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Back to Serviced Apartment Basics

Tuesday 12th May 2015

Back to Serviced Apartment Basics

The most exciting news at The Spires in the past few weeks is that we have just launched our brand new serviced apartment finding service: “The Apartment Collection- By The Spires”.  As you may know, The Spires initially operated over one hundred serviced apartments across four major UK destinations. However, with this latest development, we are no longer constricted to these geographical boundaries and are now able to source serviced apartments all across the UK & globally; meaning we are now in a position where we are better able to satisfy our customer’s diverse requirements.

 

Now for a little bit of honesty. When I first interviewed at The Spires, it would be fair to say I was a little ignorant in regards to the serviced apartment world. I could probably give you a satisfactory definition of what a serviced apartment was, but it was not an accommodation form that had really made it into my consideration set when it came to decision-making. Conversely, having now worked at The Spires for approximately 3.5 months I think I can safely say that I am somewhat more enlightened, and while by no means I am a fountain of knowledge or a serviced apartment guru, I am certainly a converted key advocate for them. Therefore, you too may be sitting reading this thinking “why would I want someone to source me a serviced apartment anywhere I want?” or even, “why would I choose to stay in a serviced apartment”. Consequently, I think it is time for you to sit down with a nice hot beverage and prepare for a lesson in serviced apartments as we go back to basics and discover all there is to know about this dynamic industry.

 

The Definition

 

There has been much furore and confusion when it comes to deciding on a set definition for a “serviced apartment”, due to the variety in supplier offerings, and this could be at detriment to the industry because it means that customers are in a state of confusion when it comes to their expectations of the experience they will be provided with.  Similarly, many terms are thrown about when it comes to serviced apartments including “suites”, “apart-hotels” and “extended stays” so it is no wonder that it is difficult to create a standardised global image. However, when in doubt, it is best to turn to the official industry body for serviced apartments: The Association of Serviced Apartments (The ASAP). As their Managing Director states,  The ASAP is now marketing “the Serviced Apartment as an umbrella term for a type of furnished apartment available for short–term or long–term stays, which provides amenities, housekeeping and a range of services for guests where taxes and utilities are included in the rental price.” In effect, what makes The Spires unique is that we offer the flexibility and service of a hotel (such as housekeeping and breakfasts on request) with the space, freedom and comfort of an apartment-it is the best of both worlds.

When looking for serviced apartments, there is always a wealth of possibilities to choose from; particularly with individuals being able to lease out their apartments. Therefore, to help you with your decision-making, make sure to look out for those apartments which have passed The ASAP’s Quality Programme because it means it has been subject to a rigorous inspection process and therefore has been deemed as exceeding customer expectations.

 

The Industry

 

For all you ever want to know about the serviced apartment world, you need look no further than The Apartment Service’s “The Global Serviced Apartments Industry Report”. This year alone, the report was compiled using findings which had been unearthed from over thirty interviews and over 2, 500 surveys that had been conducted with stakeholders in all relation to the industry from operators to agents to buyers.  Therefore, it is safe to say this report knows what it is talking about.

 

The most critical finding that was documented, is that the serviced apartment industry is one that is rapidly growing. At present, there are nearly 750,000 serviced apartments operating in over 9, 000 locations and since 2008, there has been an 80% increase in the amount of serviced apartment inventory across the world. The rapidness of the serviced apartment boom can only be emphasized when it is considered how in the past twelve years, the numbers of serviced apartments have doubled and they are predicted to double again in the next four. Yes, as you may infer, as an industry we are aiming for world domination!

 

Of course, I am sure we have all endured an economics lesson in life and therefore are aware of the connection between supply and demand. Therefore, there would not be this surge in supply if it were not for the fact that there is a market for it. Over 80% of those surveyed stated they preferred serviced apartments over hotels, with factors such as the freedom to make your own meals, as well as the privacy, swaying their preference.

 

The Misconceptions

 

Going based off of my own misconceptions, I think one of my greatest ones in regards to serviced apartments was that they were designed for corporate long-term bookings. However, while I cannot speak for the whole industry, I would say that a majority cater for leisure and corporate bookings alike. Similarly, while minimal stays do tend to be in place, this can be from as little as two or three nights and a great percentage of apartments, such as our own, can actually be booked from as little as a one-night stay. This is because booking an apartment is on par with booking a hotel room in that all you have to do is pay for the apartment per night (not the number of people). With the majority of providers, there are no leases or utility bills to be paid separately as you are not taking any ownership of the apartment, like you take no ownership of the hotel room.

 

The Benefits

 

As was stated before, 80% of respondents favoured serviced apartments over hotels and in approximately 75% of businesses, employers are increasing their usage of serviced apartments when it comes to business projects and assignments. Hotels and serviced apartments will always be in a heated rivalry because of the similarities of their product offerings, however, would it be biased of me to say that serviced apartments edge it? You get all the benefits of a hotel stay from the attentive housekeeping and the hearty breakfast on request, but you also get that extra space and flexibility; and normally at a lower cost to boot.

 

I will not lie; I love the thrill of staying in a luxurious hotel with the thriving lobby environment and shedding the adult responsibilities of making the bed and cooking dinner. However, having stayed in one for a prolonged period of time, I can also say how the novelty does wear off. Being restricted to a sole room can make you go stir-crazy as your legs long to be able to move between more than just the bathroom and the bed.  Similarly, your stomach and your wallet ache from having to eat out all the time. It is true; you do not long for something till you lose it and when you stay at a hotel, you long for those home comforts. Thankfully, that is where serviced apartments come in. You have the familial welcoming decor of your home as well as fully furnished modern kitchens and lounges that mean you can spread yourself out like you do at home and have control over the food you want to make.

 

Similarly, like hotels, a majority of apartments like ours will have a dedicated reception desk meaning you will always be greeted by a warm, friendly face and have someone there to ensure you have the best experience possible.

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Ultimately, I am confident in saying that the world is waking up to the benefits of the serviced apartments and due to there being over 700,000 located all across the world, with “The Apartment Collection-By The Spires” we can certainly find you an apartment for wherever you want to stay.

 

Sources: http://www.relocatemagazine.com/articles/reeditor-02-2015-tas-report-reveals-exponential-growth-and-investor-interest-in-serviced-apartments

http://www.relocatemagazine.com/news/re12-d1-2014-5591-asap-unveils-new-quality-accredited-logo-and-serviced-apartment-definition

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