16 years
A side note - I think 4100 beds makes Base the largest hostel chain in the world. A&O Hostels has at least 3320 beds.
Does anyone know of larger hostel chains?
Accor Hotels and Hostels (Base Backpackers)
Hostel Trends and News
Interesting reading on Accor's Web site:
http://www.accorhotels.com.au/corporate/pressdetail.aspx?id=542
Excerpt from the press release:
19 December 2007: Australia and New Zealand’s largest premium hostel network, Base, has purchased Brisbane’s most popular and well known inner city hostels - Palace Central and Palace Embassy – in addition to the popular “The Down Under Bar”, an icon of the Australian backpacker bar scene.
[...]
Operating under the auspices of the base brand, the new hostels will cement Base as the largest, privately-owned operator of quality backpacker accommodation, bars, travel outlets and job placement services in Australia and New Zealand numbering over 4100 beds, 11 bars and 34 travel outlets.
[...]
Major Investors, Private Equity Firm Ironbridge Capital and Ivany Investments, say they are “delighted with the acquisition, which further cements the Base brand as market leaders in Australasian backpacker accommodation and delivers a wealth of opportunities for travellers, staff, suppliers and business partners”. Accor Asia Pacific Hotels, who originally established Base, remain minor investors.
- Comments
16 years
What about Hostelling International? They would have as many hostels as Base has beds.
I'm pretty sure that Base are probably the next biggest, though.
16 years
Sorry, I should have specified "independent hostels". HI-affiliated hostels definitely have more beds...
16 years
Depends how you define "chain". Hostelling International is a brand, but they aren´t really a chain.
The HI hostels are not under the same ownership, not even under one central management. What they have in common is basically only that they accept each other´s membership cards.
I guess the biggest hostel chain would possibly be Bavaria´s youth hostel federation, which owns 79 hostels.
In most countries, HI hostels are privately owned and in some countries they aren´t even defined as non-profit organizations.
16 years
I believe HI USA operates some of their own hostels, like NYC and Boston. Most of the HI USA hostels are just affiliates though.
I just noticed that hihostels.com takes a stab at independent backpackers here:
Hostelling International is the brand name of more than 90 Youth Hostel Associations in over 80 countries, operating 4,000+ hostels. No other hostel operator can match us for sheer quality or variety of accommodation! Unlike bland motels, impersonal hotels or dodgy backpackers, HI Youth Hostels are fun, lively meeting places, full of like-minded people.
More interesting information about HI here.
Do you know the Web site of the Bavarian YHF? I couldn't find it and I'm not sure how to search for it in German.
16 years
I really wonder why a combination of private equity capital and a major hotel chain (like in the Base case) hasn´t shown up yet in Europe.
These guys usually buy large properties by the dozen. Oz & NZ can´t be more than a side show for them. :confused:
It´s a dreadful thought, even for a well-established chain like us.
16 years
Unlike bland motels, impersonal hotels or dodgy backpackers, HI Youth Hostels are fun, lively meeting places, full of like-minded people.
As long as I have to read BS like that, I will continue to call YHI hostels dirty, boring and impersonal places, badly managed and usually located in the boonies.
"Fun, lively meeting places!" I hope at least they still realize it´s a lie. They should be sued for making false claims in their ads.
Do you know the Web site of the Bavarian YHF? I couldn't find it and I'm not sure how to search for it in German.
http://www.jugendherberge.de/lvb/bayern/
It´s all in German. How stupid can you get, being in the tourism industry and presenting yourself only in the local language?
16 years
It´s a dreadful thought, even for a well-established chain like us.
Do you think Accor moving in would hurt business that much?
Is Accor behind Smart City Hostels? Their original press releases mentioned their backers, but the press releases I read before they opened are no longer online.
I think Smart City said they were planning to expand across European cities, but I haven't been able to find the original press releases.
16 years
As long as I have to read BS like that, I will continue to call YHI hostels dirty, boring and impersonal places, badly managed and usually located in the boonies.
The first hostel I stayed at was an HI hostel and I had a lot of fun there. I think the quality in the US varies. They have some things going for them - at least at the ones in the USA:
- nice communal kitchens with central islands for preparing food
- generally clean
- they seemed to consistently have lockers
Some drawbacks that I've encountered:
- some still have daytime lockout (e.g, HI Sacramento)
- at least one HI hostel in the USA has chores (e.g., HI Phoenix)
- bathrooms could be improved at some (e.g., HI Fisherman's Wharf, San Francisco)
- some of them have very short maximum stays (e.g., 3 days or 14 days)
I think hihostels.com should remove that comment about "dodgy backpackers". Some independent hostels are dodgy but many are as good or better than the HI hostels. The online reviews can sort out the dodgy hostels.
16 years
Do you think Accor moving in would hurt business that much?
Well, we sometimes wonder about it.
It´s interesting how those tie-wearing types just don´t seem to get the idea what exactly a hostel is and why people stay there.
I have read an interesting thesis; it was about hostel chains and low-budget hotels. They guy who wrote it interviewed the owners of Meininger and A&O hostels as well as somebody from Ibis, which belongs to Accor.
Meininger and A&O are not classic backpacker hostels. They have lots of groups, but also business people who book single rooms with them, so they are certainly biting into the Ibis clientele.
A part of the theses was about if such hostels are becoming more like budget hotels and if butget hotels plan to bite back into the hostel´s target groups.
The Ibis guy quite blatantly admitted how they have not really any idea how they could do that.
Big players like that could certainly pour a lot of money into the development of a separate hostel brand like Base. There are a lot of experienced hostel managers now in Europe - they could hire me if they accepted my price tag (I would ask a lot for the pain to have to work for dumb tie-wearing people!).
They can certainly set up dozens big properties with good facilities in a very short time.
They would have the additional advantage to have already loads of good working relationships with all the major travel agents.
They would have te advantage of having enough money to enter the market with a price war. We sold our beds in Berlin for 9 Euros the first two months after we opened. We have only put beds into Hostelworld - that alone did a good deal of damage to our competitors.
So: all we can rely on is their incompetence. That´s not much in the long run!
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