We don't have children so slightly different to a lot of you but me and DH much prefer SC to staying in an hotel. Since finding Airbnb a few years ago that's what we use for most of our holidays.
We can get a nice house or flat, usually 2 bed, comfortable settee, tv and usually dvd's, cd's books etc there. I make sure that reviewers have said the beds are comfortable. Also make sure there is a decent shower and proper kitchen i.e. a cooker (quite a few Airbnb abroad only have microwaves which, we think, is useless).
We don't like the fact that in a hotel you have to abide by the breakfast times - we are both early risers and breakfast doesn't usually start early enough for us especially at weekends. You have to get washed and dressed before you have breakfast whereas we both like to get up, put on dressing gowns and eat.
You have to go out so the room can be cleaned. You can't make any food so have to have all food out which is restrictive and expensive. Hotel breakfasts in this country are pretty boring although I do like the buffet ones abroad that have masses of choice.
Lunches out even if only a sandwich and a drink can work out expensive, often not much cheaper than a cheap, say pub meal, in the evening would be. I don't see the point in paying ridiculous prices for lunch. We can buy a baguette and have cheese, crisps, fruit etc which we take out with us. Or if we are doing things close to where we are staying we can choose to go back to eat.
If the weather is shit we can sit in the house/flat on a comfy settee and watch tv, watch dvd's, listen to music, read etc. In a hotel there is often only 1 chair which is rarely comfortable so you have to sit on the bed.
We sometimes eat out in the evening but we are both vegetarian and get fed up with having little choice especially abroad. Also we both like cooking and are pretty fair cooks so begrudge paying for something we could make as well if not better. We can buy 3 bottles of wine for the price of 1 in a restaurant.
As I said, we both like cooking so don't see it as a chore although we usually cook simpler meals when we are away. We have never stayed anywhere with a dishwasher as don't see washing up as a big deal. A hotel means you have to eat out every night.
Also a quick bit of cleaning to keep on top of it every day hardly hurts. We both share everything that has to be done and it really takes such a little time.
The other thing I hate about hotels is they are so often noisy. People coming back at 2am slamming doors, talking at the top of their voices. It almost always sounds like you have a herd of elephants in the room above you. Then when we get up early we have to creep around in order not to wake anyone up.
We can afford nicer holidays and more of them by going self catering