The Money-Making Secrets Behind Hotel Design
In an era where competition among hospitality businesses is fiercer than ever, hotel operators find themselves navigating unique challenges brought on by the rise of platforms like Airbnb and stagnating occupancy rates. As a result, a transformative trend is emerging in hotel design, one that prioritizes profitability while reimagining the guest experience. The WSJ Pro Perfected series delves into the innovative strategies that are reshaping hotel spaces in the video titled "The Money-Making Secrets Behind Hotel Design."
Gone are the days when a spacious hotel room was considered a luxury. Instead, the industry is witnessing a paradigm shift characterized by shrinking hotel room sizes. For instance, Marriott’s Moxy brand exemplifies this trend; its rooms are less than half the average size of a traditional hotel room yet manage to generate up to 20% more revenue than their larger counterparts. This approach raises the question: how does a smaller room yield greater financial returns?
Strategic Design Choices
The video kicks off with a compelling examination of why guests are noticing that items like closets and minibars are disappearing from their rooms. With a focus on maximizing every square foot, hotel designers are reevaluating the essentials that guests need. The video further explains how to effectively shrink a hotel room without compromising comfort, emphasizing the clever use of multifunctional furniture and optimized layouts that enhance the guest experience.
Revamping Common Areas
Another significant theme explored is the strategic encouragement of guests to engage with hotel amenities, particularly bars and shared spaces. By creating inviting common areas and lively atmospheres, hotels can entice visitors to spend time—and money—beyond the confines of their rooms. The financial implications of this design philosophy are profound, as a well-designed social space can serve as a substantial revenue driver for hotels.
Local Opportunities
The video also highlights the importance of leveraging local opportunities in hotel design. By crafting experiences that resonate with the local community and culture, hotels can attract not just travelers, but also locals looking for a unique outing. This strategy not only boosts profitability but fosters a sense of connection between guests and their destinations.
Conclusion
In summary, "The Money-Making Secrets Behind Hotel Design" presents an insightful look into how hotels are adapting to a rapidly changing landscape. Through innovative design, strategic space usage, and a focus on community engagement, the hospitality industry is redefining what it means to provide value to guests—even in smaller spaces. As hotels continue to innovate, they may find that less truly can be more, offering a glimpse into the future of comfortable and profitable travel accommodations.
Watch the video by The Wall Street Journal
Video “The Money-Making Secrets Behind Hotel Design | WSJ Pro Perfected” was uploaded on 07/29/2025 to Youtube Channel The Wall Street Journal
It's a good video.
If you only need the room to sleep because you visit the area around, AC is good in summer with a low price.
haha….noticed the cut at 4:23, but great video, well edited..
As an opera singer… the last thing I want to do is interface with the public when I am done singing, or worse, on vocal rest. Maybe I’m a niche client, in which case I will personally seek out an Air BnB or other type of rental when I have my month long stays.
If you trick me into renting a room without an iron and ironing board so I have to go to the foyer or a shared space every morning I will never stay there again.
Hilton in South Africa does this very well now keeping what to have looked out for.💡
Genuinely really interesting…
The Wall Street Journal just made the best argument against staying in these types of hotels.
As someone who mainly uses hotels for business, I’m checking Moxy off the list.
Having the bar staff also be the check on staff sounds like a horrible time for everyone
😊😊😊❤❤❤
moxy's are the worst
Shrinkflation as it is.
Hmm… maybe Ron is missing the letter "n" in his last name?
🧃🧃🧃🧃🧃🧃🧃🧃
I like that type of hotel, often quiet and clean
I wish we could just check in online like in Asia . Check in online you get a digital key and you use your phone to open the door.
Consumers want the cheapest and cleanest . I would stay here if it was cheap. Airbnb is now so expensive I now stay in hotels/motels.
The WSJ is Spiking the story about Obama's Russia Hoax
Smaller rooms, bigger prices. Nice.
Checking in at the bar is a bit far for me 😂
Evil genius
Removing or minimizing amenities from hotel rooms in order to maximize profits will not work. It assumes guests value room price above all else. It seems in this video that you’re almost trying to reinvent the Motel 6 brand of hotel. As a frequent traveler, I always pick a hotel to stay in that has good amenities for a competitive & fair price, and would never stay at any other type of hotel.
i have stayed in such rooms and hated it, asked for a bigger room the next day
Nope. Give me a full service Hilton any day.
These white capitalism tricks are baffling 🤢 wth
I don't understand all the negativity already in the comments? I've travelled extensively for both work and pleasure and in both cases my goal is to spend as little time in the hotel room as possible. These designs look convenient to that end though I'd say put the ironing boards back in!
Maximum profit!