Jucy Rentals, the privately owned company that fits out imported second hand vehicles as camper vans, has "jucified" a building for use as a hotel.
The company's first hotel in Auckland is modern, bright and has big televisions, says chief executive Tim Alpe.
Jucy has entered the hotel market using a similar low cost business model it used to build a rental company, which now has 2000 vehicles and turns over $25 million a year. It has refurbished a leased building, which is cheaper than building a new property.
Jucy was started in 2001 by brothers Tim and Dan Alpe. The company was funded by their father and Tim Alpe said it has generated good cash flow from the start so funding has not been an issue.
The company rents cars and camper vans. It is hoping that customers using its vehicles will stay at its first hotel, and an introductory offer is designed to get that relationship going.
Mr Alpe said the company wanted to open hotels in Christchurch and Queenstown but wanted to get the first property right before it expanded. Ultimately the goal is to operate a chain of hotels.
The company has just come out of a good summer period, Mr Alpe said.
The marketing model being used is similar to that operated by some airlines - the philosophy being you pay for what you get.
Customers wanting rooms serviced daily pay a fee of $15. The company has fewer staff on site than a traditional hotel.
The model offers a low lead in price and customers pay for services they wanted on top. Wifi is another optional extra.
"We are a marketing business, I think," Mr Alpe said. "Brand is very important to us and our goals is to have a brand known throughout New Zealand and Australia."
The hotel opens this week. Mr Alpe said it was a natural extension of the brand.
"Accommodation and vehicle hire are two highly complementary areas of business - it makes sense that while we are talking to our customers about what they need to travel around the country, we also talk to them about their accommodation needs."
Jucy Hotel has the same distinctive purple and green branding and features the Jucy Lucy character that has become synonymous with tourists traversing the country in campers and cars.
The company now has offices in Auckland, Christchurch, Queenstown, Greymouth, Sydney, Brisbane, Melbourne and Cairns.
