Viewing it as both a way to plan ahead for future demand and a way to differentiate from the competition, many hoteliers in the U.S. have electric vehicle charging stations installed at their properties.
While electric vehicles currently make up a small percentage of both the number of cars on the road and overall car sales, their popularity is forecasted to increase, especially considering the $5 billion of federal investment intended for charging-station infrastructure and ongoing concerns over gas prices.
Hoteliers who have invested in these charging stations say they’re giving travelers on the road a place to recharge both themselves and their cars.
The Decision To Invest
The Foundry Hotel, Curio Collection by Hilton, in Asheville, North Carolina, has a house Tesla car and a Tesla charging station. Gavin Philipp, senior vice president of Woven by Raines at Raines Hospitality, said his company, which owns and operates the Foundry, is considering adding a universal charging station to the hotel.
When Raines was developing the Foundry, executives decided to add the car and charging station as part of the hotel’s luxury experience, he said. The Tesla is a house car that staff will use to drive guests within a 3-mile radius of the hotel. While the hotel uses the charging station for its house car, guests arriving in Teslas are welcome to use it as well.
“That was an amenity and a programming feature of the hotel from the get-go,” Philipp said.
Raines bought the Foundry’s charging station as part of buying the Tesla, Philipp said. Guests with Teslas can use the charging station free of charge, but only guests of the hotel may use it. The hotel doesn’t have its own parking, so it leases spaces to park guest vehicles.
The Witness Group installed its first charging station at a hotel in 2017, and the company now has about 10 hotels with charging stations, said Aakash Patel, principal of development. It started with a Tesla charger because at the time, Tesla was offering the charging stations for free and subsidies to install them. Since then, Witness has added universal charging stations as well.
For smaller hotels with 100 or so rooms, Witness will have two chargers that cover two parking spots each, Patel said. For larger hotels, it adds more stations, such as one hotel in Indianapolis the company is building with 180 rooms and eight charging stations.
While it’s more expensive for an existing hotel to add the charging stations because it would require digging up the parking lot and adding new infrastructure, for any new-build project it should be straightforward, Patel said. Regardless, the charging stations aren’t cheap, but he said hoteliers shouldn’t force the return-on-investment discussion on everything.
“That's my opinion for a lot of initiatives at hotels,” he said. “To differentiate, to lean into what these large companies usually get out ahead of as smaller entrepreneurs and owners. To do those things, you got to take steps that are what you align with versus what's profitable.”
The sustainability factor is also important, Patel said.
“Personally, I have a strong feeling to the fact that we do have to think of ways to create more economical and sustainable mechanisms for the world, and we have to do our part,” he said.
Free of Charge
There’s no reservation process for guests who want to use the charging station, Philipp said. The hotel employees at the Foundry don't necessarily know who is arriving in a Tesla, but when the charging station is available, guests can plug in.
“It’s very easy for our staff to relocate our house car in order to allow that guest to take that spot and charge their vehicle,” he said. “I don’t know of a time where we’ve had to turn anybody away because we had three Teslas at the property at the same time. Once a guest’s vehicle is charged, if we had another one that needed it, we would be able to coordinate it.”
Guest feedback on the charging station has been positive, Philipp said. The company is looking into adding an additional charger, which some guests have inquired about.
“More and more car companies are coming out with electric models, so I think making sure that the stations are adaptable to various makes and models of cars is going to become increasingly important,” he said.
For now, there’s no reservation process or fee for guests who want to use the charging stations at Hotel Equities’ properties, said Joe Viglietta, regional director of operations. Guests can plug in when they arrive at the hotel and charge their electric vehicles overnight. The company is working on a plan now to set up reservations and fees as EVs become more prevalent and demand for these charging stations increase.
Any fee for charging an EV wouldn’t be seen so much as a moneymaker but as a way to recoup the cost of electricity, Viglietta said. The cost of electricity for two charging stations isn’t a significant concern, but the company is planning ahead for when hotels could have 15 or 20 charging stations and they’re all being used.
“We are of the collective belief that there's going to be a widespread proliferation of the need for EV charging stations as consumers in the U.S. continue to adopt this as a kind of way of life,” Viglietta said.
Brand Support
Several hotel brand companies have recognized the value in EV charging stations and have helped franchisees explore the amenity.
Choice Hotels International said in a statement that it has installations planned and underway at more than a dozen franchised properties in Tennessee during the first quarter of this year. The company is reviewing dozens of potential properties for the next phase, and owners are excited about the prospect of having charging stations to meet guest demand.
Hilton has electric vehicle charging stations at more than 1,000 of its U.S. properties and 1,500 globally, Chief Brand Officer Matt Schuyler said via email. The company added a new search filter that allows guests to find hotels with charging stations and book them directly through its website.
Hilton is paying attention to guest expectations and interest in EV charging stations, Schuyler said. As the company continues to grow its hotel portfolio, many of the new-build hotels are required to include charging stations in their development plans. Hilton is working with its in-house supply chain experts to help owners and provide them with options to work with preferred vendors to install charging stations at their discretion.
“Our goal is always to ensure we meet our guests' needs,” Schuyler said. “More and more, we know our guests will require EV chargers, so that’s where we want to be. EV chargers offer a tremendous value to our guests and communities around the world — that is why we are pleased to have this solution available in many of our hotels today and in the future.”
Marriott International has more than 1,300 hotels across the U.S. with charging stations. Its Element Hotels brand has had EV charging stations as a brand standard for eight years, said Marlon Whyte, global brand leader for AC Hotels and Element by Westin Hotels. Each Element property is required to have at least two charging stations with universal and Tesla hookups.
When the brand standard came out, there were 21 Element hotels, he said. It became the standard for all future Element hotels, but the brand also required it of the existing hotels as well.
Owners were supportive of the new standard because of its innovated approach to serving guests and its minimal investment, Whyte said. Most owners have worked with charging station companies through leasing programs, and many installed the stations for free. The reception has been so positive that several owners have installed more than the two stations that are required.
A Way To Differentiate
As people drive their electric cars on trips, they can see locations that offer charging stations along their routes, Whyte said.
“When someone’s traveling along the road and they see a hotel pop up that’s on the grid, I think it’s more than likely that’s going to entice the guests to stay at that hotel,” he said.
Along with roadside locations, hotels with charging stations in urban and suburban markets will benefit as well, he said. People heading to destinations in urban city centers will know they’ll be able to charge their cars at an Element Hotel.
Many online travel agencies are including EV chargers as a filter when consumers are searching for hotels, Viglietta said. Over time, people will be able to easily find hotels with EV charging stations just as they can search for hotels with pools and hotels that allow pets. Guests driving electric vehicles will see this as a decision-making factor in future trips, he said.
"The next three to five years are going to be critical to get ahead of this," he said.