I recently was employed to market a budget hostel online and I decided to employ a two fold approach.
1. I realised that the they did not really need a website, so I set up a quick website at wordpress.com (while this is not as customisable as a fully hosted website it gives them a primary point of presence online).
2. I have started approaching online conversations of potential customers: outdoors groups, bikers, college students.
I have created a central Google document to hold all their marketing information in one place which allows me to pass individual tasks back to staff in the hostel itself. I will be tracking this campaign over the course of the next few months.