Franchise Opportunity – Apple Hotel

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If you intend to go into the hospitality business, the Apple Hotel is a good platform to start. This will enable you to learn the ropes of how to run a hotel. However, it must be noted that Apple Hotel does not have a very strong brand presence in this industry which is dominated by the international network of hotels like Hilton and Sheraton.

The local Malaysian travel and tourism industry can bring a lot of promises when it comes to profit and sustainability. This is after all, a country that has almost everything when it comes to holidays and vacations.

Run your own hotel?

Do you want to tap into this lucrative market? Do you have what it takes to provide the best services to travelers both from the local and foreign fronts? Do you want to operate your own hotel? If you answer YES, then this business option could be your cup of tea.

Myths of operating a hotel

It must first be noted that operating a hotel is not as expensive as it sounds. With the way people are traveling these days, there is a high demand for budget accommodation and Apple Hotel is one of the very popular names in this sector.

Opportunities for everyone

With a business like Apple Hotel, you can now easily start your own establishment without needing very high capital. In fact, you can buy this franchise and learn everything from the ground up.

One distinguishing factor about Apple Hotel is that it has a very good reputation for business partnerships with budget airlines. Hence, you have a good business model to start with.

What do our experts say?

Venturing into the hotel business is a good and sound one because Malaysia has a strong travel industry. With an established name like Apple Hotel, pricing is quite standard and marketing can be carried out through a centralized system.

  • Brand Reputation – Good and strong.
  • Initial Capital – Not very high and expected from a hotel setup but still way lower than perceived. You should be expected to fork out about RM90,000 to start.
  • Return on Investment – You will need to sustain the business for a few years.
  • Location – Not the most crucial but should be around tourist attractions.
  • Customer Segment – Local and foreign travelers.
  • Franchise Fees: RM80,000
  • Royalty Fees : RM80,000

The Final Word

A business in the service industry means you need to have good staff and customer service. The overheads for a hotel business would be on the higher side and you need to have enough funds to cover your operations for a year or two.

Once the business takes off, you will notice that the revenue is pretty much standard. Expansion might be challenging as you could increase the number of rooms. This means you need more space in the shops next to your address which could be another challenge in itself.

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