HOTELS ARE RAKING IT IN.
The fact that a hotel could fail to be profitable astounds me. Why? The average cost to turn over a room, to keep it operational per day, is between $30 and $40. If you’re paying less than $30 dollars a night at a hotel/motel, I’d wager the cost to flip that room runs close to $5. Which makes me want to take a shower. At home.
That $40 turnover cost includes cleaning supplies, electricity, and hourly wages for housekeepers, minibar attendants, front desk agents, and all other employees needed to operate a room as well as the cost of laundering the sheets. Everything. Compare that with an average room rate, and you can see why it’s a profitable business.