5 Top Tips to Increase Hotel Revenue in 2021
Whether the unforeseeable last 12 months have impacted your hotel business more than you care to admit or you are simply looking for ideas to make more money in 2021 and beyond, it is always a good idea to look for new ways to stay one step ahead of your competition.
From investing in the latest in hotel software, rewarding your guests for booking directly, through to taking advantage of seasonal opportunities, keep reading to discover how you can increase your hotel revenue in the year ahead and make sure your business thrives rather than just survives in 2021.
Know your market
Hospitality is a fiercely competitive industry and therefore, it is crucial that you truly understand your market, if you hope to be able to stand out from the crowd.
Start by identifying your establishment’s strengths and weaknesses as this can help you to work out your USP (unique selling point) as a business. Once you know this, you can now establish what your current guest profile is, as well as the profile of potential new guests.
Use the right software
There is no denying that running a successful hotel business is hard work. However, thanks to developments in technology, many tasks that used to have to be carried out by your employees can now be automated.
Furthermore, software such as Hotel CRM, hotel custom relations management, can help to improve your overall guest experience and allow you to gather invaluable guest data.
From artificial intelligence to virtual reality, facial recognition to blockchain, do not be afraid to embrace new innovations that could potentially enhance your hotel business.
Reward your guests
Rewarding customer loyalty is nothing new, but in the hotel business it can pay more to reward guests that book directly via your website rather than through a third party. This is because you could be paying as much as 20% commission to online travel agencies for sending bookings your way.
Fortunately, there are several ways to encourage direct bookings online including:
- Create a responsive website
- Offer a discount
- Install a booking engine on your homepage
Take advantage of the holidays
It makes sense that you would charge more for a booking during the peak holidays than it would during low season months. However, are you also taking advantage of other crucial times in the year such as when local festivities are taking place or one-off local events? If not, you are seriously missing a trick.
It is also important to pay attention to shoulder seasons, i.e. the ones that are somewhere in between high and low peak months, where you can alter your pricing to encourage more bookings.
Online reviews can make or break a hotel business, with 81% of travellers always or frequently reading reviews before making a booking. Therefore, if you want to increase your hotel revenue in 2021, you need to be actively encouraging your guests to leave reviews.
You can do this by offering incentives, running social media giveaways and by always responding to reviews, whether they are positive or negative ones.