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Millennials Demand a Change in Hotels


 For a long time, hotels throughout the country focused on larger and more lavish rooms as a means of drawing in customers but today, a significant number of guests want something different. Although there will always be need for large luxurious rooms, millennials are most interested in hotels with smaller rooms but bigger social opportunities.

Change in Demand

During the 1980s, the mindset was the bigger the better but now, a new group of people has surfaced with a brand new outlook on life. Millennials, want hotels in urban locations that offer affordability, comfort, and nearby social experiences.

A lot of millennials are business professionals who conduct both personal and business dealings on cell phones, they prefer driving electric cars over gas polluters, and they lean more toward healthy eating. Millennials are also drawn to downtown locations that offer “walkability”.

By listening to new demand, executives with top hotel chains to include Hyatt, Marriott, and Hilton are developing smaller rooms but also properties with large open lobbies, smart solutions for door keys, reservations, and televisions, and even healthier food options.

New Hotel Options

Many top hotels are developing new brands. For example, the Hyatt offers the Centric brand, the Marriott both AC and Moxy brands, and the Hilton has the Canopy brand. Although each of these hotel brands is different, they share many of the same concepts to include incorporating designs from local styles and artists.

Millennials are without question the fastest growing group of travelers but instead of more traditional accommodations, they look for smaller rooms and better social opportunities that accommodate the work/play lifestyle. Millennials also look for very specific features such as high-technology.

A prime example of how hotels are changing to meet demand of millennial travelers is seen with the Moxy brand developed by Marriott. Although the size of rooms is decreasing to about 200 square feet or less, guests of the hotel are gaining convenient fold down desk and chair, large modern lobbies, and trendy snack and beverage bars.

The AC hotel chain, also by Marriott, is specially designed to attract millennial travelers. This hotel has smaller rooms but also breakfast facilities with healthier food choices, outdoor patios areas, and cocktail lounges. For both the Curio and Canopy brand offered by Hilton, as well as the Centric brand of Hyatt, millennials get much the same experience with smaller rooms and big social design. In addition to smart technology, these hotels have televisions that are Blue-Tooth enabled and healthy breakfast options.

The combination of a stronger economy and sound hotel fundamentals has opened the door for changes to be made. Since these brands have been developed, occupancy and room demand has increased dramatically. This satisfies guests and boosts company revenue. Smaller room hotels have also attracted the attention of investors. Based on a long period of improving performance, growth among hotels has been recorded for 60 straight months.

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