Opportunity
Problem
Tybee Island is a popular destination for tourists. Travelers need somewhere to put their stuff and rest their heads. Travelers must create a home far from home. The place where they can completely recharge from worries and travels
Solution
Each Coach House guest can be sure that every need is met. For special occasions, catered meals, chilled wine, etc. can be provided for an additional stipend. On weekends, guests can return to the B&B for a snack of cheese, fruit and wine before heading off to bed.
Market
B&Bs along with other short-term lodgings on Tybee Island are an important part of island tourist. Ten short-term lodgings in Tybee are considered to be inns. The remaining 19 are long term lease facilities (rentals or condos) and only four are B&Bs. Hotels/motels constitute the largest percentage of rental properties on the island in terms of units.
Ironically, at least on Tybee Island, the rise of Airbnb and its competitors have increased the demand for B&Bs rather than hurt us with more competition. Non-hotel lodging is more popular. We are part of this new channel through our profile on Airbnb.
A modest projection is for an average increase in unit rental of 30% per year. The island’s competitors have experienced rental increases of 30% to 40% over the past three year. The Georgianne Inn expects 50% growth in the next two years. This projection is without any significant increase in advertising or exposure, but is based on the general average increase in tourism.
Tourists from northern Europe who love the warm and welcoming environment of B&Bs as well as local residents who require the facilities for different events, are our two largest customer segments. International exposure will be provided to potential customers by subscribing to Web services at nominal annual costs.
Concurrence
Airbnb is uniquely positioning us. Airbnb offers an exclusive lodging experience that caters to a growing number of travellers. B&Bs create a climate of home, where guests become temporary members of a larger family. B&Bs offer guests the opportunity to be part of a larger community while maintaining privacy. It is possible to share meals with innkeepers or other travelers, which can create new relationships and enrich existing ones. Or, meals can be taken in the privacy of the guest’s room.
The B&B offers a variety of settings that allow individuals and small groups to find the right setting for their particular moods or activities (reading, watching TV, playing board games, etc.). The B&B treats guests as guests, not customers. It becomes a destination to return to, whether it is at the end or the beginning of your next vacation (like going home).
The Coach House B&B guarantees guests privacy and membership. It is difficult to be polite without being intrusive. This delicate balance has been mastered by the owners in many walks of life.
Why Us
We begin with a crucial competitive edge. No competitor can offer the convenience or luxury found at the Coach House. We’ve stayed in many B&Bs throughout the country. We have the experience to help you create the perfect atmosphere for your B&B. We stand out against Airbnb competitors.
Expectations
Forecast
The average monthly fixed expenses, including interest payments, are estimated to be $8,000 The monthly earnings will be affected by peak and off-season. For the first year, on-season revenues will offset off-season losses. We expect that Coach House B&B’s off-season revenues will be sufficient for Coach House B&B to break even during its first year.
Our expectations of profitability are unrealistically high. We are able to accept it because we know that other expenses will increase. We will adjust as needed.
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