.

Most everything is done within the hotel network. Very little outside. All commerce directly marketed would be cashed in local, so security would be less a risk than web commerce done by most of us now.

I know I'm "preaching to the choir" about the web access stuff, but what about the sales for the hotel (and me) and the convenience?

I travel alot. Normally not longer than a day or two, but I hate arranging for room maintenance, reservations and browsing local sh!t just to find a decent place to eat. I hate having to wait on hold just to tell some punk I'm going to return my rental car an hour late. I don't want to wait in my room for a burger from room service, just so I can retrieve my wallet and give the poor SOB a $2 tip. I'd rather include it in my order and wait by the pool where I'm gonna eat it anyway.

I just want to leave the order and go. I don't think I'm alone. :)
 

chickenhead

Banned
Jan 21, 2002
227
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<< I just want to leave the order and go. I don't think I'm alone. :) >>



All this would be nice to have if the hotel provided it for free, but I don't think anybody would pay extra out of pocket to receive the good service to which they feel entitled in the first place.
 

kgraeme

Diamond Member
Sep 5, 2000
3,536
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Hey, far be it from me to say you shouldn't give it a try. If you can come up with a solid business plan which includes infrastructure/support costs and a good profitability margin, and can find a hotel to pilot it, give it a go.

I won't pay more for it though. What you describe should just be part of the hotel services, and it shouldn't be something that makes hotels raise rates. If I'm going to pay anything extra I personally want wireless broadband. Even wired broadband is okay.
 

killmeplease

Senior member
Feb 15, 2001
972
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I appreciate all your thoughts. I always keep my eyes open for oppertunity. Alot of people on the forum travel like me and this thing got me thinking. I think it could be a good idea and I thought I'd think out loud.

Thanx
 

killmeplease

Senior member
Feb 15, 2001
972
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BTW...........I could see where Vegas would really love it. Can you imagine the casinos letting somebody transfer money from their bank account to the casino with out having to miss a hand? LOL