The hotel industry is exposed to numerous risks. If your hotel business has taken a beating because of the current Coronavirus crisis, you need to handle the situation and prevent damage to ensure that you catch up when the pandemic ends. With the right strategies, you can minimize the financial impact of the crisis on your business. Here are a few tips to help you revive your hotel business.
Strengthen Guest Relationships
During the pandemic, travelers around the globe are confused about their traveling plans. Most people are canceling their bookings and others are worried about their safety if they decide to travel. If your location is massively affected, then you should inform your guests about any changes to your booking policies through social media or email and let them know about the prevention and safety plans in place. You should also inform them about the virus situation in the area and offer tips for the upcoming stay.
Reduce The Risks Of Coronavirus To Your Staff
As a hotelier, the wellbeing of your employees should come first, especially those who are working actively during the crisis. Ensure that you share the official advice on the safety and prevention of COVID-19 with your staff. Ensure that you have basic protective measures in place to protect against the new Coronavirus and support your employees with the same, for example, regular handwashing and use of facemasks.
Manage Room Rates
During crisis, many hotels tend to slash their room rates whenever occupancy drops so that they can spur demand and get maximum occupancy. You can use this strategy to help you out. However, it is best to keep the rates at the normal level as bouncing back will be much easier when the market resumes. Take the time to study the market and understand your segments better so that you can market your property best as things get back to normal.
Adjust Costs
As you deal with the slow business during the COVID-19 crisis, you need to reassess the different hotel costs such as payroll, marketing, and even your fixed costs. As you reduce your expenditure, ensure that your hotel is still running and continue marketing it as it will help you fight for the survival and success of your hotel business. You should also take advantage of government subsidies on fixed costs such as property tax and payroll costs.
Many people have canceled bookings and trips that they had planned for a long time. However, even with the current crisis, people have not lost their desire to travel the world. This is a glimmer of hope for hoteliers whose businesses have been affected by COVID-19. Hotels have an opportunity to attract new guests and get future bookings by engaging with their audiences. The pandemic will soon subside and people will consider traveling to new destinations and this will open new doors for hotels.
