As we step into the ‘new normal’, the hospitality industry has to find ways to rebuild after the COVID-19 pandemic. One such way to rebuild is to introduce new and unique products and services in the market.
One such thing that caught our eye was the Shipping Container Hotel in Singapore that gives its guests a unique experience for their night’s stay. Just like the name states, the hotel room is actually a repurposed shipping container that has been kitted out to provide a comfortable and even luxurious experience for anyone.
A night in this 280 sq ft metal container can set you back around US$150 depending on the season, but comes with the creature comforts you would expect from any top-range hotel in the region.
We reached out to founder Seah Liang Chiang to find out more about this interesting offer and also learn more about his journey as a tech entrepreneur and now hotelier.
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Find out what Seah Liang Chiang had to share with us.
Your journey as an entrepreneur is a fascinating story. What led you to start such a novel concept such as the Shipping Container Hotel?
After I sold my IT company, I ventured into investing in start-ups. After a few years, I lost a lot of money! I realised that being a business owner and being an investor are two very different things requiring different skill sets. I realised that my skills sets are best as a business owner or an entrepreneur. The question was what business should I go into? After being in IT for over 25 years, I was looking for a new challenge.
I remember being in a church service one Sunday a few years ago and the preacher said, for those above 50 years old, I want you to know that God has given you a new lease of life. You have made a lot of mistakes in your last 50 years so forget about it! You now have the next 50 years to re-write your history. Though I may not live till 100 years old, I found his preaching very inspiring. I started to wonder, what business shall I venture into in my next lap?
Around the same time that I was pondering about a new business, I built a tiny house on a piece of land that I own in Johor sometime in 2018. I decided to build it because I was inspired by Americans and Europeans who had a “weekend retreat in the mountains”. I wanted to experience living in a weekend retreat/cabin as well. I was deciding on whether I should use wood to build the cabin but decided against it as wood tends to rot in our weather over time. I then Googled “weekend cabins”, “tiny houses”, etc. to get ideas from the internet.
That’s when I chanced upon people who used shipping containers to build their tiny houses. This was a short-term project for me (2~3 years) as eventually, I intend to build a brick and mortar house on that piece of land. Therefore, I wanted to build something that I can easily move out in a few years’ time.
I downloaded free 3D interior design software from the internet and taught myself how to design a practical tiny house within the confines of a 40’ shipping container. The tiny house has to accommodate me, my wife and my teenage daughter. And it must come with a kitchen because I love to cook! I probably had over 100 designs before decided on one. That project took 4 months and was completed in late 2018 and yes, I stay there occasionally. I sourced the container from a company in Johor that was retrofitting used containers for site office use.
After completing this project, I remember having a cup of coffee on the patio looking out at the lake in front of my land and feeling very satisfied when the idea struck me; what if I can offer this “experience” to Singaporeans? The “experience” I was referring to was the ability to “live off the grid” in unique places in Singapore. Many Singaporeans will check into a hotel in Sentosa or in the city over the weekend as a weekend retreat.
To me, that’s passé. I want Singaporeans to have a unique staycation. Imagine a staycay in a nature reserve, a park, the beach, Serangoon Island, Lazarus Island, etc., places where traditional hotels will not be allowed to operate. But I just didn’t want to give them a place to stay. The “pop-up” hotel has to have the trappings of a modern hotel, i.e. air-condition, hot running water, Wi-Fi, proper sanitation, etc.
What was the biggest difference for you starting this business compared to starting your other tech and enterprise businesses?
In my other tech companies, I had prior experience or domain expertise in the tech that I was involved in. I used to work for companies that were in the same tech space. That’s where I honed my skills and got all my business contacts. Therefore, transitioning from working for an MNC to my own business wasn’t that challenging tech-wise. But the Shipping Container Hotel was the other end of the tech spectrum! In fact, it was a very low tech business model. But I must admit that it got my creative juices flowing. I love to design stuff, especially interior design. To me, the fun part was to design the hotels and see it come to fruition.
What was the initial reaction from your guests when they stayed in the Shipping Container hotel?
When I first built the hotels, I had totally no idea if anyone will want to stay in a shipping container. The fact that on one has ever done this in Singapore could mean many things least being because no one will want to stay in one! Who would know that it would become a hit with Singaporeans?
I took a S$200,000 risk and I’m glad to say that it was a right gamble because people like the experience of staying in a tiny house!
With the pandemic still ongoing, how do you think the hospitality and tourism industry will change in Singapore and the rest of the world?
I believe that all industries will be impacted in one way or another. Off course the most challenging will be the hospitality and travel sector. Post Circuit Breaker period, there will be a shift in preference and behaviour among travellers. The priority for travellers will be the hygiene standards of transportations, hotels and other tourism facilities. Businesses in the hospitality industry that are able to adjust to this new requirement will be able to bounce back the fastest.
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Pre Circuit Breaker, we were running almost full. However, during the CB, we closed our hotels and business fell down to zero. Therefore, the pandemic has hit us hard. In a way I’m thankful that we only just started out and being a very small hotel, the impact is less severe for us. However, we are taking the opportunity to change our business model slightly to cater to the new normal. For instance, we are now focusing more on local tourism, unique experiences and wellness. Our hotels are also sustainable and eco-friendly (as it’s made of re-purposed shipping containers) and thus, we hope to reach out to travellers who are now more concern about the environment.
We live in a fast-paced society and we seldom stop to think of the environment and the less fortunate. I no longer look at work or business from purely a bottom-line point of view. I look at work and life more holistically now. Our work and the way we live our lives have to stop destroying mother nature and the environment. In the past, we can plead ignorance about what is happening in the world. But today, we can no longer do so. Therefore, going forward, my work and the way I live my life has to complement and benefit the world that we live in today. I want, in my small little way, to take care of the environment and the less fortunate.
What are your plans for the hotel concept? Do you see it growing and expanding once the market opens up?
I plan to place up to 50 shipping container hotels all around Singapore within the next 5 years. Once we have established our brand in Singapore, I hope to expand our hotels worldwide.
We are on the look out for insight from the leading travel experts from around the world to give our readers a better understanding of what the world will look like post COVID-19.
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