Some years ago it was almost enough having an article about your hostel in Lonely Planet or Let's go books, some flyers around in the neighboring countries , you could easily filled up your dorms 365 days (or rather nights ;) ) a year.
Then there came Hostelworld.com and followed by other online booking companies. Changed everything. most of the people don't travel with guidebooks anymore. They have the internet to use instead.
Also as a new opportunity of the budget flights, there are more people travelling then ever, although these travellers are different than those backpackers whom you could get used to for decades. These new type of travellers are more demanding about your facilities, private rooms, ensuite bathrooms, bar, restaurant... Some people call them "flashpackers", but I think these people are rather the usual vacationers which is typical in hotels already. Sooner or later hostels will realize they are more likely hotels than hostels. "Youth Hotels" as a category is more likely exist...
Hostelling will be never the same as before. Do you agree?
How do you solve these new challenges?