Monday, July 22, 2019

Little Luxuries That Can Boost Customer Satisfaction & Increase RevPAR

Revenue per available room (RevPAR) is a common measure of how well a hotel is performing. It’s a more accurate measure than your average daily rate (ADR), as it also takes into account your occupancy rate — you can simply multiply these two factors together to get your RevPAR. For example, if you have 100 rooms available, all priced at £100 each, but you’re only filling an average of 80 rooms (80%) each day, you can work out your RevPAR using the following calculation:

ADR (£100) x occupancy rate (0.80) = RevPAR (£80)

This means that, although all of your rooms are priced at £100 per night, you’re actually only making £80 from each one. Knowing this can help you work out how much to charge for your rooms, based off your ADR and average occupancy rate, in order to reach full capacity and boost revenue. You can choose to either increase room rates to make up for the rooms that aren’t occupied or reduce them to attract more guests and fill the empty rooms.

But lowering your prices isn’t always the best way to fill your rooms. By improving amenities, you can increase your customer satisfaction, meaning you’ll have better reviews that’ll attract more people to stay. These amenities will also allow you to charge more for your rooms, increasing your RevPAR. In this article, I’ll be highlighting some tricks you can use to do this.

Refurbish rooms and communal spaces

If things are starting to look a bit run down, it’s probably time to change them. You can easily reupholster and repair furniture to make it look modern and new. A lick of paint and some new bedding and flooring can often go a long way in the hotel business, freshening up rooms and helping guests feel happier and more relaxed.

You might also want to give your hotel lobby or entrance a contemporary update. This is where your guests will get their first impression of your hotel, and in this business, first impressions really do count. If you’ve got the room, add some comfortable chairs and couches as these can give a welcoming feel and give guests a place to wait for transport, friends or help from staff.

The lobby also offers a great opportunity to inject a bit of grandeur into your hotel, making it more luxurious for guests and allows you to charge just that little bit more for rooms. Adding chandeliers and artwork is a quick and effective way to achieve a first class, sophisticated look.

Offer room service

Room service can be more of an asset than you might think. Guests who order food to be delivered straight to them want that extra bit of luxury and convenience, so won’t mind paying a little bit more. Aside from regular menu-based room service, you could also offer individual packages for special occasions like engagements, weddings, anniversaries, and birthdays.

Invest more in housekeeping

A clean room is certainly going to impress your guests, so I’d recommend you invest more in housekeeping staff and training. Going the extra mile with your cleaning, like scrubbing in between tiles and ensuring the room is completely free of dust and hair, warrants praising reviews and justifies your price tag.

Improve customer service

Who doesn’t appreciate friendly and helpful service? Boost your satisfaction ratings by constantly reviewing and improving your customer service. Always treat each guest as a VIP and tailor your service to them. For example, calling your visitors by their first names can create a rapport between the individual and the hotel, and can help to improve your customer satisfaction.

Try reaching out to your customers before their stay. This can be as simple as sending an email offering extra pillows or asking for breakfast preferences. This reassures your guests that they’re valuable to you and not just another customer. Great customer service also starts with positive staff, so you should make training a priority and ensure that every employee is happy the moment they come into work by offering staff perks.

Offer extra amenities

Hotels that offer extra amenities, like a gym or a pool, can justify a higher price as guests are not only getting the room, but are also getting access to these added luxuries. If you’re a smaller business, simple things like free Wi-Fi, or personal items like shampoo and soap can go a long way towards making guests happy.

These little tricks may seem small, but they can make a huge difference to the overall satisfaction of your guests, which should mean you can start charging more for your rooms. Happier guests equate to better reviews and fewer empty rooms, increasing your RevPAR. And, don’t forget to check and listen to your reviews to find out how you can improve your hotel even further.

 

Mike Hardman
Mike Hardmanhttps://www.allianceonline.co.uk/
Mike Hardman has been the Marketing Manager at hospitality and catering equipment supplier Alliance Online since 2009. From kitchen and housekeeping equipment, to toiletries and room service supplies, the company offers all the essentials to run a hotel business.

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