ENTREPRENEUR

SHIP
MANAGEMENT
On
Stay OK
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Presented by
Gyan ujjwal
Utkarsh jaiswal
Vishal anand das
Vividha yadav

INTRODUCTION
Welcome to Stayok, , the newest, brightest and
charming hostel cum dorms in the city.
Our friendly and knowledgeable staff are on hand to
assist you in making your stay an enjoyable and
memorable one, whether you are going out or staying
in! You will never be bored at stayok!!,

EXECUTIVE SUMMARY
This business provide residential
facility to students and
backpackers, who come across to
travel and explore the beauty of
nature at places like Manali,
Kasol.
This business provides a service
of room to stay, breakfast, free WiFi access ,small library to do
study, common room for chat, and
hygienic washrooms
This business provide them
accommodation for one, two or
more days, as per requirement
ofindividuals.

Initially we will lease

aflat/property for minimum 3
years having 3 to 4rooms.
We will convert the rooms into
dorms and each room will have 4
to 8 mixed dorms and female only
dorms depending upon the size of
rooms.
In a first phase of launch we are
planned to have at least 25 to 30
beds In a property what we
planned for, But after operating 2
year in a respective field we will
shift to another similar
destinations.
Initially we will befacing loss as
all entrepreneur faces but we will
reach on break even on 1.5 years.

We want to initiate this program because we

observe the market gap by conducting the research
and surveys.
By doing this research work we came to know that
despite of being an tourist hub there has no such
hostel for the backpackers/low budget travelers
(students) operating in.
Sowe found this as window of opportunity and
desire to grab it. We will operate as a first mover so
definitely we will be enjoying some advantages.
The main focus of our team will be on the students
plus the working class facing difficulties for getting
a low budget accommodation with some basic
standardized needs . We willoffer them a room
having all the basic necessities at a very low price

TARGETING AREAS

GOALS AND STRATEGY

Short term Goal: Use the quality of our service

and advertising to soon become well-known
throughout our potential travelers.
Long-term Goal: Expand the business to other
locations and not only tourist destinations but
also tier ii cities of India to provide quality and
cheap accommodation to the students who have
to travel out for their various entrance exams and
other reason to explore.
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Strategy: Our Strategy derived from the

backpacker hostel which is generally focused for
backpackers but we found an add on to this
opportunity that we should also focus to our
domestic young travelers who are either in their
colleges or bachelor employees who plan their trip
more frequently at low budget, so there we find
good a opportunity for the hostels.

STRATEGIC CONCEPT
We realized the potential in the
hostel business noting the
remarkable business success
and the laid-back atmosphere a
hostel has to offer.
Hostels are essentially a
cheaper form of a hotel, offering
private rooms or the most
common option: buying a bed in
a dorm room.
By renting a bed, the customer
ultimately pays a lower cost
while still having the ability to
enjoy the benefits of a hostel.

In Manali, there are number of well-known hotels around

the city. These locations are Hadimba, Aleo, and Circuit
house. Each are developed to take advantage of the local
entertainment and do well in attracting young adventurous
travelers.
Our strategy will exploit this opportunity, building a hostel
in Aleo, a place centrally located to manali . Our hostel,
Stay ok, will seek to provide an excellent service for a
fraction of a cost of a hotel.

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The best way to approach this market is going to

be through the internet, advertising through
other hotels in the area, and general word of
mouth.
We feel confident that the services allotted at
Stay ok will be enough for a customer to come
back or refer a friend.
As stay ok would be the only hostel in the area,
the competition is limited. The competition that
does exist is from other hotels North and South of
the City. As that may be, our hostel will seek to
have extensive relations with these hotels in an
effort to support people and letting them enjoy
the local opportunities each one has to offer.

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The most basic targeted market will be that of a

young, adventurous individual who is looking to
save money and have a time they will not forget.
We feel that this is also an untapped market,
especially in Manali, and thus will probably be
full in the peak seasons.
The downfall of this business will be in the
winter time, when demand will be low, however,
we believe that over time our name will grab
customers attention and people will be inclined to
make more trips outto the hostel.

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FACILITIES
The hostel is equipped with a good range of facilities including
a modern self-catering kitchen, a TV / Film lounge, a laundry
room and to list many other facilities as follows: A comfortable stay
Safety
24 hour reception and staff
Free safes and luggage lockers in every room
Free linen and beds which are premade
Hygienic washrooms
Pick and drop facility on demand at nominal prices.
Reading, conservatory and quiet rooms
Washing and drying facilities available
Souvenirs and toiletries sales at reception
Female only dorms will also be available

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TEAM AND FIRM

StayOk hostel will be formed into a partnership LLC, consisting
of four owners.
For the introductory phase of the hostel (about 1-2 years after
opening), the owners will switch duties for the hostel every four
months and thus will be become the head manager for an
individual property
.The reason for a partnership LLC is simple. With four owners
for the hostel, risks and responsibilities will be smaller for each
owner as opposed to one owner assuming all the responsibilities.
The partnership will also serve to lower the total investing cost
needed by each owner.
Furthermore, having the protection of an LLC will prevent future
unpleased customers from suing the owners of the hostel and will
be limited to the assets of thecompany. Although StayOK expects
to please each and every customer, it is important toplan ahead
for the unthinkable situations in the journey

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SURVEY :

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ACCORDING TO THE SURVEY WE HAVE

COLLECTED , WE HAVE FOLLOWING RESPONSE
AND CONCLUSIONS :

We generally got resonses from people age group

between 16-20 and 20-30 above .
Thats means most of the travellers are either
school / college student or bachelor employ or
foreigners.
Thats why, we fixed them as our target area .
And try to reach these people more .

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CONCLUSION:

Most of the travellers make plan for trip atleast

twice in a semester (6 months) , which increase
the chances of occupancy .
Most of the travellers travel with their friends ,
which indicates they are always low on thier
budgets and can easily manage with new people
as compare to one who travel with their family
members who seeks for more privacy .
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Acording to the survey that we have collected :

Most no.of travellers have to spend 700-1000 rs
per night for the stay in hotel .
Which some how effects their budget .

Also, people need general facilities like AC and

geyser because of changing climate from place to
place .

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When asked about general problems faced , we got the list of problem one
might face in sharing basis hostels . As per their problem we try to work in
the same area to come up with a solution .

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COMPETITIVE ANALYSIS

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KEY VALUES OF STAY OK

Discovery-Stops isfor, of and byexplorers! The passion to

discover more and help other travellers do the same is the
reason for our existence. We strive to provide multiple
perspectives on each city with a sneak peak into its culture,
history, art, social structures, food and people
Community- Doing things together is always more fun and
dynamic. We put our heart and soul into fostering a warm and
constructive social atmosphere. Everything about us is geared
to bring travellers together enabling everyone to share ideas,
stories and lives.
Reliability- Consistently being good at what we do is
essential to become a reliable partner. We strive to perfect
thisthrough transparent andrigorousprocesses and through
acarefully curate mix of empowered people,unparalleled
capabilities and customer centric high performance culture.

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WORKING MODULE
Handpicked Reliable Greeters and Experience Providers
Each experience showcased on Stay Ok is facilitated by
Greeters and Local Experts who have been selected and vetted
through a stringent process, so you get to meet and interact
with reliable local people.

Discover Local Experiences

Just select the city you are traveling to and discover a whole
bunch of local experiences in that area. Select the experience
you that fascinates you.

Connect and Interact

We connect you with the right Padhaaro Greeter or Expert
within 12 hours of receiving the request.

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Book the Trip and Enjoy

Once you've booked the experience, you will have
access to expert inputs from local greeters to
ensure you have everything you need.

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OUR WEBSITE FOR ONLINE

BOOKING AND DETAILS

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MARKET AND PROMOTION

We believe direct marketing to be a strong source of survival for
us
Another main and very important way we will reach our
customers is through our hostels website
Creating poster, business cards, and various other merchandise
like key chains or a pen will also be great for our guests to take
along with them on their journey.
will have is sending our brochures to other hotels and various
tourist spot along the city.

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MARKET OVERVIEW
Youth travellers stay longer (average 53 days),
spend more (Rs.66,000 to Rs.3,96,000 per trip)
and travel more frequently (1.44 trip p.a) than
the average tourist and more often than not, they
use their money with local retailers.
Youth Travel influences the size and patterns of
Global tourism development.Young travellers
form their future purchasing and travelling
patterns often based on their youth travel
experiences (estimated long-life travel
budgetRs.26,40,000 79,20,000 per traveller).

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MARKET FEASIBILITY AND

VIABILITY
The plan is to convert an existing building into a hostel, which
will keep building costs to a minimum.
The hostel will feature private rooms as well as shared rooms.
We will charge more for the private rooms than for the shared
rooms
A full kitchen will also be available to patrons, equipped with
all of the essentials to make and serve a meal, such as pots,
pans, dishes and basic spices.
Initial capital needed to develop the hostel will be fairly high
due to the fact that a building will have to be bought and
renovated to fit the needs of the business, and supplies will
have to be bought. Supplies needed include beds and other
furniture such as bookcases, tables, chairs, dressers, and
lockers, bed linens, towels, and kitchen supplies basically all 33
the necessities to run a hostel.

MARKET IDENTIFICATION AND

SEGMENTATION ANALYSIS
There are a number of individuals we will be
targeting to look to our hostel for service. The
general description of our customer is the average
traveler looking for quality room and board at a
low price.
We also would like to stress that those travelers
looking for an experience close to the locals and
close to other travelers, would thoroughly enjoy
all wehave to offer. Because of the way a hostel
works it allows individuals to build valuable and
memorable relationships with the workers in the
hostel.

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DIFFERENTIATION STRATEGY
When setting up our marketing plan for our hostel we have
taken in some key elements that will help differentiate our
hostel from other hostels along the kullu and manali.
One of our most important marketing plans is our
outstanding low price. Many local hostels in the kullu and
manali have rates range from Rs 700 Rs 1000 a night.
Stay ok will charge only Rs 400-Rs500 a night. We believe
in keeping the low hostel price alive by choosing to provide
our travelers with this great rate .
Some unique features that help differentiate our hostel
from our competitors as well as hotels is the:
free Internet, WI-FI, coffee, tea, a book exchange, pancake
breakfast and our front security gate.
These things will help keep us competitive.

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A few other factors that will attract travelers to

our hostel with be our common areas such as a
fully supplied kitchen, sitting room and game
room.

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FINANCIAL PLAN AND PROJECTION

For the purpose of finding the estimate investment for the following
dorms/hostels we have briefly given the amount required to
establish the hostel
ONE TIME INVESTMENT (in Lakhs)

0.6

Bed & Mattress

Common Room

5.8

7.7

Painting & Repairing

Reception Disk

2.5

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Therefore, total One time investment = 16.6 lakhs

Monthly Operation expenses (in Thousands)

Salary

Utilities

Rent

Mantainance

17%
1%

22%

60%

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Monthly expenses = Rs.3.39 lakhs per month

FINANCIAL CALCULATOR
Number of bed : 30 (in each loacation)
Property condition: slightly old leased
property but properly repaired with installed
AC and geyser, and required all facilities.
On season duration : round the year

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Therefore from the calculation we have

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LOOK AT SOME OUR DESIGN

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THANKYOU
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