There are few metrics that must be keeping track by the hoteliers every week. The most important and basic thing that must be considered is the performance of your bedrooms that depends on your average occupancy percentage and average room rate. The average room rate is calculated by dividing the total weekly room revenue and the total number of room nights sold for the same week.
The average occupancy percentage is derived by multiplying the total number of the hotel room with 7 days of the week. To work out your average occupancy for the week, first take the number of room nights you actually sold in that week, multiply it by 100 and then divide it by the total maximum number of room nights that are available. For example, in a week if you sold 300 room nights your average occupancy percentage would be 300*100/350 = 85. 32%.
If your math skills are good then you must try to achieve your target and increase your occupancy percentage without adversely affecting your average room rate. Here we discuss some tips that will definitely help you to increase the average occupancy.
If you have to change the rooms or parts of the hotel make sure that your photos are also updated at the same time. Old pictures can really date your hotel and cost you business. The photos of interior decorations need to be staged properly with flowers and accessories and they certainly need post-processing to make sure they really pop.
Voucher and Discount sites
Voucher and discounts can be used during the offseason, but not during busy times. It can help you to increase your occupancy level and reduce your average room rate. The salesperson suggests that discount can be provided for bed dinner and breakfast package with a bottle of wine.
Promote your website on social networking sites. So that your website looks great, your photographs look stunning and you got a strong offer and deals from customers. Regularly updates the reviews of guests on websites because customers check the reviews, then to fix a deal or not. This can be extremely useful as it’s pretty much impossible to manually check every possible review website and OTA multiple times per day.
Your room prices must be dynamic and changed based on demand. If bookings are full and the hotel is busy the prices go up. If a hotel is empty the prices of the hotel go down. Pricing depends on the demand and supply of the room. Be mindful of guests that have already booked at a higher price. If you charge too much on busy days, then the guests feel like they have been robbed by you. It will possibly get a bad review and it will cost you more in the long run.
some of the OTA’s like booking.com even have their own products that will compare your rates to the competition.