Green idea packed into franchise – Entrepreneurs from Kragujevac and Istanbul interested in Uzice-based Eco hostel "Republik" business model

The eKapija portal released competition for the best investment in 2015, "Aurea 2015". Embracing new winners, we visited companies which joined the finals last year to see how far they got with their business development.

The first and so far the only environmental hostel in the region, Uzice-based , during less than a year, succeeded in increasing capacity to 30 beds, making its interior more attractive and starting negotiations on franchise. As for now, entrepreneurs from Kragujevac and Istanbul showed interest in construction of eco hostel in their towns.

During recently held movie festival "Kustendorf", one could not find a spare room at "Republik" GM at the hostel, Marko Ristovski, says that a large number of visitors was the consequence of investing in marketing.

-We are currently focused on domestic guests whose consuming power decrease so we have special discounts for them - Ristovski says for eKapija.

When it comes to foreign visitors, guests from Germany, Russia and Japan are most common visitors and the Australians, Swedish, Polish and Portuguese wrote their positive impressons about the hostel at numerous international websites for accommodation bookings . Thus, at the popular Booking.com website, the hostel was graded with nine and in most of the cases guests were recommending it for cleanness and kinds hotel staff.

As for now, the Republik hostel has been cooperating with five tourist agencies but, as they say, visitors most often find them alone via internet.

Due to last year’s floods, just like overall economic situation in Serbia, the hostel had worse season. Guests cancelled all bookings for May and June which is why Republik was at the edge of survival. That was the reason why a number of environmental investments planned for 2014 was not accomplished. They survived the crisis thanks to the American blogger, Charles Cather, who helped them with promotion and some funds was collected through the campaign at the IndieGogo website. Since due to floods numerous competitions for state-owned funds were halted, Ristovski says this year they are waiting for the competition opening where they will apply for donations.

- "Off grid" system (energy independence generated through solar supplying) is an investment which cost EUR 15.000 which the hostel cannot cover from its own budget but we do not give up on the green idea and self-sustainability - Ristevski says and adds that solar panels made then huge energy savings.

Republik became a meeting spot of numerous volunteers from abroad as well as local students who come here for practice. During last year, six students of Belgrade Business College in Uzice had 15-day practice here.

During 2015, more intensive promotion in big regional tourist centers such as Budapest and Istnbul is planned. The focus is on environmental tours so visitors of Republik as of this year will be able to rent a kayak and new excursions are planned as well. Another idea waiting to be implemented is a tourist bus which would operate at the Sarajevo – Uzice – Nis line and thus transport guests.

(Marko Blagojevic receiving the plate for joining the Aurea 2014 award finals)

Eco hostel "Republik" has been existing since September 2013 when two young people from Uzice, Marko Ristovski and Milan Bogojevic set it up. The basic idea of this hostel is to follow the Uzicka republika (the Uzice Republic) idea wherefrom the wish for the hotel to become energy self-sustainable comes.

Due to importance of environmental concept and innovative market approach, Eco hostel "Republik" was last year listed among the finalist for the "Aurea" award which our portal delivers.