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Slim chance of a budget hotel stay in Finland

Budget hotels are increasingly popular around the world, but they have yet to make an appearance in Finland. Hotel chains operating in Finland are not excited by the prospect of charging just 30 euros a night.

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Image: YLE

The cheapest hotel nights in Finland will seem expensive when compared to central or southern Europe. Foreign budget hotel giants not become a presence in Finland.

“I think they would have come here by now if this was a simple equation for them,” says Sokos Hotels Director Harri Ojanperä.

Three chains—Sokos, Scandic and Restel—control 60 percent of the Finnish hotel market.

The average price of a hotel night in Finland is around 90 euros. Except in Helsinki, hotel prices have risen over the past couple of decades despite the increased number of rooms available.

“In off-season, we do the same as the aviation industry—prices are adjusted, so one can get a four-star product for essentially a budget price,” says Scandic Hotels Vice President for Finland Arne Hallama.

However, the price is still not near 30 euros, and Finland’s three biggest chains are not in a hurry to get there.

“Never say never,” notes Ojanperä. “Indeed we are constantly considering different options and looking into such potential options for the future, but currently there are no such plans.”

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