According to recent statistics, only one in five hotels in the UK offers on-site EV charging facilities. With over 30% of all new car registrations either fully electric or hybrid, this represents a significant opportunity for hotels to grasp their share of this emerging market and secure a lucrative competitive edge.
EV charging facilities are fast becoming a ‘must-have’ when it comes to booking a hotel. For a hotel, this involves a considerable investment, but the benefits of installing a public charging station can be significant. In this article, we’ll examine the benefits in detail, as well as look at some of the financial incentives on offer to hotels.
Why Hotels Should Consider Investing in EV Charging Stations
Favourable Benefit-in-Kind rates, new car subsidies and a focus on environmental policies have driven EV ownership and fleet electrification to new highs in recent years. This is having a significant impact on the hotel sector, as both corporate and leisure travellers are opting for sites offering the convenience of EV public charging facilities. For hotels, there are several lucrative benefits to installing public EV charging stations.
Boost Guest Experience
Offering EV charging options adds a layer of comfort and convenience for guests. On-site facilities eliminate the worry of finding suitable charging facilities nearby; they can simply plug in and relax. This increases positive reviews.
Increased Revenue Streams
Guest loyalty and repeat bookings are optimised once they know a hotel supports their charging needs. There is also likely to be an increased spend per guest in restaurants, cafes, and lounges as guests charge their vehicles. Even those not staying at the hotel will be attracted to its charging facilities, earning extra revenue for the property.
Longer Stays
EV charging typically takes a few hours. If EV charging is available, guests are more likely to remain on-site using hotel facilities while their car is being charged. Corporate and leisure travellers may prefer a hotel with EV facilities so they can charge their vehicle overnight, rather than planning it into their daytime schedule.
Attract Eco-Conscious Guests
Eco-conscious travellers and businesses favour hotels that align with their ethos. A hotel with environmentally friendly features will attract this vital segment of the market.
Enhanced Brand Image
Providing EV charging facilities adds to the brand image of a hotel or business, demonstrating their commitment to sustainability and green values, which is important to many travellers.
Competitive Edge
Having charging facilities on-site makes a hotel the destination of choice for overnight stays and daytime visitors to the area. This is particularly lucrative if the surrounding EV infrastructure is limited.
A hotel offering on-site EV charging facilities encourages longer stay times, more overnight bookings and higher on-site spending.
How Hotels Generate Revenue from EV Charging
Several methods are available to hotels for charging customers to power up their vehicles, with many utilising a combination of different pricing strategies to fully maximise charging revenue.
- Free Charging – included in room rate to attract customers. Improves customer satisfaction and removes complex billing and pricing.
- Pay-Per-Use – guests pay for the energy they use. Generates additional revenue for hotels and prevents cars occupying charge spaces for too long.
- Premium Rates – included as a perk in higher room categories, encouraging guests to book more expensive rooms.
- Subscription Partnerships – hotels partner with charge networks. Lowers installation cost for hotels and expands visibility through exposure to new guests.
- Public Access Revenue – hotel offers charge facilities to non-guests for a fee. Attracts revenue from dining visitors and future overnight guests.
Investment Incentives
EV ownership has been the focus of governments since 2003, when the UK introduced the Congestion Charge in London to combat high air pollution in cities. Since then, the government has announced ambitious targets to ban sales of new petrol and diesel cars by 2030. This produced a surge in EV sales and a significant increase in charging infrastructure. There are several initiatives for hotels to capitalise on.
- Workplace Charging Scheme (WCS) – covers part of the cost of purchasing and installing electric vehicle chargepoint sockets. Eligible sites can claim up to £350 per socket installed, up to a maximum of 40 sockets across all sites for one organisation.
- EV Chargepoint Grant for Landlords – provides up to £350 towards the cost of each individual chargepoint socket installed at commercial properties, including hotels.
- Electric Vehicle Infrastructure Grant – financial help for small and medium-sized businesses installing chargepoints and infrastructure for staff and fleet vehicles. Includes wiring, parking space preparation and other associated costs. Can be used alongside the chargepoint grant to cover wider installation work.
- Grants for Commercial Property Owners – variable grants offering up to £30,000 per property for enabling infrastructure.
The Rise of EV-Friendly Hotels: Future Trends
Market trends indicate that EV ownership is set to increase even further in the future, with fleet managers and private drivers capitalising on the incentives of EV ownership. In the hospitality sector, providing EV charging is becoming a decision-making factor for customers. Providing electric vehicle charging facilities boosts guest satisfaction and increases revenue.
Investing in EV charging facilities can future-proof your hotel investment and keep you in the market as it moves further towards EV ownership.
Vital EV offers industry-leading DC electric vehicle charging solutions. We provide the complete package from site survey, design and installation to full-life maintenance and support. Future-proof your business with commercial EV charging solutions installed and maintained by manufacturer-certified experts.
Anna Eyre
Digital Marketing Lead
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