Sight unseen I actually don't think this is all that expensive. It's not a replacement for an airport hotel for longer layovers, I can't imagine an 8 hour layover (no mention of showers..).

But if I had a long layover connecting international-to-domestic I don't think pricing is that bad for 2-3 hour use.

Assuming though there aren't any double rooms, this really only works for single travelers, once you start multiplying out the cost by multiple family members the value proposition no longer works. And I suspect that limits the market.

Convenient for a stay too short to leave the airport for a dayroom at a local hotel, but no showers and no room for more than one person means the usefulness is quite limited.