Sunday, 9 October 2011

Ammenities, get the most bang for your buck!

Hello all!  It's Agent Sparks here coming at you with a funny little story I found on the internet!  Give it a read it is most definitely good for a laugh.  I will also have a small entry after the story with my opinion on hotel amenities.  Enjoy!


Next time you think your hotel bill is too high you might want to consider this...

A husband and wife are traveling by car from Key West to Boston. After almost twenty-four hours on the road, they're too tired to continue, and they decide to stop for a rest. They stop at a nice hotel and got a room, but they only plan to sleep for four hours and then get back on the road. When they check out four hours later, the desk clerk hands them a bill for $350.

 The man explodes and demands to know why the charge is so high. He tells the clerk although it's a nice hotel; the rooms certainly aren't worth $350. When the clerk tells him $350 is the standard rate, the man insists on speaking to the Manager. The Manager appears, listens to the man, and then explains that the hotel has an Olympic-sized pool and a huge conference center that were available for the husband and wife to use. "But we didn't use them," the man complains.  "Well, they are here, and you could have," explains the Manager.

He goes on to explain they could have taken in one of the shows for which the hotel is famous "The best entertainers from New York, Hollywood and Las Vegas perform here.", the Manager says. "But we didn't go to any of those shows," complains the man again. "Well, we have them, and you could have.", the Manager replies. No matter what facility the Manager mentions, the man replies, "But we didn't use it!". The Manager is unmoved, and eventually the man gives up and agrees to pay.

He writes a check and gives it to the Manager. The Manager is surprised when he looks at the check.  "But sir," he says, "this check is only made out for $50.".  "That's correct," says the man, "I charged you $300 for sleeping with my wife.".  "But I didn't!", exclaims the Manager.Well, that's too bad," the man replies, "she was here and you could have."


Well there you have it, I got a chuckle out of it.  But on the note of hotel amenities, how often is the weary traveller being forced to pay for things they will not use?  This drives our revenues down because people do not want to stay at a property when they are paying for useless amenities.  This gives me the idea of programing key cards with "Amenity Levels".  For example, a guest states they only wish to sleep and leave.  This is calculated into a rate code which discounts his rate.  In turn the key card is programed in such a way that it will not access the pool, the games room, the breakfast area in the morning nor will it access the executive lounge, etcetera.  As rude as that may sound, some travellers are simply not interested in using these areas of the facility.  The guest is satisfied and we have sold a room. 

So what do we gain from it?  Well if the guest is occupying a room, that is one less room to sell and the property in turn gains the revenue from that sale that otherwise would have not happened because of an inflexible high rate.  More importantly, the guest gains value, this is the most critical thing in the Hospitality  industry today.  Value drives our consumer loyalty and thus a larger portion of life time revenue.  A man whom stays at your hotel for 10 room mights per year for 30 years at a reasonable discounted rate of $110.00 will have a lifetime value of $33,000.00 multiply that be the one or two hundred guests your custom amenity program will bring in and the numbers are staggering. 

If the guest receives value and we cut the frills, we gain lifetime consumers who will pay the bills and drive profits. And that alone is the name of the game.

16 comments:

  1. nice post on Hospitality, using the numbers to show your point was really good.

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  2. I agree, and that photo is amazing

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  3. Good site, i'm staying on here, lol rip off hotel btw

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  4. hahahaha great post, gave me a laugh. So often they do charge for such unneeded crap.

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  5. I always like a well dressed room lol

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  6. I'll stay here one day when I'm rich :)

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  7. This comment has been removed by the author.

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  8. Great post. Funny humor and quite informative!

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  9. Definitely a smart idea from a business standpoint. It seems like common sense, but I doubt there's any hotel that has something like this.

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  10. Keep up the great work with your blog! You're very good at it!

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  11. classic joke and quite clever. those bastards overcharge for every little shit they have invested into their shithole. nice post mate and sorry for the foul language. keep it up

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  12. amaziimg, keep going great blog.

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