Falling sales

As a hotelier you have undoubtedly put a lot of effort into marketing your hotel to achieve the needed levels of occupancy and revenue. To keep the top performance of the property, a number of marketing instruments are used:

  • Awesome website
  • Large number of distribution channels and partners
  • Online ads, etc.

And business is good… until you realize that your room sales are falling without a reasonable explanation. This paradox will likely leave you wondering what stands behind and what you can do to counter it. Here are a few ways to tackle this problem.

Change your slogan or logo

Have you ever noticed how large companies and chains of stores change their logos and slogans regularly? Although a company may have the best ad, with time everything wears out. It is the same with your website, online ads and slogans. If you’ve kept them for years, maybe it is time for a change. A new logo and slogan, or even a brand new website, will attract customer attention that will lead to new sales.

Eliminate several room categories

Here’s a solution that may raise your eyebrow - simply eliminate a few room categories to increase sales. The explanation is hidden in human psychology. Research shows that when a person is presented with lots of choices, they feel overwhelmed and this hinders their selection process. The end result is reduced sales. If the choice is limited, then more people decide to buy. All you need to do is group all your rooms in just a few categories. This will also simplify the booking process, which if too complicated, will turn people away.

Upward trend

Add value to your hotel

When sales fall, common logic commands that you have to reduce prices. In the hospitality industry this approach simply does not work. Reducing room prices will likely lead to a few more sales but the overall result will be further falling income because the extra sales you will get won’t be able to compensate for the lower prices. Instead, you should face the reality that people choose your hotel because of the value it presents. To keep sales going, try to add more value. It can come in the form of:

  • Additional free services
  • Combo deals
  • Future discounts, etc.

Value is what people don’t ever stop looking for, so you should be ready to focus your efforts on differentiating your product from your rivals based on its uniqueness and added value.

Develop and nurture personal relationships

The hospitality business has always been all about personal interaction. After all your property exists to serve real people. Therefore it is of utmost importance to offer excellent personalised services making guests feel at home. And what if you go one step further and turn these services into personal relationships. This will keep guests attached to your hotel, resulting in more and more visits. One of the ways to do this is to instruct your staff to address guests by their last names, creating closer interaction.


Show your unique features

Just like people, no two hotels are alike. In other words, your property has features that are unique to it. It is in your best interest to highlight them everywhere - on your website, in ads and mailing lists, etc. This will not only add even more value to your hotel, but will also make it one-of-a-kind and stand out among so many other competitors. For instance, you can use your location to get ahead of the competition. If there’s nothing worth seeing around you, you can add exceptional features to your property. All it takes is to use your imagination. Here’s a hint - you can host weddings on weekdays, too.

Falling room sales are an unpleasant phenomenon but they are a problem that can be resolved. You can start by examining your business closely to see what can be improved. Then simply apply the strategies we have just described. Trust us, they work.

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About Clock Software

Clock Software is a global provider of cloud-based property management systems (PMS), integrated online distribution, online & kiosk hotel self check-in solutions and mobile & in-room guest engagement systems with customers in more than 65 countries.