The confetti has settled & everyone has gone home, what’s your resolution to maximize profit in 2018?

8 (or so) questions to consider for your hotels’ New Year’s resolutions

    • 9.2% of people believed they achieved their resolutions in 2017.
    • Why aren’t we applying New Year’s resolutions to our businesses?
    • Have you discovered “who you are” as a hotel?

Time is running out. The clock is ticking. 10, 9, 8, 7… You know how this goes… “HAPPY NEW YEAR!” Kisses, hugs, singing Auld Lang Syne and determining your resolutions for the New Year to come. Some of the classics include: “I’m going to exercise more,” “I’m going to eat healthier,” “I’m going to quit smoking,” or my personal favorite “New Year, new me.” By definition, a New Year’s resolution is a promise a person makes for the New Year with the goal of improving life in the coming year.

As we consider the ways to better ourselves in 2018, I begin to wonder—why aren’t we applying this same promise of improvement to our businesses? I know what you’re thinking… “No one ever keeps their resolutions throughout the year.” You’re not wrong. According to Statistic Brain, only 9.2% of people actually believed they achieved their resolutions this year.  So, why not create a list of resolutions you can actually stick to? Here is a list of key considerations to help you establish achievable resolutions to better your hotel in 2018:

      1. Have you discovered “who you are” as a hotel?
        • Has your market changed at all? Even better question, if it has, have you changed with it?
        • Should last year’s selling strategy be the same as this year’s selling strategy?
      2. Do you have a fully aligned revenue management strategy across your property?
        • Is everyone within your property aligned to the 2018 goals?
      3. Is 2018 the year that data plays a bigger role in your revenue strategy?
        • This could be the year that is less of “what I think or feel”, but more of “what I know.”
      4. Have you reviewed all Corporate and Group relationships?
        • Are they as valued (i.e. profitable) as you think they are?
      5. What segments of your market are you targeting to gain share in?
        • Have you set a plan to achieve this goal?
      6. What has changed since you set your 2018 budget?
        • Has there been a change in market inventory or competitor renovation?
        • Were you impacted from any natural disasters?
      7. Have you toured your comp set recently?
        • Do you have an understanding of what their selling strategy is?
        • Can you identify your competitive strengths and weaknesses?
      8. Have you optimized your total property revenue & profit?
        • Total Revenue Management – maximizing property profitability – GoPPAR (Gross Operating Profit Per Available Room)
        • Have you thought about optimizing meetings and events revenues? Do you know when to free-sell, when to hold for events with guest rooms, etc.?
        • Are you tracking your reservation costs by channel to identify your most profitable business?

So, instead of exercising or eating healthier (because who likes that?), resolve to get your hotel focused on higher profitability, a better understanding of your property and a well-rounded successful revenue strategy for 2018. Click to Tweet | IDeaS Twitter One of the cliché resolutions can still be serviceable, the infamous “New Year, new me” mantra. With these questions in place, your hotel has the ability to pull data and information from the previous year to learn and adjust to ultimately set your hotel up for success in 2018.

Jessica Halterman

Jessica Halterman

Editorial Contributor at IDeaS Revenue Solutions

Jessica Halterman is an experienced hotel professional who has held progressive management roles in sales & revenue, marketing and meetings & events for hotel brand Starwood.

She holds a Bachelor of Science in Recreation, Parks and Leisure Services from Mankato State University, but swears she hasn't watched one episode of Parks & Rec.

Despite moonlighting as a wedding planner on the side, Jessica spends most of her time with family & friends---and instagrams as many pictures of her fluffy goldendoodle, Lambeau, as she can. #lambogram
Jessica Halterman