Make no mistake about it, the hotel industry is extremely competitive. If you are a hotel owner or you work for one, you probably don’t need me to remind you of this. You are probably saying to yourself, “Tell me something that I don’t already know.”
But unfortunately, given how competitive the hospitality industry, both inside and outside of the Teifi Valley area, you really can’t afford to drop the ball. You really can’t afford to bury your company’s head in the sand and just pretend that the problem doesn’t exist.
That is not a workable strategy because sooner or later, your competitors will get the upper hand and you might soon be out of business. It really all boils down to being proactive.
You have to understand that in any market, there are always several segments. For example, people who are looking to pay tens of thousands of dollars for the very best comfort for a single night, are probably not going to mess around with budget motel rooms that rent out for less than $100. That’s just not going to happen.
Flip this script and you have the exact same situation. In other words, people who feel that they can only afford to spend less than $100 on a hotel room are probably not even going to be interested in luxury hotel rooms.
That’s just the nature of the beast. You have to figure out your market segment so you can position your accommodations the right way.
Think of it as just another product. Just like a physical product, you have to arrive at a brand strategy.
This brand strategy is going to dictate which market segment you’re going to market to, or whether you’re going to offer discounts and all sorts of promotional decisions that will ensure that people would want to pay attention to your brand.
Now, in the hotel industry, there is an interesting trick that you might want to try. It really all boils down to perceived value.
I’ve seen it happen quite a bit. A company would put up some sort of special chair or they would hold special promotions and special exhibits and people would flock to the hotel. That hotel will be fully booked.
And the best part to all of this is that the establishment didn’t really spend all that much money. It doesn’t take much for companies to exhibit perceived value.
In fact, the perceived value is mostly perception. It’s not really rooted in the amount of money you have sunk into some sort of planned improvement campaign. You don’t necessarily have to repaint or remodel your hotel for you to get a nice boost in bookings as well as in the rates.
I know that sounds crazy, but this happens all the time. So do yourself a big favor, invest in small cosmetic touches.
They don’t have to be overly dramatic, you don’t have to be a hero, but you just have to come up with something that looks dramatically different enough as far as your competitors are concerned so you can get a leg up.
That’s really the bottom line because accommodation businesses are always being compared to other accommodation businesses. If you come up with some sort of gimmick for your business to look different enough, the perceived value of whatever it is you’re offering goes through the roof.
So one quick and easy solution that I’ve seen is when accommodation owners invested in the kind of composite decking UK hotel owners recommend. When I saw this, it really shocked me as to how well bookings improved. So if these companies can do it, you can too.