In today's hospitality industry, it's crucial to cut costs while still outshining competitors. Hoteliers stay on top of trends and provide luxurious amenities in attempts to lure bookers and increase stays.

One way hotels choose to differentiate themselves is with an in-house shuttle service. The operation might be a simple van that drives back and forth from the airport. It could also be a decked-out bus that stops at all the city's best highlights.

Some brands are thinking ahead, attempting to offer hotel rooms that can travel autonomously. These suites, able to fit up to five people, are equipped with mattresses, bathroom facilities — including a toilet and sitting shower — small living room and kitchenette.

A shuttle service, while providing plenty of benefits, is inherently expensive. Outsourcing has become a growing trend to save money. Since transportation is not a hotel's core offering, many take advantage of subcontracting a third party.

Running a Hotel Shuttle Service

Hotels with an airport shuttle can sell rooms to both tourists and locals, enticing those who prefer to avoid the hassle of long-term parking. In urban areas, many hotels don't attempt to compete with public transportation, taxis and ride-share services like Lyft and Uber. Others tap into the tourism sector by providing reliable transportation to local hotspots.

Some guests prefer to book hotel stays directly through a shuttle service, making convenient transportation a top priority, even over accommodations. Most travelers also favor the ease of booking travel and hotel rooms together.

Hotels that offer the service consider it an asset to their property. Some customers even include amenity as a critical factor in choosing where to stay. When traveling from a new country, tourists can avoid foreign transportation systems and feel comfortable using a reliable shuttle service. Plus, multiple drop-off points around the city can be an alluring convenience.

Many brands argue shuttle services help differentiate themselves from competitors, focusing on the complete guest experience. The gesture goes above and beyond the typical hotel stay, showing guests your appreciation in a way that builds trust and loyalty. An excellent shuttle service is one that maximizes both comfort and convenience, building on the overall stay experience.

Despite the many benefits, a self-run shuttle service can prove a financial burden to many hotels. The costs to run a shuttle service are enormous and can increase with time as equipment — such as vans or buses — ages.

Just the bus alone, able to hold 14 passengers, costs an average of $500,000. That doesn't take into account fuel, insurance, registration or regular maintenance. It's essential to understand all of the cost elements to the amenity.

No matter where you stand on the subject of outsourcing shuttle operations, it's essential to make the guest experience your priority.

Outsourcing a Hotel Shuttle Service

Outsourcing, subcontracting your hotel's shuttle service through a third party, can be an efficient way to cut costs while saving time and resources.

According to Matt McClelland, EVP of operations and development for Concord Hospitality, a shuttle van alone will cost between $150,000 and $175,000 a year to run. Hotels can avoid high costs like the purchase of a bus, regular maintenance, driver salaries and more.

Third-party companies focus on transportation as their primary source of revenue. They have more purchasing power for fleet operations and more effective maintenance procedures. They also provide trained professional drivers who are knowledgeable about the city.

Hoteliers who can't afford to offer a shuttle service can use outsourced transportation as a way to grow their brand. Instead of buying all the elements of an inclusive experience, you can pay a set rate to delegate the responsibility to a trusted and highly rated transportation service.

Subcontracting a third party minimizes a hotel's risk of liability. In the case of accident or injury, the risk transfers to the transportation provider. This method protects hoteliers from financial costs, including property damage and personal injury claims.

By outsourcing, you can minimize overhead while still providing benefit to guests. With more time and resources, hotels can focus on key services such as accommodations, catering and event hosting.

The verdict is in — guests love hotels that offer a shuttle service. However, costs and overall goals will dictate whether a self-run or outsourced transportation system will work best. Both opportunities come with benefits. No matter what you choose, remember to keep the guest experience, including comfort and convenience, at the forefront of your mind.