WASHINGTON -- If you've seen one of Microtel Inns & Suites' 266
properties, you've probably seen them all. But to the company, that
uniformity is not a weakness.
In fact, it turns out to be an advantage that will enable the
budget chain, which boasts an average room rate of about $50 per
night, to do something unlike any chain in its segment -- install
high-speed, wireless Internet access in all of its rooms by year's
end.
You've heard of the telecom wars? Well, the hotel industry has
its own version.
A number of hotel brands are either in the process of installing
high-speed Internet access in guest rooms or now offer the service
for free. But Microtel's move marks the first time a budget chain
has opted for cutting-edge wireless access, which enables guests
with laptop computers, personal digital assistants (PDAs) and other
Wi-Fi-enabled devices to "plug in" without plugging in.
And if that's not enough, the chain is gearing up to offer free
long-distance calling in the continental U.S.
Jon Leven, senior vice president of U.S. Franchise Systems,
which owns Microtel, Hawthorn Suites and Best Inns & Best
Suites, said he views the free long-distance calling as "a nice
added value, particularly for people who are paying their own cell
phone bill and don't want to burn their minutes."
Leven said the combination of free wireless Internet access and
long-distance calls, coupled with Microtel's other amenities --
such as single queen beds and coffeemakers -- helps the brand.
"We really feel, from a brand-positioning standpoint and from a
customer standpoint, that it is a truly unique package in the
economy-budget segment," he said, noting that at least 45% of
Microtel's guests are business travelers.
"There is no other budget chain that is offering [Internet
access] free in every room," Leven said. "There is no other chain
in the industry at large that offers free long-distance calls in
the continental U.S. to every guest. For folks who are paying $50
or $60 a night, that is a huge value."
Huge enough, he noted, that Microtel could pull some business
away from pricier hotels.
"To some degree, we are redefining what 'budget' is," he said,
"and we are doing it in a way that still enables us to charge
budget rates and offer amenities that you just are not going to
find in budget hotels."
This is where the consistency in the physical product comes into
play.
"At our price point, we are the only product out there that is
truly consistent, everywhere you go," Leven said, adding that this
enables the chain "to buy a very consistent package of
equipment.
"So we can buy in bulk and do some things that can bring down
the costs" for Microtel's franchisees, he said.
It all adds up to a value proposition that is one of the
messages Microtel intends to promote to travel agents later this
year, when, for the first time, it launches a trade advertising
campaign.
The ads also are expected to tout the fact that Microtel is
centralizing its commission payments.
"Travel agents prefer and feel more comfortable booking hotels
that have central pay," Leven said. "This will consolidate
[payments from multiple properties] to one check.
"So we want to make a statement to the travel agent community
that this is a brand that can handle business and be more effective
for their customers because they get a much better value than some
of the places they are putting them now. When people try the
product, they come back."
To contact reporter Michael Milligan, send e-mail to [email protected].