Saturday 20 February 2010

Suicidal Hotel-keeping in Sproughton

Out for a drive in the sun, and I drove from Tescos Copdock towards town, down to the dilapidated hotel -- is it still a Holiday Inn? -- at the lights. On a whim, I turned left and headed into Sproughton. A right turn, and ... what's that? That can't be a Premier Inn sprung up there, can it? Well, it turned out it could. It's got a nice view over Chantry valley. It might be a little close to the bypass for quiet nights, tho -- I'm not sure.

In to ask about room rates. And a shock -- the receptionist murmurs that they don't do the "old way" of having a standard room rate Monday-Thursday and a cheaper one Friday-Sunday "any more". Instead they have "dynamic pricing". "What's that?" I ask.

She tells me that they charge a lower price when the hotel is empty, and as the hotel fills up, they increase the price, until the last few are at a high price. (I could almost hear the computer algorithm ticking under the desk). What is the "low price", I asked. The answer was £60, which in a recession for a place hard to get to seemed steep. And the "high price"? It could be in the mid-£80's. I thanked her and left.

I remember when the British hotel industry died, back in the 80's. Booking a hotel room was an exercise in pain and stress. Every hotel had a rate which it quoted, which was incredibly high. This was known in the trade as the "rack rate". If you turned up, weary, one evening, this was what they would do to you.

But if you were in a position to negotiate, they might -- or might not -- offer you a cheaper rate. So you had to haggle. You had to book in advance.

Corporates didn't bother with all this. They outsourced the job to agencies, who obtained 50% or more discounts and fixed rates for their staff. Staff were told to ask for "the BT rate". Sometimes hotels would ask for staff ID!

The result was that most people felt overcharged (except the business customers, who weren't paying anyway -- the company paid). Even if you weren't, you could not be sure. Most people hate haggling; but this was what you were forced to do. So most people were ripped off.

Organisations that rip off their customers cultivate a culture of hate towards them. It was no surprise, therefore, that the British hotel was notorious for the poor quality, the "couldn't care less" attitude of the staff, the appalling food. By dehumanising the tired elderly couple at the desk into "two rack rate customers, full price", the hotel staff dehumanised everyone.

The result was that no-one stayed in a hotel if they could avoid it. The only people who did were commercial travellers, who were avoiding all this, but even so suffered from the poor quality endemic in consequence. And the hotel trade died. No-one, even now, will stay in most British hotels without gritting their teeth.

Then Travelodge came along. They imported the US concept of the motel. They were convenient, they were well-built, they were at a fixed price, and they were all identical. You knew exactly what you were going to get, and at exactly what price, anywhere in the country.

And they boomed. People loved them. They could be more expensive than some "discount deals" in the rotten old hotels, but few were tempted; none tempted twice.

Travelodge were soon joined by Premier Inn. The build quality was not so good, but the room quality was generally better.

Time passed. Travelodge were part of Little Chef, and that organisation was passed round and round, getting more and more run down and shabby. Eventually the hotels were bought by some venture capitalists, who have started opening new ones.

But the recession hit, and bookings dried up. Every year the prices had increased. So the fixed price had to go, and weekday and weekend rates came in. This was still acceptable, because you still knew that you were getting the same price for the same room.

Then Travelodge introduced discounts, bookable in advance on the website, where you could not cancel if you couldn't come. Suddenly you were back in the old atmosphere. You had to gamble; book 4 weeks in advance at a high price, when you might have to cancel; or 4 weeks at a lower price, when you could not. Stress! Stress! Stress!

Today I learn that Premier Inn have abandoned the fixed price altogether. Instead they will charge a high price when the place is empty, but gouge people who book later. We're now so close to the old hateful system.

Now watch these chains die.

The "new" Premier Inn was apparently taken over from a Holiday Inn Express. It ought to have said something, to the dipsticks clearly in charge now, that Holiday Inn couldn't make it work under the system they are now implementing. What idiots!

What it means, of course, is that once again we cannot travel in Britain.

2 comments:

The Ursine Project said...

I frequently work in Birmingham and need to start as close to 9am as possible. It’s a long, stressful and tiring drive from where I live in Felixstowe, so I thought recently to drive the lion’s share of the journey, and then stay in a Premier Inn (or similar) about 20-30 miles from my destination.

I researched the costs of Premier Inns, and Travelodges, along the A14/M6, seduced by their internet presence offering rooms from between £19 and £29 per night, but guess what, not a single hotel could offer me a room for less than £60+ per night. In fact most were pushing £80-£88 per night.

Thus I decided to stick with my 04:30 start from Felixstowe and see what the A14 threw at me, but it is hugely frustrating why these establishments don’t use common sense.

Even around £50 per night would represent good value, but psychologically, once you get in the £60+ territory it starts to seem expensive. And £80+ per night, for essentially a bed in a lay-by, is frankly speaking, ridiculous.

The Ursine Project said...

I frequently work in Birmingham and need to start as close to 9am as possible. It’s a long, stressful and tiring drive from where I live in Felixstowe, so I thought recently to drive the lion’s share of the journey, and then stay in a Premier Inn (or similar) about 20-30 miles from my destination.

I researched the costs of Premier Inns, and Travelodges, along the A14/M6, seduced by their internet presence offering rooms from between £19 and £29 per night, but guess what, not a single hotel could offer me a room for less than £60+ per night. In fact most were pushing £80-£88 per night.

Thus I decided to stick with my 04:30 start from Felixstowe and see what the A14 threw at me, but it is hugely frustrating why these establishments don’t use common sense.

Even around £50 per night would represent good value, but psychologically, once you get in the £60+ territory it starts to seem expensive. And £80+ per night, for essentially a bed in a lay-by, is frankly speaking, ridiculous.