SACO hopes new product will put company beyond rivals

Speaking at The Corporate, Student and Overseas Visitor Residential Letting
Market conference, Harper highlighted the “huge” demand for serviced
apartments not only in London, but in major regional centres where “demand
outstrips supply.”

In Manchester the company is running at a “minimum of 80 per cent occupancy
throughout the week” in spite of a large number of hotel openings across the
spectrum.

In addition to high demand during the week from corporate customers, SACO –
which was acquired by US finance house Oakwood Capital Management earlier this year – is
seeing growth from the “bleisure” market as well as increasing interest from
the academic community.

Earlier, the audience had heard that ” short term accommodation is at a
premium. In London there is barely any left” and that, says Harper is born
out by demand in the regions where SACO will be opening eight new Beyonder
aparthotels next year.

Starting in December 2015 the company will open its first Beyonder by SACO
in London.

SACO’s new brand is aimed squarely at the Millennial market with an emphasis
on in room technology.  Earlier this year, the company commissioned research
from YouGov.

The results found younger travellers’ indicating – unsurprisingly – strong
preferences for reliable connectivity for multiple mobile devices – which
they are increasingly using to book their own business travel arrangements,
often disregarding company policies on central booking or budgetary
restrictions.

They are less likely to stick with a particular brand and value amenities
such as a lounge or coffee shop type hub over high quality food.

The new brand which will be introduced to a wider public in the coming weeks
– will aim to service those needs, says SACO’s marketing director Jo Redman
who is aiming to position beyonder as a consumer facing brand which will
function alongside SACO’s existing offering.

“At the moment, 90 per cent of bookings are B2B,” she told Serviced Apartment News,
“But that will change. We’re determined to create a brand that consumers
will recognise.”

And while the lodging and hospitality sector as a whole has been watching
the impact of Air BnB on the industry, Redman credits the sharing economy
platform as having brought the concept of staying in apartments rather than
traditional hotels to the wider public consciousness.

With the first beyonder by SACO due to open in London’s Cannon Street at the
end of this year, followed by Edinburgh and the company’s first branded
venture in Amsterdam following in Q1 of 2016 the Bristol-based business will
be looking to improve on the 278,671 nights booked in 2014.