The hospitality industry is one of the hardest hit during an economic recession. During a downturn, customers cut back on discretionary spending, which includes travel and hotel bookings. In such challenging times, hotels need to be proactive and implement strategies that can help them increase their bookings and revenue. Here are the top strategies that hotels can use to boost their bookings and revenue during a recession.
1. Optimize Your Online Presence
In today’s digital age, having a strong online presence is critical for any business, including hotels. Your hotel’s website should be user-friendly, visually appealing, and provide all the necessary information that potential guests may need. Ensure that your website is mobile-friendly, as a significant percentage of people book hotels on their mobile devices. Consider investing in search engine optimization (SEO) to increase your website’s visibility on search engines.
2. Leverage Your Existing Customer Base
Your existing customers are an asset, especially during a recession. You can reach out to them through email marketing, social media, and loyalty programs. Offer special promotions and discounts to encourage them to book with you again. Consider incentivizing them to refer their friends and family to your hotel.
3. Maximize Revenue Streams
To maximize your revenue streams, consider offering packages and add-ons to your guests. For example, you could offer a “romance” package that includes a bottle of wine, chocolates, and a spa treatment. You could also offer additional services such as airport transfers, room service, and laundry service. Make sure to price your packages and services competitively.
4. Focus on Business and Leisure Segments
During a recession, focus on resilient segments. Tailor promotions and packages to their specific needs, such as a “work from hotel” offer with high-speed internet, a dedicated workspace, and meeting room access.
5. Cater to Weddings and Meetings
Target the wedding and meeting segments by providing enticing packages and services. Ensure your hotel offers ample facilities and services to meet the needs of weddings and meetings.
6. Target Segments that will fuel Growth
Each hotel is best suited to attracting a specific type of audience. For example, you can be a hotel that can focus on golfers and families that tend to book hotels for longer durations. Target these segments by offering packages and services that cater to their specific needs.
7. Promote Staycations
Staycations are a growing trend to promote your hotel as a “staycation” destination by offering attractive packages and services. Consider partnering with local attractions and businesses to provide guests with additional activities and experiences.
Digital strategies to enhance bookings, banquet, and ancillary department revenue.
Enhance Website Design
Your hotel’s website design is crucial to your online success. A well-designed website can significantly impact your guests’ perception of your hotel. Ensure that your website is visually appealing, user-friendly, and easy to navigate. Use high-quality images and videos to showcase your hotel’s amenities, rooms, and facilities. Consider investing in a professional web designer to create a website that reflects your hotel’s brand and values.
Write User-Focused Content
Your website’s content plays a significant role in attracting and retaining guests. Write user-focused content that addresses your guests’ needs, desires, and pain points. Use persuasive language and compelling visuals to showcase your hotel’s unique selling points. Provide clear and concise information about your hotel’s amenities, rooms, rates, and promotions. Ensure that your website’s content is optimized for search engines and uses relevant keywords.
Search engine optimization (SEO) is the process of optimizing your website’s content to rank higher in search engine results pages (SERPs). By optimizing your website’s content, you can increase your visibility and attract more organic traffic. Optimize your website’s content by using relevant keywords, meta descriptions, headers, and alt tags. Ensure that your website’s pages are optimized for mobile devices and have fast loading times.
Run Paid Ads on Google and Meta Search Channels
Paid advertising is an effective way to attract more guests to your hotel’s website. Consider running paid ads on Google and meta search channels like TripAdvisor, Kayak, and Expedia. These platforms allow you to target specific audiences based on demographics, location, and interests. Use persuasive ad copy and compelling visuals to attract guests to your hotel’s website. Ensure that your landing pages are optimized for conversions and provide clear calls to action.
Online travel agencies (OTAs) like Booking.com, Expedia, and Agoda can be an excellent source of bookings for your hotel. Leverage OTAs by ensuring that your hotel’s profile is complete and up to date. Use attractive images and persuasive descriptions to showcase your hotel’s unique selling points. Offer competitive rates and promotions to attract guests to book directly through your hotel’s website. Use OTAs to complement your hotel’s direct bookings, but don’t rely on them as your primary source of revenue.
In conclusion, during a recession, hotels need to be proactive and implement strategies that can help them increase their bookings and revenue. By optimizing their online presence, leveraging their existing customer base, maximizing their revenue streams, and targeting specific segments, hotels can increase their bookings and revenue even during challenging times. Hotels can enhance their bookings, banquet, and ancillary department revenue by leveraging digital strategies. Enhance your website design, write user-focused content, optimize for SEO, run paid ads on Google and meta search channels, and leverage OTAs to attract more guests to your hotel. By implementing these strategies, hotels can increase their revenue and remain competitive even during challenging times.
To know more about how Milestone can assist in improving your hotel bookings and revenue during the recession, contact us at [email protected] or call us at 408-200-2211.