Hostelling in Ireland is still a popular alternative for a lot of travelers looking to book a stay in Ireland. With hotel prices skyrocketing, affordable fixed-price accommodation has seen a surge in both bookings and popularity.
With hostels now more popular than ever, many have gone down the road of piggybacking off their success and decided to look at the best ways of potentially opening their own hostel. However, there is a better way, and this is opening a franchise hostel.
According to Franchise Direct, there are many benefits to opening a franchise hostel over starting one from the ground up. These benefits include;
Exciting New Career
Opening a franchise hostel allows you to work in a field that you may not necessarily have any previous experience working in. However, this isn’t a bad thing. As is the case when working in the hospitality industry, you will be given plenty of opportunities to meet with new and interesting people (suppliers, guests, agents) each and every day and hear their exciting travel stories.
Franchises are by nature a more secure investment than a new business because they have the support of a larger backing and the brand recognition to help the new franchise get off the ground. This is the same for a franchise hostel. Franchise hostels can follow a tried and tested business model which has already proven successful. Another benefit is that getting a loan to buy a franchise hostel is a lot easier than getting a loan to start an independent hostel from the beginning. This is because the bank will understand that being part of a franchise is a safer bet than investing in a new business that has not yet had an opportunity to build up its reputation or success. However, it is always a good idea to have a strong business plan ready because this is something that will be vital when it comes to acquiring capital and helping your business succeed.
Loyal Customer Base and Brand Recognition
One of the hardest parts of opening a new business is the lack of brand recognition and the difficulty in finding your first customers. With a franchise hostel, you can piggyback off the brand success of the franchise. More than likely thousands of people will have already stayed at the franchise and will recognize the name and associate it with a positive experience. This will make obtaining guests much easier, especially if in a different location as they may want to try and different experience to the one they previously had when staying. Make sure to utilise social media properly as well in order to maximise exposure to keep existing customers.
Collective Buying Power
When you buy a franchise hostel, you immediately become part of the franchise system and therefore benefit from the established deep-rooted relationships that are already in place with suppliers, caterers and tour group agents. This allows for materials to be less expensive because of the franchisors collective buying power.
Almost all franchisors will prioritize supporting new franchise hostels and will offer them the necessary training prior to opening to make sure that the buyer is ready to start their new journey. The number one area of support is knowledge. By entering into an already established franchise that has been operating for years, you will be privy to all the knowledge, experience and industry secrets that would otherwise than a lifetime to learn through trial and error. By buying a franchise hostel, you can limit these mistakes and maximise exposure.
Be Your Own Boss
This is often a top seller for most who no longer want to take orders and instead be the one who is in charge. Owning a franchise hostel allows you the chance to be your own boss. You’ll be able to craft a more flexible schedule for yourself and revel in having more autonomy over your career. You’ll own a business while having a support system to turn to when you’re in need of advice or assistance.
Of course, research is key before you buy a franchise hostel. A number of things need to be considered such as which hostel is right for you and which is your preferred location. Quite often, you can talk to other hostel franchisees in the industry to hear their experiences and investigate the level of support their franchisor offers. But at the end of the day, only you will know which option is best for you.