Why in the world would I choose your motel?

On my trip down the California coast, I noticed every little town is full of low-end motels.

Morro Bay has 23 motels in town.

Most are one or two-star motels.

Two claim to be three stars but look like the one-star motels.

The luxury motels in town are Best Western and Comfort Inn.

Want 5-star luxury?

Look at Airbnb or VRBO.

If you owned a one or two-star motel, why would I choose you?

In his book Simplify, Richard Koch describes two types of simplifiers.

1. Price simplifier
2. Proposition simplifier

Price simplifiers keep costs to a minimum and complete a high volume of low-profit transactions.

Ikea is a good example of a price simplifier.

They dramatically reduced costs by selling unassembled furniture.

Their focus was designing packaging so they could ship the furniture to Ikea stores at minimal cost.

The customer gladly pays less and assembles the furniture themselves (I hear your groans…).

For the most part, people are happy with the Ikea experience because the cost is dramatically lower…