How independent hotels in South Africa can boost revenue this summer

Source: andrea davis via Unsplash

"Our data shows that this summer is shaping up to be busy. Hotel bookings for October 2022 were up by 108% compared to the same period last year, with bookings made by international travellers up by 130%," says Verspui.

There are a number of tools on the market that hotels can use to maximise profitability during the peak season.

"This can become pricey if you’re operating a fragmented tech stack. For small hotels with tight budgets and limited IT resources, an all-in-one hotel management system is the way to go," says Verspui.

Here, Verspui shares a few strategies that independent hotels in South Africa can implement to maximise revenue this summer season:

Promote packages online

From long-stay offers to family-friendly deals, hotel packages are vital to creating a five-star guest experience and adding financial value. According to Trivago, guests who book packages stay longer, book further in advance, are less likely to cancel their bookings and are more likely to book directly.

Setting up packages on hotel website booking engines is a great strategy to entice visitors to book directly and reduce hefty OTA commissions.

Implement automated upsell technology

Operating an independent property presents plenty of opportunities to increase revenue and put your property’s amenities to good use. Unfortunately, when sold manually at the front desk, most property amenities go unused and unnoticed. With the right hotel technology, hotels can boost revenue by upselling relevant add-ons to their guests during the booking process and online check-in.

This is an exciting way for guests to personalise their stay this summer and for hotels to foster loyalty and increase their average daily rate. According to RoomRaccoon customer data, 82% of hotels that use upsell technology increase their ADR by 15%.

Maximise revenue per room with dynamic pricing

Demand in the hospitality industry constantly fluctuates. So selling time-limited inventory like hotel rooms at a fixed price year-round is a common mistake that costs hotel operators thousands in lost revenue.

Having the right dynamic pricing tools ensures that room rates adjust along with demand so that hotels always sell rooms at the right time, place, and price. With yield management tools, hotels can pre-set dynamic pricing rules to adjust rates automatically across all sales channels.

Use discount codes to increase repeat bookings

Retaining customers is far more profitable than finding new ones. Luckily, building customer relationships is much more manageable with the right technology.

An effective strategy for building guest loyalty is automating post-stay emails with redeemable discount codes that can be used on hotel booking engines. Guest loyalty programs and special promotions are proven strategies to encourage repeat bookings and increase revenue.