The train station hotel only costs RMB 30 a night, why doesn’t the owner lose money?

There is a reason why the owner of the railway station hotel does not lose money for 30 yuan a night.

The first is that it is relatively small. The boss made full use of the small space and divided it into many small rooms, greatly improving the space utilization. This can ensure that more customers can stay in the same space.

Hotels like this are basically family-run. It is run as a mom-and-pop shop, where you are both the boss and the waiter, so there is no excessive labor cost. For slightly larger hotels, you only need one or two waiters. Regular hotel waiters all perform their duties, and individual small hotels only need to hire one or two waiters. The waiters in the hotel are basically all-rounders and can do all kinds of chores.

Train station hotels have always been simple-decorated, dirty and untidy, with relatively unhygienic environment and bedding. In this way, the boss has less input, less investment, lower costs and higher output returns. Even if it's 30 a night, the boss still makes a lot of money. People who stay there are looking for convenience and cheapness, and they don’t have high requirements for a sanitary environment, so long as they can rest.

And the most important point, where is the train station? It is one of the places with the largest passenger flow. If you don’t want to stay there, there are always people choosing the hotel at the train station because of the relatively cheap price. After all, most people are ordinary people when they go out. If you can save money, just spend less money so that you can sleep and rest. It’s not that important. Besides, many people take a temporary break and check out as soon as the car arrives. Room check-in frequency is high and fast. A room may even have several waves of guests checking in a day, which obviously increases the income. There are also hourly rooms available for travelers to choose from, which is another extra income, which is not a small amount over the course of a year.

With flexible and diverse business methods, even if it costs RMB 30 a night, the owner of the train station hotel can still make a lot of money, but it is all hard-earned money in exchange for staying up late.