Source: TOPHOTELPROJECTS

When capsule hotels first came into being in the late 1970s, they were a uniquely Japanese concept: a hotel that featured a large number of rooms that were so small they were basically pods that contained beds, intended to provide cheap overnight accommodations for guests who did not want or need the more extensive trimmings of full hotel rooms.

And capsule hotels stayed unique to Japan for some time. In fact, it wasn't until the last decade that variations of the concept began to open in places like China, Belgium, Iceland and the Philippines. Now, as new regions of the world begin to adapt this concept, hospitality industry experts are saying that the industry will likely undergo a surge of pod and capsule based hotels that will remain strong through the year 2022.

According to recent reports, the demand for capsule hotels has seen strong growth as the concept has become more prevalent and the market reflects this. In 2016, the pod or capsule hotel market was worth about $159 million, with projections showing those numbers increasing by a compound annual growth rate of 6.03 percent, which would place its overall worth at $226 million by the end of the year 2022.

What's perhaps more remarkable is that these hotels are showing themselves to be viable properties for the entire range of consumers within the hospitality industry, from backpackers to business travelers. And while the concept is growing elsewhere, analysts still expect Southeast Asian countries such as China and Japan to be in the vanguard of capsule and pod hotel growth throughout 2022. Another growth factor for these types of hotels has been their addition to online booking websites such as Booking.com, where younger travelers in particular are more likely to discover and book new accommodations.

Oliver Hua, MD for Booking.com in the Asia Pacific market, recently commented about this situation, saying, "In the last year, we've seen an increase in the number of capsule hotels listed on [travel website] Booking.com. This growth is coming primarily from Asia, with the nations showing the largest amount of capsule hotels being Japan, China, Taiwan, Singapore and also Russia. Cities with the most capsule hotels on Booking.com are Tokyo, Singapore, Taipei, Osaka and Xi'an."

He went on to say that the overall number of bookings at such properties has recently increased, primarily among travelers coming from Japan, Taiwan, South Korea, China and Great Britain.

Let´s have a look at some hotel projects currently under way in Japan:

The Chedi Tomakomai, Hokkaido

Hokkaido's natural assets will be reflected in The Chedi's open-air hot springs, 30-table gourmet restaurant and health facilities, and the development will stand as an environment-friendly design on 47 hectares of land, preserving 96% of the surrounding fores [READ MORE…]

Grand Nikko Tokyo Daiba

Following completion of the transaction, expected in May, the hotel will reopen on July 1 as Grand Nikko Tokyo Daiba, the first Grand Nikko-branded hotel in Japan [READ MORE…]

Hotel Okura Tokyo

Hotel Okura Co., Ltd. will reconstruct the Main Building of its flagship, Hotel Okura Tokyo [READ MORE…]

Jule Grass
Marketing Manager
+49 4261 4140 309
TOPHOTELPROJECTS