Ikea Entering the Hotel Business

Europe’s financial difficulties continue and consumers are counting their Euros. Such a situation doesn’t bode well for the travel industry, which is why budget hotels have started popping up all over the continent and consumers that are actually traveling are using them more than they used to.

Budget hotel sales figures in 2011 were up 10 percent, Reuters notes, which means it was eating up 41 percent of the $162.5 billion European hotel market.

That kind of cash has enticed some folks to get into the budget-hotel biz or spread their brand. Germany’s Motel One is moving into the UK, Belgium, and Austria. Travelodge, which already has more than 500 hotels in Europe, opened four in London in July and is planning to open nine more in Europe before year’s end. Continue reading...