“Pay What You Want” Idea Hits Travel : Kathika Travel Website

By Amanda Kendle

Mixx Facebook

Tweet This

Anybody noticed there’s a global recession out there at the moment? Yeah, we know, everybody is probably sick to death of hearing about the economic woes of many developed countries these days, but it turns out, as they always say, that every cloud really does have a silver lining. And the silver lining for travelers is the emergence of a “pay what you want” strategy. Opening up price options to guests and visitors, a strategy to avoid “sticker shock”, just might work out okay for travelers – and for hotels and restaurants. There are already a few hotels and restaurants who are getting in on the “pay what you want” act, and with no immediate economic recovery being forecast, this could be a trend that goes deeper.

Singapore Ibis says pay what you want

Naturally enough, during tough economic times, hotels find their occupancy rates start dropping as both leisure and business travelers stay home. But if you’re running a hotel, getting a little bit of money for a room is usually a lot better than letting it sit there empty, so enticing visitors to come and stay for cheaper prices is a good strategy.

In Singapore, the new Ibis Hotel has launched its own pay what you want website. Every day there is a window of time when website visitors can bid for a room offering any price they want to pay and management says they would even give the rooms away for a dollar each if that’s all the demand was.

New York and London restaurants try pay what you want too

In London, the Little Bay restaurant is trying a special during February where customers can decide for themselves how much their meal is worth. This is a well-known restaurant with great food, so it makes for a good deal if you are traveling in London but can’t afford the often high restaurant prices.

And in New York City, the Tierra Sana restaurant on Queens Boulevard, Forrest Hills, is trying out a similar deal. Tierra Sana is renowned for particularly healthy dishes so it’s a great alternative to a fast food snack while vacationing in New York.

Does “pay what you want” work?

It’ll be interesting to see the result of these experiments. While this is a great opportunity for restaurants and hotels to gain customers and guests they may not have otherwise met, it could be a time when they lose a lot of money – but on the other hand, it might be that many customers end up paying more than necessary out of a feeling of guilt or awkwardness. We’ll have to wait a few months to see the result – in the meantime, try to get your cheaper food and hotel stays while traveling.