"the business of B & B"
A Newsletter and Directory for Owners and Operators of Bed & Breakfast
and Country Inns
It is very tempting
To increase one’s rates when there is a special event on in the area.
Why not make hay while the sun shines?
Planning your rates to allow for all the various commissions and expenses that will need to be accounted for if you are to make a profit, is a fine art.
Most of us who are small operators, tend to look at what the local competition is charging, look at our (or their) point of difference and set a price accordingly. We then hope that it is sufficient to cover all expenses and leave a reasonable margin for us.
That is the main reason why it is so tempting to increase rates for a “Special Event”.
There are downsides to taking this step - a current example is the number of complaints about the huge increase many accommodation suppliers have made to the rates they charge for the current FIFA World Championships in South Africa.
Another example is the way many providers are increasing their rates for the Rugby World Cup to be held in New Zealand in 2011. The downside in this case is that some oversease wholesale travel providers are finding that it is cheaper to do package tours to Australia - Sydney and Melbourne - and then charter a plane to fly across to New Zealand for the matches and return to Australia afterwards.
The result? All, or almost all, the spending on food, accommodation, entertainment and other “normal tourist” behaviour will be done in Australia and not in NZ where the games are being held.
It is relatively simple for your previous details of rates and offers to be found - have a look at the Wayback Machine.
Our own website has several different iterations going back to 1991 with 50 snapshots during the 9 or so years. If your rates were displayed on your site (rather than using a booking agent like we did) there could be a fairly reasonable trail of how your increases were implemented over the years.
Tags: Australia, FIFA, New Zealand, Rates, Rugby World Cup, South Africa, Tariffs, Wayback, World Cup
Wednesday, June 30th, 2010 at 9:19 am and is filed under Bed & Breakfast. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.
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