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In 1925 the first roadside "motel" opened in San Luis Obispo, California for $2.50 a night. Today's lodging rates do not compare to that "bargain", but Economy/Budget Hotels aim to provide the traveler with clean, comfortable accommodations and excellent customer service for those traveling on a budget. Some typical hotels that fill this need are Microtel Inns & Suites, Howard Johnson Express, Motel 6, Travelodge and Rodeway Inn.

Although these accommodations are less pricey than Mid-scale Hotels, they do not scrimp on amenities. The provided services may range among the properties, but most guests of these hotels enjoy free continental breakfast, free premium cable television and local telephone calls, free local weekday newspapers, and some of these hotels even have pools and exercise facilities.

Because of their continued growth through franchise development, Economy/Budget Hotels are very attractive places to work because of the outstanding opportunities for advancement.
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