16 years
I agree pretty much with what Commader's said regarding the difficulties of opening hostels in the USA. Cheaper motel/hotel options foremost, also the lack of the market of people who've grown up with hostels. In my experience in the UK hostels in rural areas are extensively used by British people, often those walking, climbing, biking or paddling. It's seen as a natural thing to do when you're pursuing outdoor activities. I don't think this is the case in the USA.
I do wonder how much of the market really wants to share sleeping accommodation though. As a HI hostel we used to get a lot of dorm bed bookings, but now it's mostly enquiries and bookings for private rooms. I think despite what people say the dorm aspect of hostelling is dying. 10 years ago most hostel beds sold would have been in dorms - now I'd say the majority would be in private rooms. Sure people like the self catering facilities and common rooms etc, but for a bed I think they'd rather share with friends/family or on their own. In the larger cities you can still have larger dorms if you can sell them at a cheaper price (like those crowded pictures) but only because there is no option at the price range - I doubt people would choose to be packed in if it weren't for the price. I think starting a hostel in the US with the idea of selling dorm beds would be extremely difficult in the modern market (outside the prime tourist destinations already mentioned)
Australia is always mentioned as a large country with a well developed hostel industry, but I think it has one crucial difference to the USA, and this is the presence of a whole army of working holiday makers on long saty visas. Whilst they may not be locals, there are hostels full of these people from all sorts of countries all up the east coast of Australia. Some might only stay a few weeks, and some longer, but they are constantly replenished with fresh blood. and when they leave where they work they go on the well worn trail up the east coast, either via plane to Cairns and Uluru, and maybe Melbourne, populating hostels along the way, as they are by far the cheapest option. If there were motel rooms in Australia at $30 per room they'd probably stay there.
Unless there's a major change in US policy regarding Working Holiday makers I doubt that you'll ever get an industry like there is in Australia. Even if you did get a change in the law, you'd have to compete against a highly developed budget motel industry that doesn't exist in Europe, or even Australia.
As an aside I think public transport is fine in Australia - you can easily get between major destinations, and once in the cities there is public transport which is easy to use and well patronised. I've been to large american cities where public transport is practically non-existant or seriously under-funded. This would make it hard to open a hostel and expect to get people who aren't driving - unless you are right in the middle of the action - which will usually make opening your business more expensive.
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