Running a bed and breakfast business can be very rewarding in terms of job satisfaction. May bed and breakfast owners report that they enjoy running their business. However, even the most successful of bed and breakfast business owners report that they are always looking for ways to increase their revenue and make more money.
Being an inn keeper may be personally satisfying, but it must also be financially rewarding. Here are some ideas that you can implement now to ensure that your bed and breakfast makes more money.
The Lowering Your Rate Myth
When times are difficult what many bed and breakfast owners do is think that they need to lower their room rate. Some inn keepers overcharge. They think that their bed and breakfast is of a much higher standard than it is and will overcharge. If you are one of these people take a realistic look at the market and comparable properties and go ahead and adjust your rate.
However, do not think that lowering your rate it the answer to everything. This is a myth. If you have looked at similar inn properties and done a realistic market analysis and found your rates to be too high, then you should go ahead and adjust them.
Take note here that we said you need to be realistic. Do not just lower your room rate. It may be a short-term fix, but do you want to be known as the cheapest place in town? High caliber guests tend to believe that you get what you pay for. Do you want to attract the guests who do not want to pay a decent rate? You may increase your revenue in the short term, but you are probably storing up a whole lot of problems for yourself in the future.
What Other Services Can You Offer?
Here is where you get to be a little creative and start to think about what other services that you can sell to your guests. People are prepared to pay for things other than just a room and breakfast. Your guests are looking for a bed and breakfast because they do not want to stay at an impersonal hotel. So, brainstorm about what other things that your guests may want. Extras can usually be provided easily for guests which have a high profit element.
The simplest upsell is a room upgrade. You will learn the best way to sell this to your guests, but often offering it at check in is a good way to close the deal. You must make them feel as though they are getting a great deal and that you are making a very special deal just for them.
You can always think about how to offer extra services to your guests. This may range from champagne and roses in the room, to offering a complete concierge service. There are many opportunities for you to take some money off the top by simply offering convenience for your guests. See what your competitors offer and see if this will work for your business.
Photo by kevin dooley