#WednesdayWisdom - ‘How to plan for the staycation rush’ with Jane Pendlebury

Jane Pendlebury

Jane has worked with HOSPA for many years and has been CEO for 5 years.

Having gained a degree in hotel management, Jane worked in both chain and independent hotels before becoming a supplier of technology to the industry.

She is an enthusiastic supporter of the hospitality industry and has endeavoured to remain a positive voice throughout the COVID-19 pandemic.

Prior to the pandemic, London and busy-city revenue management roles were all about cherry picking the best business from the swell of demand.

There was possibly an element of complacency as demand was so consistent and so strong. Revenue management roles in more rural towns and locations were all about creating demand and less about choosing the best bits.

The role of the revenue manager has been flipped in the last 12 months and there is much they can learn from one another! There is no doubt an element of shock in the lack of demand for some and perhaps even a lack of knowledge in how to generate demand, whereas others are – possibly for the first time – having to weigh the value of one booking against another to make the best commercial choice. 

At HOSPA, we recently ran a masterclass on how to plan for the staycation rush, because we can expect one, right?

Great if you have a hotel in an appealing destination, not so great for city centres.  In short, 2021 could and should be a record breaking year for the seasonally led hotels. The summer period has extended on both sides of the normal July and August peak, starting on May 17th and carrying on through until after the October half term.

Average booking values are higher than in previous years and website conversions seem to be at an all time high. Guests are happier than usual to pay deposits or even fully pre-pay to secure their booking.

Demand

The demand is far exceeding supply and those who have their revenue management strategy finely tuned can be confident of an exceptionally profitable season. The key for these destinations is to ensure they maximise the opportunity, to make sure they have length of stay controls to cover any dips in demand.

All staff in all departments should be trained to upsell every conceivable experience to make the most of the extra funds that the majority of guests will have.

There have been limited opportunities to spend money on leisure experiences and now that their summer holiday is not including flight costs, there will be more to spend during their much anticipated time away from home.

Flexibility

Flexibility will be of paramount importance this summer. Some guests may well decide they feel safer taking their meals in their bedrooms rather than in a busy restaurant so keep all the options open.

Room service is exponentially more popular so be sure to offer as much as you can to increase revenue!

Loyalty

Creating and maintaining loyalty has never been more important.

While it may have been relatively easy to sell bedrooms this year, next year we can expect the desire to travel overseas to become a challenge for home grown holidays. 85% of respondents during our masterclass said they would be looking to travel overseas in 2022, not a surprise I guess, the draw of snow for skiing or sunshine for warmth is likely to outweigh local appeal.

To ensure that guests want to return to your property next year is a critical part of your ongoing success. Repeat guests also tend to spend more on returning visits – another reason to inspire loyalty. Get your database sorted and offer your guests that extra ‘something special’ to entice them back again! 

City Centre Properties

It’s not such a rosy outlook for city centre properties who are not benefitting as much from the UK based demand. London and other cities have historically relied heavily on International business travel and tourism.

But all is not lost, there will be visitors who want to take advantage of the quieter venues and less people on the streets. Attractions and experiences will be the key to success. Create some packages for guests to choose from, an inclusive visit to a restaurant or a local tourist venue might just be what encourages a booking into your property!

Marketing

With fear of sounding like a broken record, It is imperative to have marketing teams working on the hotel’s messaging and likewise revenue managers should be fully geared up to convert every single enquiry.

Websites must be up to date with opening dates along with the availability of additional facilities, like the spa or gym. 

Personally, I don’t think you can shout too loudly about cleaning procedures and flexible cancellation policies at the moment. Both are crucial when encouraging guests to visit your hotel rather than the one next door.

Masterclass

If you want to listen to the whole masterclass and the experts from Hotstats, Profitroom and the digital marketing manager from St Michael’s Resort in Cornwall sharing their knowledge and experiences.

You can replay the full event here https://www.hospa.org/masterclass-staycation