We are in an era where a great deal of sales and marketing effort is focused on the web and emerging social media and whilst this is understandable, there is a danger that some of the basics are being left by the wayside.
These are things that the successful hotels have always got right, but throughout a now long career in hotel sales and marketing, I continue to see far too many hotels failing to deliver.
Reliance on the web, social media and the new marketing tools cannot compensate for effectively addressing the basics.
Whilst there are many issues that could be addressed, I have highlighted three areas below where hotel companies and independent owners should be assuring themselves they are setting the best possible standards.
1. Enquiry HandlingIt has always been a maxim in the hotel industry that if we effectively convert enquiries then we will keep our beds full. A bit simplistic of course, but how many hotels can truly say they are doing a perfect job when it comes to handling enquiries?
Earlier this year I made an availability/price enquiry for a group of garden enthusiasts (of which I was one) for a weekend stay in the autumn, a total booking worth in the region of £7,000-£10,000. I sent the enquiry via the web to four UK country house hotels. Two of the hotels never responded to me. No business can afford to ignore such an opportunity.
What might have happened?
- The technical system failed to deliver the enquiry
- There was no internal management system to track the enquiry and ensure it was actioned
- Even more concerning, the manager may not have been aware the opportunity was missed
Could this have happened to you? You cannot afford to say, "I'm not sure".
2. Sales Team ManagementSenior sales staff are a costly resource. Are you getting value for money? We frequently find that senior management has insufficient information to effectively manage the sales and marketing department.
If your hotel does not have a market segment based strategy, with clear volume and revenue targets, there is every chance that your sales and marketing activity lacks adequate focus.
For example, if your Sales Manager does not know the volume and value of conference business in your budget and most particularly, the amount of new business required to achieve budget, then (s)he cannot plan how much time and money to devote to the sector. Once their time and expenditure budget is clearly linked to the value of business being targeted, they are in a better position to prioritise their own actions and management can more effectively monitor their performance.
We have often worked with management teams to set up systems to implement effective market segmentation as a basis of overall business strategy and development of sales and marketing action planning. The result is fully focused activity that enables effective management of the sales and marketing function.
If you do not have a market segment based strategy with clear volume and revenue targets, you are unlikely to be in full control of your business.
3. Evaluating CampaignsA great deal of marketing money is spent on campaigns of various sorts - short breaks, F&B promotions, pay-per-click, health club membership drives, etc. But how often have you sat at a Sales and Marketing review and been presented with a detailed analysis of what the business gained for the time and money spent? All such investment needs to be carefully assessed so you know where you've received value for money and to identify actions that should or should not be repeated.
Whilst it is accepted that attracting new customers who could become regular buyers may require considerable investment, the cost must be reasonable. In too many cases the sums are not done and relatively unproductive activity is repeated year after year. Until someone like me comes along and questions it! My favourite is F&B promotions for Mother's Day or Valentine's dinners where the relationship between the promotional cost and the true contribution to departmental profit of the extra covers would make the FD's hair stand on end.
Are you convinced you are getting value for money from your campaigns? You cannot afford not to know. Don't ignore new marketing and sales opportunities, but be sure they balance and complement the basics.
The Hotel Solutions Partnership team of hotel consultants knows just how important it is to fully understand the challenges facing our clients. The Hotel Solutions Partnership offers specialist hotel consultancy services to hotel owners, operators, developers and investors, or those wishing to become involved in the hotel and hospitality industry.It also aims to provide hotel consultancy with a very low carbon footprint. Our business model minimises the impact on the environment and, in respect of the travel necessary for an assignment, we buy an appropriate level of carbon offsets. Intelligent thinking, effective teaming and applied expertise form the foundation of the way we work with our clients, and the solutions we offer are tailored to meet the individual and special requirements of your hotel or hospitality business. www.hotelsolutionspartnership.com