Archive for November, 2011

Low cost Marketing for Hotels

November 21st, 2011

FOUR industry veterans, Alwin Zecha,David Paulon, Terry Francis and Durga Das, have come together to launch the first “low-cost marketing” alliance for hotels. The company could offer what current hotel marketing organisations do for a fraction of the cost.

Alwin Zecha, founder of Pacific Leisure Group Thailand, is chairman of Ideal, the new Low Cost Hotel Marketing Company. The three directors are David Paulon, former head of Holiday Inn Asia/Pacific; Terry Francis, chairman of PATA Foundation and travel and tourism consultant; and Sanjeet, owner, Durga Das Publications India.

Because there is a gap in representing independent, mid-range hotels as most marketing representation companies look at the upmarket segment and “charge an arm and leg” for their representation.

Ideal charges an annual fee of US$3,000 per property, which is an “all-inclusive” fee to market the hotel via the website, newsletter and at key trade shows.

The latest member to join Ideal is Gallery Hotel in Singapore.

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Hotels should stop discounting

November 21st, 2011

Recently I came across this video, regarding the discounting price strategy of hotels. As I have posted before, discounting is a negative pricing strategy, which could cause more damage than good on the long term. As it is easy to drop the rates, but harder to increase the rates.

An alternative strategy would be to add value components to your room rate, or add items for which you would normally charge. (Wifi, newspaper, gym, etc). Understand your guest, their needs and their wants.Understand your surrounding environment, what is going on, what is the trend, who is moving for what.

Take you time to look at the video below.

If you have problems, please click the following link: Video

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