Increasing Average Daily Rate (ADR) and maximizing Revenue Per Available Room (RevPAR) are two major responsibilities for every hotelier. ADR and RevPAR, along with occupancy, dictate the health of your hotel’s performance and serve as guideposts for forecasting future revenue and profitability. With innRoad’s hotel management software, operators can be confident that their rates will stay competitive and comparable to the local market. However, to ensure that you are getting the most out of every booked reservation, generating and capturing upsell opportunities is key.
Selling experience packages with add-ons such a dinner for two, spa treatments and retail shopping gift certificates are a great way to increase ADR and capture more revenue from bookings. And being able to provide these packages via your online booking engine is a great way to quickly increase profit on every room booked. There are other creative ways to increase ADR and maximize RevPAR.
The same as your hotel, businesses like restaurants, gyms, spas, car dealerships and retail stores rely on a regular flow of customers walking through their front doors and purchasing their products and services. They also depend on a mix of returning and new customers to generate continuous revenue and drive profits. Since you share similar business goals and don’t offer competing services, developing trade partnerships and cross-promoting each other’s businesses can prove to be mutually beneficial.
Listed below are specific experience packages that you can create for your guests through local trade partnerships. But before your pick up the phone, think about what you can offer in trade that will be of value to your neighbors. As always, you can offer a free night’s stay to the manager, but also present the free stay as an employee appreciation gift or a raffle prize for their customers. Additionally, offer your lobby or meeting space as a venue for an off-site meeting. And if you want to go above and beyond, offer to host a cookout for the businesses’ entire staff. A little creativity can go a long way and will ultimately help you deliver great experiences for your guests.
Experience Package Examples
Car Dealerships: Dealers are always looking for ways to get customers to test drive their cars so they can influence a future sale. Propose a “Cruise in Style” package where your guests can receive a day-long luxury car test drive with a weekend reservation. You will need to discuss the details of liability and insurance coverage with the dealer, but the potential for a great guest experience will be worth it.
Gyms: If you do not have an onsite workout facility, try creating a “Work out, Rest up” package with a local gym that allows free access with any reservation. With many travelers looking to maintain their fitness while traveling, this is a great way to position your hotel as a property that caters to their needs.
Restaurants: Guests are always looking for a great meal and restaurants can never have enough full tables, so creating a “Dinner for two” package is a great way to achieve both goals. For variety, partner with several restaurants who offer different cuisines so your guests can decide where they would like to dine during their stay.
Retail Stores: A “Stay & Shop” package is simple and allows you lots of flexibility to create a variety of packages. From clothing stores to gift shops, they all present great opportunities for guests to bring home something special from their trip to your town.
Spas: Spa and massage packages are great because many people rarely find the time to treat themselves during their normal weekly routines. A “Relax and Unwind” package featuring a free massage is an excellent way for guests to relax and recharge before heading back home.
Being able to offer these services in the one-stop shop of your online booking engine is a great way to increase occupancy and improve guest satisfaction.
For more tips on increasing your property’s ADR or to Learn more about innRoad’s All-Inclusive Booking Engine here.