4. Which new factors (that the industry had never offered) should be developed? These covered costminimizing factors such as the availability of room keys via an automated teller. The rooms themselves are modular blocks manufactured in a factory, a method which may not result in the nicest architectural aesthetics but gives economies of scale in production and considerable cost advantages. formule 1 has cut the average cost of building a room in half and its staff costs (in relation to total sales) dropped below the industry average (approximately 30 per cent) to between 20 and 23 per cent. These cost savings have allowed Accor to improve the features, that customers value most (‘a good night’s sleep at a low price’)