Mike Doherty, President of Cole & Weber United had an interesting article in this month’s edition of Seattle Business. There are several key points that apply to this stage of the hospitality industry recession.
“If business is in a slump, don’t retrench. Reinvent! The impact of innovation—especially in a recession—will always outweigh the impact of cost containment.”
“During economic uncertainty, consumers tend to reconsider brands based on their attendant value. That behavior means businesses need to look at their product portfolios and consumer shopping habits; they also should think about the different ways their product can add real value to people’s lives and experiences. This proactive review can reveal opportunities such as new pricing models, portfolio strategies and services, all of which can help people justify their buying. Unfortunately, brands typically retrench while consumers are rethinking their relationships with those brands, giving consumers less reason to make purchases.”
Recessions are helpful to our businesses if we use them to rethink our market segments and to improve the services and products we offer our guests.
Quick no cost ideas:
1. What are different ways your product or service can serve your customer base? When guests check out of your hotel, have the front desk ask each guest what your hotel could have done to make their stay more enjoyable. When guests pay their restaurant bill, ask them how you could have made their meal more enjoyable.
2. The above will give you ideas on how to establish better communications with your guests so guests know you understand and care about their ”wants.” People frequent those businesses that make them feel good. Making customers feel good can be as simple as showing them a caring attitude and staying in touch. It doesn’t have to cost money.
The Internet provides a simple way to communicate with our customers…consistently. Monthly newsletters on specials, quotes from satisfied customers, new offerings, etc. Create special newsletters for each of your market segments. Short, breezy, 2-3 paragraph newsletters are read. Longer newsletters get set aside and never read. Not sure of your writing skills? Don’t worry about it. People are looking for information clearly stated.
3. Learn how your property can provide real value to your customers and guests. Then re-identify your market segments and how best to maximize sales from each segment. The Internet, Blackberry’s, and other hand held electronic devices., are teaching people to communicate in different ways. It helps if we use those media, but more importantly, we need to know how people want to be communicated to.
4. Create forums on your web site so guests can communicate with your about the topics that concern them.
We’d love to hear what your property or company is doing to better communicate your services and offerings to your customers.
