After opening two Islands Stay Hotels in Cebu and seeing the acceptance of travelers based on high occupancy rates, the Islands Group of Companies plans to set up 10 more hotels in Cebu and reach its 300-room target in the next couple of years.
Jay Aldeguer, the firm鈥檚 chief executive officer, said that the newly-opened hotel, which had been positioned as a value-chic hotel, had been enjoying a high occupancy rate made up mostly of walk-in clients.
鈥淪ince we soft opened and had our dry-run period we have been enjoying 85 percent occupancy, conservatively, and about more than half of that are from walk-in guests. We were pleased to see a high occupancy rate and we are confident of our value proposition,鈥� Aldeguer said.
Aldeguer cited the increasing number of 鈥渇lash packers鈥� or those travelers who didn鈥檛 plan their trips ahead of time would help 鈥渧alue鈥� hotels like Islands Stay Hotel.
鈥淭hese are the kind of travelers who are independent-minded, value-oriented, and resourceful who have more disposable income compared to the 鈥渂ack packers,鈥� Aldeguer said.
Aldeguer also said that value-chic hotels like his firm鈥檚 hotel would help create a feel for travelers of being safe when staying at smaller hotels through the 鈥淚slands鈥� brand of service as compared to the full service branded hotels, which would also create a brand for Cebu.
He cited China, India and the US which saw also an increasing trend for 鈥渧alue hotels鈥� because of the increasing trend of 鈥渇lash packers.鈥�
鈥淚n China, 88 percent of their hotels are value hotels, India has 18,000 new rooms under this category while 25 percent of hotels in the United States are actually value hotels. This being the trend now in these countries, we can also say that it will become a trend here as well,鈥� he said.
The Islands Group is also considering opening branches in Palawan, Baguio, Bohol, Manila, Davao and Boracay.
鈥淲e feel however that our concept will work anywhere so we are open for opportunities in other areas as well,鈥� Aldeguer said.
Islands Stay Hotels recently opened in Archbishop Reyes Avenue across Ayala Center Cebu with an initial 15 rooms and in M.L. Quezon road in Mactan across Marina Mall with 30 rooms.
The Islands Group will also add more rooms to these two hotels within the year.
鈥淲e will have 32 rooms in our uptown branch near Ayala and 60 rooms in Mactan before November this year,鈥� he said.