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HotelProxi Hospitality News





How does your property entice guests to book or leave a great review? The attentive staff? Grand vistas? Or delectable banana pancakes? All play their part (your pancakes are unbelievable), but to your guests, cleanliness is king. 

86% of hotel guests cited cleanliness as their top criterion when reading online reviews.1 
When choosing a hotel, “overall cleanliness and safety protocols” jumped in importance by 24% after the Covid-19 pandemic began.2
But nothing is without cost. You’ve probably felt it at your own hotel–housekeeping expenses across the industry are on the rise. Before the pandemic, a standard leisure room cleaning cost an estimated $9.42 in labor alone, but that amount has increased to $10.12. Up 7%.3 

Business travelers had provided some relief (requiring only an estimated $7.60 per room), but business travel is down more than 20% for 2022.2 Meanwhile, leisure travel and its high cleaning costs will dominate the foreseeable future.

Balancing customer expectations against managing the rising cost of housekeeping is a challenge, but both can be accomplished in three key stages.


1. Before Check-In
You value being well-informed (we know it’s true, that’s why you’re here, right?) and your guests are no different. Surveys show that travelers crave transparency about their accommodation’s safety and cleanliness. 

54% of guests value certifications of cleanliness from trusted authorities.4
Nearly seven out of ten guests want to hear directly from hotels about cleaning and safety measures.2
41% of guests value emails outlining cleaning protocols.4
Even before they set foot on your property, your future guests want to hear about housekeeping.

Automatic Emails
Listing your safety and cleanliness information online is a great start, but the stats show that guests are eager for direct communication.2 Hospitality management systems, like Sirvoy, offer a more personal touch with automatic SMS and email messages. 

Automatic emails or SMS can be delivered based on:

Booking Date
Check-in
Check-out
These messages are the perfect opportunity for the housekeeping rundown your guests value. But don’t forget–we’re not called the hospitality industry for nothing. Your emails should be just as friendly as any in-person interaction, but how?

Automatic messages can be customized to each visitor with Sirvoy’s placeholder code. So, instead of a chilly “Dear Guest,” your patron can be warmly greeted with their own name and much more. 

Efforts to connect with your guests will pay off–personalizing emails bumps up engagement significantly, resulting in open rates of 83% and clickthroughs of 75%.5 Your emails will reach their mark instead of collecting dust in an inbox. 

Opt-Out or Opt-In Cleaning
Early guest communication also gives you the chance to ask what your guests prefer. There are a growing number of people who are uncomfortable with others entering their rooms, even to clean. 

84% of hotel guests considered personal control over cleaning to be somewhat or very important to their experience.4
44% of hotel guests preferred being given cleaning supplies themselves at check-in and completely forgoing housekeeping during their stay.4
Nine out of ten frequent travelers said that housekeeping by request makes them more comfortable.6
Nearly two-thirds of guests do not want daily housekeeping.6
By providing the option to opt-in to daily housecleaning (an approach already taken by big players in the industry, like Hilton7) you are simultaneously making guests more comfortable and cutting down your own expenses. 

Automated emails are the perfect place to include an opt-in or opt-out option for housecleaning. Immediately with a new booking or any time before check-in you can touch base with upcoming visitors about their housekeeping preferences.


2. During the Stay
We know how important cleanliness is to guests, but hoteliers face an uphill battle delivering. In addition to the rising cost of housekeeping in general, the industry is facing a staffing shortage. According to the American Hotel & Lodging Association, a whopping 97% of hotels are short-staffed–especially in the housekeeping department.8

So how can hoteliers still provide the deep clean that will leave guests raving (and leaving rave reviews)? 

Efficiency and organization are vital. Hospitality management systems, including Sirvoy, offer a helping hand to make every minute count during a guest’s stay. Namely with two features: the activity tracker and user profiles.

Activity Tracker
Managing individual tasks for each room is the bread and butter of all housekeeping software, but not all of them are created equal. You need something intuitive and easy to learn. Why? The hospitality industry requires significant (and costly) training.

Yearly training expenses for housekeeping, front desk, and laundry staff average $48.60 PAR (Per Available Room).9
Housekeeping positions have an accelerated turnover rate in recent years. In the United States, 70% of housekeeping staff work their position for less than two years and 39% for less than one.10
Training is expensive and needs to be repeated with each new hire. You need an easy and intuitive system to keep training costs from spiraling out of control. 

In Sirvoy, the units page includes a ready-made column that keeps track of a room’s general cleaning status, but additional activities can be added and tracked.

Activities can be scheduled:

At different daily intervals.
Based on check-in or check-out.
Based on individual units.
All activities appear on the units page as a column with a red or green icon that represents if a task is complete. Any user profile with access can click the icon to set it as complete or incomplete. 

Put simply, it’s a housekeeping tracker that takes only minutes to master.

Multiple User Profiles
A unique user profile can be given to each team or even each staff member. This allows for instantaneous status updates. Your staff can have Sirvoy open on their own phone or tablet (or anything really–it’s cloud-based. Go ahead and use a smartwatch). With it, they can keep the activity tracker up-to-date in real-time as they work. 

All the tasks that make your guest’s stay pleasant will be well organized, with nothing slipping through the cracks. Not only that, but individual user profiles overcome a common hurdle–the language barrier.

In the United States:

Spanish is the most common non-English language spoken by housekeeping workers (51.6%)10
French and Tagalog are tied for second most common (9.7% each), then Japanese (6.5%), and Portuguese (3.2%).
Sirvoy’s software is provided in ten languages and covers nearly 70% of all non-English languages spoken by housekeeping staff in the U.S.

Every staff member will be able to set their own profile to use the language most comfortable for them; increasing efficiency, cutting out confusion, and just making life that much easier.

Want Even More?

To cover every situation you may face, your Hospitality Management System needs to be part of a software ecosystem–like Sirvoy’s connection with Siteminder Exchange.

Siteminder is the leading hotel commerce platform and includes hundreds of professional tools for the industry. If your business needs a more in-depth housekeeping solution, you can find it on the exchange and Sirvoy can communicate all the needed information about your bookings and properties to it automatically.


3. At and After Check-Out
The stay is over, and the guest is leaving. There’s nothing more to be done to satisfy them about cleanliness or safety now, is there?

Almost, but sometimes the last service provided can leave the most long-lasting impression. 

80% of hotel guests said remote checkout was somewhat or very important to them.4
81% of guests reported that follow-up communication about health or safety during their stay was somewhat or very important.4
54% of travelers have left something behind in their room.11
Just like good communication prior to their arrival was valued, so too is good communication after your guest has left. Consider sending another, potentially automated, message to your former visitors a few days after check-out. 

These messages can include:

Your thanks and your hopes to host them again.
Updates on any health concerns (or lack thereof) during their stay.
Details of lost items left in their room. One-third of U.S. guests will return to claim lost items11 (and probably be your fan forever!)
Thankfully, the need to report health concerns will be rare, but 85% of guests see visible evidence of safety protocols as important.4 Your message will comfort them even though it may only report that there were no Covid-19 or other health concerns. Just getting the all-clear lets them see that you have safety protocols in place to care for them.

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How does your property entice guests to book or leave a great review? The attentive staff? Grand vistas? Or delectable banana pancakes? All play their part (your pancakes are unbelievable), but to your guests, cleanliness is king.

Three Housekeeping Opportunities to Satisfy Hotel Guests and Cut Costs



Streamline and Thrive: The Power of Hotel Management Software (HMS)

In today's ever-evolving hospitality industry, success depends on more than just great service and cozy accommodations.
From maximizing occupancy rates to driving direct bookings and enhancing the guest experience, lodging operators face a myriad of challenges. As complexity grows, the role of technology becomes increasingly vital in streamlining operations and automating processes.

According to the Hotelproxi 2023 State of Independent Lodging Report, the industry's pulse is clear: owners and operators need help. The report's insights reveal a growing trend among independent properties to invest in technology, unlocking new revenue opportunities, bolstering websites, managing marketing campaigns, automating services, and optimizing guest experiences.

The real power of hotel management software lies in liberating operators from repetitive administrative tasks, allowing them to focus on what truly matters – the guest. As the backbone of efficient operations, a robust HMS ensures that smaller properties, often driven by owner/operators, don't get lost in the whirlwind of daily tasks.

In a recent interview with Skift, Hotelproxi' CEO, Adam Harris, highlighted the importance of technology adoption in the hotel industry. Many hoteliers hesitate to adopt hotel management software due to fear of change. However, embracing this technology offers numerous benefits that can significantly impact a property's success.

Firstly, hoteliers' time is valuable, and every minute counts. Manual tasks like handling phone reservations can cost revenue opportunities. By investing in a robust hotel management software, hoteliers can streamline operations, free up time, and focus on activities that drive greater returns, such as marketing and technology advancements.

Secondly, hoteliers are constantly busy with various tasks, from guest interactions to marketing campaigns. A reliable hotel management software can be a lifesaver, combining multiple functionalities into one platform, accessible from anywhere through cloud technology. This ensures real-time updates and enhanced guest service through personalized messaging tools.

Additionally, an integrated hotel management system simplifies back-office operations, handling payments, invoices, and financial reports from a single data source. With experienced support from the software provider, hoteliers can rely on their expertise to manage and grow their business effectively.

Sanj Gidda, Director of the George Street Hotel and Bocardo Hotel, experienced firsthand the advantages of using Hotelproxi' modern HMS. Prior to adoption, he faced challenges with an on-premise system. After switching to Hotelproxi, he saw significant improvements in efficiency, support, and integrated channel management. With the cloud platform, he even managed his properties remotely while on vacation, thanks to real-time data availability.

In conclusion, hotel management software is essential for hotels of all sizes to enhance efficiency, guest service, and overall profitability. Embracing this technology can be a game-changer for hoteliers, providing them with more time, control, and peace of mind to run their properties successfully.

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Streamline and Thrive: The Power of Hotel Management Software (HMS). In today's ever-evolving hospitality industry, success depends on more than just great service and cozy accommodations

A comprehensive guide to hotel management software


Direct bookings have become essential to any independent hotel’s distribution mix. A direct booking strategy is a powerful force in reducing customer acquisition costs, increasing occupancy, and improving profitability by building greater brand loyalty and giving you direct access to guests.

Still, it’s important to note that all bookings are innately good. Often when we discuss the importance of direct bookings, it sounds as if we’re arguing that somehow third-party bookings are bad when they’re not. Different types of bookings will bring you varying amounts of revenue and profit. While OTAs take a percentage of your nightly rate, it’s still revenue you may not have obtained elsewhere.

Before jumping into concrete tactics for capturing more direct sales, let’s review trends and the most common booking channels, including metasearch engines, online travel agencies, and a property’s website. This brief review will give you the foundation to understand the place of direct sales within your distribution strategy.

 

Direct booking trends
How has the direct booking landscape evolved over the past few years?

In Hotelproxi’ 2023 State of Independent Lodging Report, we looked at data, surveys, and trends collected from thousands of independent properties to answer this question and more.

Within our global dataset, we found that in 2019 OTA-sourced bookings made up 57% of all reservations, while non-OTA bookings (website, phone, email, and walk-in) made up 43%. During the pandemic, there was a significant shift towards direct bookings, and in 2022 the balance shifted back in favor of OTAs.

OTA share of bookings - Hotelproxi Report

It’s interesting to note that when we broke down booking sources by region, we saw that North America had a significantly higher direct booking rate at 56% — with 32% of all bookings being made through a property’s website (the rest of the world had 12% of bookings made through a property’s website).

This data shows the fluctuation between different channels and the importance of a well-balanced distribution strategy.

Hotelproxi' 2023 State of Independent Lodging Report

 

Top booking channels
Part of creating a winning distribution strategy is meeting your customers in real-time. Three of the largest booking sources for lodging businesses are online travel agencies, metasearch engines, and your direct website. Each booking source has advantages and challenges, so it’s helpful to know the differences when deciding on your channel mix. Developing a robust mix to fit your hotel business’s needs is crucial to increase direct bookings.

Online travel agencies (OTAs)
41% of travelers prefer to use online travel agents, like Expedia, Airbnb, and Booking.com. The majority of OTA bookings come with a commission fee. This means that guests create their reservations and process payments via the OTA website, and the OTAs keep a negotiated commission per booking before distributing the remaining payment amount to the property. Commission fees for some channels can be as high as 30% per booking, so it’s crucial not solely to rely on OTAs for reservations. Most properties use a channel manager to share their inventory to keep all their channels, rates, and rooms in one place.

Benefits: 

Brand power to attract travelers worldwide across target markets and demographics
Access to niche markets via region-specific OTAs, like Ctrip, or property-specific ones, like Mr & Mrs Smith
Visibility to travelers that may not have been aware of your property before searching (also known as the billboard effect, where consumers visit an OTA for research and eventually book direct)
Marketing incentives or special offers and inventory allotments give you control over the share of OTA sales in your distribution mix
Challenges: 

High commission fees for the more popular OTAs and rising commissions every year
Access to very little information about guests who book your hotel on an OTA
Less control over the guest experience as their first point of contact is with the OTA and providers own guest data
Need to track and maintain rate parity between OTAs and direct channels
 
Metasearch engines
Metasearch sites like Kayak, TripAdvisor, and Trivago allow consumers to compare prices across OTAs and a property’s website. Hotels can bid on metasearch advertising placements and pay when consumers click on the ad. Metasearch differs from OTAs in that you can direct travelers back to your website to drive direct bookings, and it works on a non-commission model; instead, you pay a cost per click (CPC). You can set a budget for how much you want to bid for each click and adjust bids to optimize your overall strategy.

Benefits: 

Metasearch engine users are usually active trip planners and therefore have more search intent
The CPC model levels the playing field by leading travelers to reserve directly on your website, giving you ownership of the relationship
The CPC model also makes it easy to scale demand as needed
You only pay for performance
Challenges: 

You’re competing in an open auction, which often rewards bigger budgets
Fluctuating CPC bids based on market demand means that hoteliers must keep a close eye on performance to avoid overspending
 



 

Hotel website
Direct bookings via a hotel’s website allow hoteliers and hosts to transact directly with bookers. The advantages of direct sales are twofold: you don’t pay commissions to third parties and can maintain a direct relationship with the customer. However, these bookings aren’t entirely free. First, you must have an online booking engine on your website to take your reservations and process payments. Second, you still have to invest in marketing efforts to attract travelers and remain competitive.

Benefits:

A one-on-one relationship with guests that improves the user experience
More opportunities for upsells before arrival
No commissions paid to third-party OTAs or other marketplaces means more revenue and profits
Loyalty bookings can lower overall costs by increasing the lifetime value of each guest.
You own guest data which can be used for pre-arrival communication and post-stay remarketing efforts
Challenges:

Direct bookings require strong digital marketing skills or the services of a hotel marketing expert to keep costs low compared to other channels.
 

See how Hotelproxi Amplify can help you drive more direct bookings
Book a call
 

13 ways to increase direct bookings
Now that we’ve discussed their value, let’s look at some key tactics to increase direct sales at your property. As you look to increase direct bookings, remember that minor improvements amplify over time, so don’t get discouraged if you don’t see results overnight. Each 1% increase in direct sales is a win worth celebrating! Eventually, you can rely less and less on OTAs and other third-party, commission-charging sources for your bookings.

Here are a few ways to increase your hotel’s direct bookings:

1. Use a commission-free booking engine
Look for a commission-free booking engine that’s also mobile-friendly; mobile devices account for a significant share of travel research and booking, with Euromonitor estimating that 1 in 4 travel bookings will be on mobile by 2024. Mobile usability will maintain the competitiveness of your channel.   

Ensure the booking process is limited to two or three steps and includes a rate checker so consumers can compare prices from your website to increase conversion rates. That way, you keep them from leaving your site to rate shop on OTAs, and you also give them a reason to book by showing that you have the best rate.

 
2. Build an eye-catching, user-friendly website
Your website is often the first impression potential guests have of your property. Go the extra mile and use eCommerce best practices to improve the user experience and encourage travelers to book direct. Ensure you use high-quality images and videos to showcase all your rooms and amenities and provide a modern and seamless experience to encourage travelers to book. Use bold, colorful call-to-action (CTA), like “Book Now,” on every page, and include FAQs to answer any last questions.

Hotelproxi Websites Templates

 
3. Utilize a variety of rate plans
Incorporating a variety of rate plans as a part of your revenue management strategy gives travelers more options and flexibility to choose what best suits their needs (and helps you better manage occupancy). Consider offering Earlybird, Flexible, or Non-refundable rate plans through your booking engine to encourage direct bookings.

Another way to attract various segments and increase direct bookings is through split inventory. Split inventory is when lodging operators combine various room types, sold as a single unit. This gives travelers the opportunity to customize their experience, which can lead to an increase in direct bookings, revenue, and guest loyalty.

 

4. Include upsells and add-ons during the booking process
Let guests personalize their stay as much as possible using add-ons, upsells, and packages integrated into your booking engine. Offer things like parking, transportation, spa passes, or tours during checkout so that travelers can pick and choose what best suits their needs. These extras help differentiate your website from OTAs and result in additional revenue for your property.

 

5. Leverage digital marketing 
This is where boosting direct sales can get a bit tricky. Instead of relying on OTAs for their marketing muscle, you’ll have to run hotel marketing campaigns yourself. Begin by looking at your property management system data to identify guest segments most likely to book direct.

Once you’ve identified your guest segments, choose which channels make the most sense for your audience.

Metasearch engines are a great place to start, as they target users with the most intent
Search engine marketing (SEM) and retargeting can help boost your website’s visibility fast
Social media campaigns on Facebook or Instagram have great segmentation capabilities for reaching niche audiences
Search engine optimization (SEO) efforts help to improve your website’s performance and ranking on Google and other search engines
Email marketing helps to keep upcoming and past guests engaged and informed about your property and perks
Remember that marketing requires consistent testing and optimization to see what works best. It’s all about continuous improvement!  

Get Loud eBook banner

 
6. Give guests channels to communicate with you
During the discovery phase, travelers often have a lot of questions about a property’s amenities, rooms, location, and more. To help answer these questions fast, build trust, and encourage the likelihood of a direct booking — invest in guest messaging tools that can be integrated into your website.

Messaging platforms allow you to send and receive messages from various channels like chatbots and messenger for business and manage everything through a unified inbox. This way, you can manage questions across channels fast and streamline the booking process. You can also use AI or pre-programmed chat tools to eliminate the need for human intervention.

 

7. Create a sense of urgency
As a final nudge, use messaging on your website that creates a sense of urgency for travelers. For example, you can test out flash sales or limited-time offers to see if conversion rates increase. Try sending these types of sales out via email to drive traffic, or else use a banner at the top of your website with a unique discount code. These types of promotions are great for when you need to fill occupancy fast and should not be used all the time.

 

8. Don’t just sell a room, sell an experience
Travelers today are looking for more than just a place to stay, they want to find an accommodation provider that fits the experience they’re looking for. Our lodging report identified a shift from amenities to experiences as a major trend and advised lodging operators to break away from the amenitity mentality and focus on efforts to enhance the guest experience and satisfy travelers’ social, environmental, and econmic needs. 

Hotelproxi' 2023 State of Independent Lodging Report

 

You must clearly define how your rooms, amenities, and values line up to deliver a unique experience and communicate this across channels to drive more direct bookings. For example, if you have a small lodge nestled in the mountains, showcase how you offer a shuttle to the ski hill, an après-ski happy hour, and a rooftop hot tub to end the day in. The more you lean into your unique experience the higher likelihood you’ll find a loyal customer base who return time and time again.

 
9. Lean into loyalty
Your past guests are a gold mine when it comes to rebooking. Re-engage past customers using an email marketing campaign with compelling discounts and offers. Also, if you don’t have one, consider launching a loyalty program. Travelers respond well to these programs, and you’ll learn much more about your ideal guest profiles. Your loyalty programs don’t have to be complicated, with points and redemptions — it can be as simple as promising “Members Only” rates.

 

10. Get active on social media
Social media is a fantastic way to strengthen and promote your brand and build relationships with past and potential guests. Choose what channels to invest time and effort into based on your guest demographics, and run social media ads to drive more direct bookings. Ensure that you create CTAs on your social profiles that link to your booking engine to streamline the experience.

Encourage social content sharing around your property by creating hashtags and building “Instagrammable” spots to encourage guests to post and share photos. You can then reshare content posted by guests. Nurture and engage with your community online and make occasional offers or exclusive packages for your followers.

hotel direct bookings website

 
11. Participate in events and tradeshows
Connections are everything in the hospitality industry and can be vital in securing steady direct bookings via local tourism bureaus and other hospitality professionals. Consider attending tradeshows to network and educate attendees about your brand and offerings. At these events, you’ll also learn valuable insights into industry trends which can help spark new ideas for your property. By taking the time to learn from others, you can make your hotel more appealing to guests and, in turn, increase direct bookings.

 

12. Personalize, personalize, personalize
Guest profiles within your PMS can contain detailed information, such as birthdays, anniversaries, and special requests. You can use this information with guest messaging software to build guest relationships and offer personalized services, special discounts, and deals during their stay.

For instance, say one of your guests recently visited your property for an anniversary trip and noted that they have a gluten allergy. Imagine the guest’s reaction if you were to send a text that your restaurant has recently expanded its gluten-free options and is offering their room at a discounted rate for their next stay. Personalized service creates lasting customer loyalty and encourages repeat visits.

 
13. Implement a reputation management process
From OTAs to online directories and community forums like Yelp, travelers have various platforms to rate and review your property. Your future guests will likely visit some of these sites when researching your property.

Establish a process to collect and manage reviews. Send a quick message post-check-in to ensure guest expectations are meeting reality and conduct any necessary service recovery at this point. At the end of a guest’s stay, send an automated survey to collect feedback and end the process with a link to your review sites.

Ensure that you inspect your listings on OTAs and directories and respond to reviews when you can. A personal, well-tempered comment from the owner or manager looks good to guests and improves your brand’s perception. Those same guests are more likely to visit your website and book there.

 

Expand your distribution mix & earn more revenue
Reducing dependency on OTAs and increasing direct booking revenue can contribute to a better bottom line for your property. Still, keep in mind that the best reservation is the one with the most value (total RevPAR), acquired through the lowest cost (customer acquisition cost or CAC).

Sometimes the commission costs paid to OTAs are less than those incurred on an individual marketing campaign. Remember to track these costs as you test different ways to drive direct bookings. Increasing direct bookings requires cleverness and creativity, but is well worth it to own your guest data and earn more revenue!

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13 ways to attract more direct bookings for your hotel

Guest experience has been a focal point over the past few years due to changing traveler expectations as a result of the pandemic.

HotelProxi Hospitality News

Three Housekeeping Opportunities to Satisfy Hotel Guests and Cut Costs

A comprehensive guide to hotel management software

13 ways to attract more direct bookings for your hotel

36 actionable ideas to enhance the hotel guest experience