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We are neither in Podunk nor a destination. There are a bunch of new hotels/motels being built here. I'm afraid that they will undercut all of the B&Bs here and they will soon be a thing of the past. It's hard to compete with suite style hotels with pools and complimentary breakfasts that are $79/night that are geared for the majority of the travelers that visit this town. I just finished reading some posts on our city's forum on TA and people were raving about hotel rooms as low as $59/night. A quality B&B can't match that price and I wouldn't want to..
I think the larger inns may have more of a problem with the new hotels than the small ones. The people who like B & Bs are looking for rhe service and attention they can get at the small inns.
In the last 13 years, I estimate 1000 to 1500 rooms have been built in this area (Weston to Morgantown - about 40 miles each side of me) and none are newer than 3 years old). My business last year was banner level, this year I am down (I think the hotels are also unless they get conference business). However, I do think there is a place for me in the future. Once people get to the point they know what is happening in their lives. Once the rules stop changing every other month so to speak........
.
I disagree. There are quite a few travelers that are looking under $100. What is "banner level" for you for your business, might not be anywhere near what a lot of innkeepers need to support their property, even if they are small properties. We only have 5 rooms and I need quite a bit of business to cover my overhead and we do all the work except mowing the grass and having a part-time housekeeper a couple of days a week. If the occupancy goes up, you need more help because it's physically impossible to do everything yourself.
The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
.
Samster said:
I disagree. The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
I have seen the same phenomenon here. In a town only ten miles away, two hotels have opened - an HIE and a racino hotel - and the business at the B&Bs there has fallen through the floor. One will be closing for good within a few weeks, after selling at a drastically reduced price to people who will turn into commercial space and apartments. That town is only 5 miles from a national park, where all the B&Bs are doing well this year, and only 10 miles from us, and we are keeping up with last year's numbers. The new hotels have undercut the B&B prices and it's really hurt their business.
.
muirford said:
Samster said:
I disagree. The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
I have seen the same phenomenon here. In a town only ten miles away, two hotels have opened - an HIE and a racino hotel - and the business at the B&Bs there has fallen through the floor. One will be closing for good within a few weeks, after selling at a drastically reduced price to people who will turn into commercial space and apartments. That town is only 5 miles from a national park, where all the B&Bs are doing well this year, and only 10 miles from us, and we are keeping up with last year's numbers. The new hotels have undercut the B&B prices and it's really hurt their business.
Here's what it sounds like to me...those B&Bs that are having trouble because of the hotels coming in need to change their marketing strategy. If the B&Bs only 5 miles away near the state park are doing well and so are you, then the marketing needs to emphesize the closeness to the destination. 5 miles is a very short distance. Forget about the hotelsmotels reanalyze their marketing. So often innkeepers get into a rut and just keep doing the same old thing. You simply can't do that in this economic environment.
 
We are neither in Podunk nor a destination. There are a bunch of new hotels/motels being built here. I'm afraid that they will undercut all of the B&Bs here and they will soon be a thing of the past. It's hard to compete with suite style hotels with pools and complimentary breakfasts that are $79/night that are geared for the majority of the travelers that visit this town. I just finished reading some posts on our city's forum on TA and people were raving about hotel rooms as low as $59/night. A quality B&B can't match that price and I wouldn't want to..
I think the larger inns may have more of a problem with the new hotels than the small ones. The people who like B & Bs are looking for rhe service and attention they can get at the small inns.
In the last 13 years, I estimate 1000 to 1500 rooms have been built in this area (Weston to Morgantown - about 40 miles each side of me) and none are newer than 3 years old). My business last year was banner level, this year I am down (I think the hotels are also unless they get conference business). However, I do think there is a place for me in the future. Once people get to the point they know what is happening in their lives. Once the rules stop changing every other month so to speak........
.
I disagree. There are quite a few travelers that are looking under $100. What is "banner level" for you for your business, might not be anywhere near what a lot of innkeepers need to support their property, even if they are small properties. We only have 5 rooms and I need quite a bit of business to cover my overhead and we do all the work except mowing the grass and having a part-time housekeeper a couple of days a week. If the occupancy goes up, you need more help because it's physically impossible to do everything yourself.
The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
.
Samster said:
I disagree. The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
I have seen the same phenomenon here. In a town only ten miles away, two hotels have opened - an HIE and a racino hotel - and the business at the B&Bs there has fallen through the floor. One will be closing for good within a few weeks, after selling at a drastically reduced price to people who will turn into commercial space and apartments. That town is only 5 miles from a national park, where all the B&Bs are doing well this year, and only 10 miles from us, and we are keeping up with last year's numbers. The new hotels have undercut the B&B prices and it's really hurt their business.
.
muirford said:
Samster said:
I disagree. The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
I have seen the same phenomenon here. In a town only ten miles away, two hotels have opened - an HIE and a racino hotel - and the business at the B&Bs there has fallen through the floor. One will be closing for good within a few weeks, after selling at a drastically reduced price to people who will turn into commercial space and apartments. That town is only 5 miles from a national park, where all the B&Bs are doing well this year, and only 10 miles from us, and we are keeping up with last year's numbers. The new hotels have undercut the B&B prices and it's really hurt their business.
Here's what it sounds like to me...those B&Bs that are having trouble because of the hotels coming in need to change their marketing strategy. If the B&Bs only 5 miles away near the state park are doing well and so are you, then the marketing needs to emphesize the closeness to the destination. 5 miles is a very short distance. Forget about the hotelsmotels reanalyze their marketing. So often innkeepers get into a rut and just keep doing the same old thing. You simply can't do that in this economic environment.
.
Diva, I could not agree more. The inclination when business starts declining is to stop spending, especially on marketing. While I can see spending more efficiently, I cannot see just putting the brakes on everything, that simply exacerbates the problem.
As birdwatcher and others know from experience, you can always improve what you're doing, especially when it comes to marketing.
 
We are neither in Podunk nor a destination. There are a bunch of new hotels/motels being built here. I'm afraid that they will undercut all of the B&Bs here and they will soon be a thing of the past. It's hard to compete with suite style hotels with pools and complimentary breakfasts that are $79/night that are geared for the majority of the travelers that visit this town. I just finished reading some posts on our city's forum on TA and people were raving about hotel rooms as low as $59/night. A quality B&B can't match that price and I wouldn't want to..
I think the larger inns may have more of a problem with the new hotels than the small ones. The people who like B & Bs are looking for rhe service and attention they can get at the small inns.
In the last 13 years, I estimate 1000 to 1500 rooms have been built in this area (Weston to Morgantown - about 40 miles each side of me) and none are newer than 3 years old). My business last year was banner level, this year I am down (I think the hotels are also unless they get conference business). However, I do think there is a place for me in the future. Once people get to the point they know what is happening in their lives. Once the rules stop changing every other month so to speak........
.
I disagree. There are quite a few travelers that are looking under $100. What is "banner level" for you for your business, might not be anywhere near what a lot of innkeepers need to support their property, even if they are small properties. We only have 5 rooms and I need quite a bit of business to cover my overhead and we do all the work except mowing the grass and having a part-time housekeeper a couple of days a week. If the occupancy goes up, you need more help because it's physically impossible to do everything yourself.
The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
.
Samster said:
I disagree. The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
I have seen the same phenomenon here. In a town only ten miles away, two hotels have opened - an HIE and a racino hotel - and the business at the B&Bs there has fallen through the floor. One will be closing for good within a few weeks, after selling at a drastically reduced price to people who will turn into commercial space and apartments. That town is only 5 miles from a national park, where all the B&Bs are doing well this year, and only 10 miles from us, and we are keeping up with last year's numbers. The new hotels have undercut the B&B prices and it's really hurt their business.
.
muirford said:
Samster said:
I disagree. The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
I have seen the same phenomenon here. In a town only ten miles away, two hotels have opened - an HIE and a racino hotel - and the business at the B&Bs there has fallen through the floor. One will be closing for good within a few weeks, after selling at a drastically reduced price to people who will turn into commercial space and apartments. That town is only 5 miles from a national park, where all the B&Bs are doing well this year, and only 10 miles from us, and we are keeping up with last year's numbers. The new hotels have undercut the B&B prices and it's really hurt their business.
Here's what it sounds like to me...those B&Bs that are having trouble because of the hotels coming in need to change their marketing strategy. If the B&Bs only 5 miles away near the state park are doing well and so are you, then the marketing needs to emphesize the closeness to the destination. 5 miles is a very short distance. Forget about the hotelsmotels reanalyze their marketing. So often innkeepers get into a rut and just keep doing the same old thing. You simply can't do that in this economic environment.
.
I agree with some of your points - these inns didn't have the best websites, in my opinion, but I don't know enough about their own marketing budgets to say one way or the other what they spent on marketing. I didn't notice them dropping out of directories. It's inaccurate to say that they completely stopped spending money on marketing, if that is the assumption that you or LB is making.
The fact is that the number of lodging rooms tripled in the space of six months in their little town. The B&Bs in the town near the national park benefitted from half the hotel rooms in that town closing down for a multi-year renovation. My occupancy numbers are good compared to last year, but the hotels in my town are doing about 20% less business than in 2008. As far as I know, all of them have kept or increased their marketing budgets and they are doing more discounting and packages than before.
Sometimes the solution to the problem isn't as easy as just re-doing your marketing plan. If the hotels can afford to undercut your rates, even in the short term, they may be able to keep a B&B sinking deeper and deeper into a spending morass that they can't climb out of. It is what Wal-Mart has done to thousands of small town businesses. And before you leap on me for that statement, I do shop at Wal-Mart and Sam's, although I try to spread the spending around to small local businesses too. The Walmart vs. small town business scenario is pretty well documented.
 
We are neither in Podunk nor a destination. There are a bunch of new hotels/motels being built here. I'm afraid that they will undercut all of the B&Bs here and they will soon be a thing of the past. It's hard to compete with suite style hotels with pools and complimentary breakfasts that are $79/night that are geared for the majority of the travelers that visit this town. I just finished reading some posts on our city's forum on TA and people were raving about hotel rooms as low as $59/night. A quality B&B can't match that price and I wouldn't want to..
I think the larger inns may have more of a problem with the new hotels than the small ones. The people who like B & Bs are looking for rhe service and attention they can get at the small inns.
In the last 13 years, I estimate 1000 to 1500 rooms have been built in this area (Weston to Morgantown - about 40 miles each side of me) and none are newer than 3 years old). My business last year was banner level, this year I am down (I think the hotels are also unless they get conference business). However, I do think there is a place for me in the future. Once people get to the point they know what is happening in their lives. Once the rules stop changing every other month so to speak........
.
I disagree. There are quite a few travelers that are looking under $100. What is "banner level" for you for your business, might not be anywhere near what a lot of innkeepers need to support their property, even if they are small properties. We only have 5 rooms and I need quite a bit of business to cover my overhead and we do all the work except mowing the grass and having a part-time housekeeper a couple of days a week. If the occupancy goes up, you need more help because it's physically impossible to do everything yourself.
The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
.
Samster said:
I disagree. The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
I have seen the same phenomenon here. In a town only ten miles away, two hotels have opened - an HIE and a racino hotel - and the business at the B&Bs there has fallen through the floor. One will be closing for good within a few weeks, after selling at a drastically reduced price to people who will turn into commercial space and apartments. That town is only 5 miles from a national park, where all the B&Bs are doing well this year, and only 10 miles from us, and we are keeping up with last year's numbers. The new hotels have undercut the B&B prices and it's really hurt their business.
.
muirford said:
Samster said:
I disagree. The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
I have seen the same phenomenon here. In a town only ten miles away, two hotels have opened - an HIE and a racino hotel - and the business at the B&Bs there has fallen through the floor. One will be closing for good within a few weeks, after selling at a drastically reduced price to people who will turn into commercial space and apartments. That town is only 5 miles from a national park, where all the B&Bs are doing well this year, and only 10 miles from us, and we are keeping up with last year's numbers. The new hotels have undercut the B&B prices and it's really hurt their business.
Here's what it sounds like to me...those B&Bs that are having trouble because of the hotels coming in need to change their marketing strategy. If the B&Bs only 5 miles away near the state park are doing well and so are you, then the marketing needs to emphesize the closeness to the destination. 5 miles is a very short distance. Forget about the hotelsmotels reanalyze their marketing. So often innkeepers get into a rut and just keep doing the same old thing. You simply can't do that in this economic environment.
.
I agree with some of your points - these inns didn't have the best websites, in my opinion, but I don't know enough about their own marketing budgets to say one way or the other what they spent on marketing. I didn't notice them dropping out of directories. It's inaccurate to say that they completely stopped spending money on marketing, if that is the assumption that you or LB is making.
The fact is that the number of lodging rooms tripled in the space of six months in their little town. The B&Bs in the town near the national park benefitted from half the hotel rooms in that town closing down for a multi-year renovation. My occupancy numbers are good compared to last year, but the hotels in my town are doing about 20% less business than in 2008. As far as I know, all of them have kept or increased their marketing budgets and they are doing more discounting and packages than before.
Sometimes the solution to the problem isn't as easy as just re-doing your marketing plan. If the hotels can afford to undercut your rates, even in the short term, they may be able to keep a B&B sinking deeper and deeper into a spending morass that they can't climb out of. It is what Wal-Mart has done to thousands of small town businesses. And before you leap on me for that statement, I do shop at Wal-Mart and Sam's, although I try to spread the spending around to small local businesses too. The Walmart vs. small town business scenario is pretty well documented.
.
All too true, Muirford...and I admire your instinct to always defend someone when they're down.
But it's also true that if we, as Innkeepers, see ourselves as no different than hotels, than it all comes down to competition at the rate level, where we cannot win. Case in point, in Traverse City, many of the hotels are suffering in this economy. One hotel manager (my old boss) told me "I could put 'free rooms' on the sign and it wouldn't make a difference, it's just slow". Drive through town and you'll see "$49.00 special" on every other sign. B&B's in that same town are not having that problem. As has been said numerous times on this forum...hotels are really not true competition for B&B's. When I don't have rooms, people don't ask "what hotels are in the area", they ask "what other B&B's are in the area".
It IS all about marketing....and that does not mean just spending money, it means spending time and effort even more often. Thinking outside the box, updating your website (for instance, keying in on phrases like "your town hotels" or "lodging near your big attraction"), upgrading your rooms, taking new photos, cultivating reviews, starting a blog, starting a group with your "competitors", teaming up with local attractions in advertising (even if it's just a link exchange)...these are all things that cost more time than money.
I realize that sometimes things spiral out of control, but that should happen only after all possible effort has been expended. If your occupancy numbers are good compared to last year, and theirs aren't, what's the difference? What are you doing that they aren't? Maybe it's just that you realize the difference between your place and a hotel and market yourself accordingly.
Far too often, it is lack of information or knowledge that can drive an Inn out of business. Just having access to a forum like this one or a friendly local Inn group can make all the difference. Inns that have been in business the longest sometimes have the most trouble, as progress and technology pass them by....sometimes an innkeeper just needs to know when to ask for help. That does not mean that they're not good Innkeepers, or don't have nice Inns...it just means that they don't know everything they should be doing.
 
We are neither in Podunk nor a destination. There are a bunch of new hotels/motels being built here. I'm afraid that they will undercut all of the B&Bs here and they will soon be a thing of the past. It's hard to compete with suite style hotels with pools and complimentary breakfasts that are $79/night that are geared for the majority of the travelers that visit this town. I just finished reading some posts on our city's forum on TA and people were raving about hotel rooms as low as $59/night. A quality B&B can't match that price and I wouldn't want to..
I think the larger inns may have more of a problem with the new hotels than the small ones. The people who like B & Bs are looking for rhe service and attention they can get at the small inns.
In the last 13 years, I estimate 1000 to 1500 rooms have been built in this area (Weston to Morgantown - about 40 miles each side of me) and none are newer than 3 years old). My business last year was banner level, this year I am down (I think the hotels are also unless they get conference business). However, I do think there is a place for me in the future. Once people get to the point they know what is happening in their lives. Once the rules stop changing every other month so to speak........
.
I disagree. There are quite a few travelers that are looking under $100. What is "banner level" for you for your business, might not be anywhere near what a lot of innkeepers need to support their property, even if they are small properties. We only have 5 rooms and I need quite a bit of business to cover my overhead and we do all the work except mowing the grass and having a part-time housekeeper a couple of days a week. If the occupancy goes up, you need more help because it's physically impossible to do everything yourself.
The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
.
Samster said:
The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
That is not what the hotels are reporting, they are reporting a loss big time and many inns are reporting keeping their own or increase in revenues. Of course, this may be "resort areas" they are reporting on. As there are indeed less people taking more expensive longer vacations.
.
Hotels also have much lower "breaking points" for room revenue. When the hotel i worked at in the 80s was charging $60 - $75 per night I asked was was the break even rate since I was empowered to do discounts to get those heads in bed and I did not want to "give away the store". I was told $18.
I never went lower than $25 in the middle of the night in summer with broken/AC so you got a fan but was also know to get full rate at 5 AM when "Mr. Lucky" was so hot he could not keep his hands to himself as they stood at the desk and check-out was noon.
I doubt if there was a B & B in the country - even in the 80s - that had an $18 break even.
.
gillumhouse said:
I doubt if there was a B & B in the country - even in the 80s - that had an $18 break even.
K., that might be true, but it's also true that a B&B has far lower overhead than a hotel, especially a small one like you and I have. A hotel owner generally has a seperate home, so two rent/mortgage payments, two sets of utilities, two tax and insurance bills and labor costs to consider. Not so with most innkeepers. With us, I think it's less a matter of "break even" than it is a matter of self-worth and pride. That's what differentiates us from them!
 
Marketing is not just listing with Directories or buying ads. It is visibility. I get this by being willing to give the most expensive item in my marketing "tool box" - my TIME.
WV has a program in the schools system called WVHEAT - Hospitality Education and Training. They give high school kids and technical school students experience in culinary, serving, and hospitality and many of them go on to culinary schools or into the hospitality programs at the colleges and universities here. They are having a Hospitality Symposium near here at a State Park Resort on Oct 19. They were trolling for vendors and presenters. I volunteered as a presenter (and they made me feel they were very happy I did) and as a presenter, I get a table free. I will have my brochures, info about my City, MABB Directories, and rail-trail info on my table.
I asked them to tell me what they want me to talk about. I told them the truth - I am so full of BS that I can talk about anything. I am to do 6 - 30 min sessions that day about Marketing. There will be kids from all over the State at this. I got 100 VistaPrint postcards with the recipe of the muffins I plan to take with me - and the back tells them this is a BOGO good Jan 2, 2010 thru March 30, 2010. The teachers and the honchos will know me better after this. It gives me networking that may come in handy down the road. If there is media coverage of this, I have a chance to be part of it. Oh, they also asked for my logo and a bio. The logo will be on all materials and the bio in the program. It is going to cost me about 5 or 6 gallons of gas and a day of my time.
 
We are neither in Podunk nor a destination. There are a bunch of new hotels/motels being built here. I'm afraid that they will undercut all of the B&Bs here and they will soon be a thing of the past. It's hard to compete with suite style hotels with pools and complimentary breakfasts that are $79/night that are geared for the majority of the travelers that visit this town. I just finished reading some posts on our city's forum on TA and people were raving about hotel rooms as low as $59/night. A quality B&B can't match that price and I wouldn't want to..
I think the larger inns may have more of a problem with the new hotels than the small ones. The people who like B & Bs are looking for rhe service and attention they can get at the small inns.
In the last 13 years, I estimate 1000 to 1500 rooms have been built in this area (Weston to Morgantown - about 40 miles each side of me) and none are newer than 3 years old). My business last year was banner level, this year I am down (I think the hotels are also unless they get conference business). However, I do think there is a place for me in the future. Once people get to the point they know what is happening in their lives. Once the rules stop changing every other month so to speak........
.
I disagree. There are quite a few travelers that are looking under $100. What is "banner level" for you for your business, might not be anywhere near what a lot of innkeepers need to support their property, even if they are small properties. We only have 5 rooms and I need quite a bit of business to cover my overhead and we do all the work except mowing the grass and having a part-time housekeeper a couple of days a week. If the occupancy goes up, you need more help because it's physically impossible to do everything yourself.
The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
.
Samster said:
The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
That is not what the hotels are reporting, they are reporting a loss big time and many inns are reporting keeping their own or increase in revenues. Of course, this may be "resort areas" they are reporting on. As there are indeed less people taking more expensive longer vacations.
.
Hotels also have much lower "breaking points" for room revenue. When the hotel i worked at in the 80s was charging $60 - $75 per night I asked was was the break even rate since I was empowered to do discounts to get those heads in bed and I did not want to "give away the store". I was told $18.
I never went lower than $25 in the middle of the night in summer with broken/AC so you got a fan but was also know to get full rate at 5 AM when "Mr. Lucky" was so hot he could not keep his hands to himself as they stood at the desk and check-out was noon.
I doubt if there was a B & B in the country - even in the 80s - that had an $18 break even.
.
gillumhouse said:
I doubt if there was a B & B in the country - even in the 80s - that had an $18 break even.
K., that might be true, but it's also true that a B&B has far lower overhead than a hotel, especially a small one like you and I have. A hotel owner generally has a seperate home, so two rent/mortgage payments, two sets of utilities, two tax and insurance bills and labor costs to consider. Not so with most innkeepers. With us, I think it's less a matter of "break even" than it is a matter of self-worth and pride. That's what differentiates us from them!
.
I was referring to a chain hotel. One that is owned by a corporation and the GM is an employee and just part of the food chain - top of the chain at that facility and hoping to move up to a bigger/better facility and location.
I do not think too many hotels are owned by individuals. And if I did own a hotel, I would probably have an apartment in the hotel to "be on top" of the operation. And a hotel would be set up as a corporation for sure so the finances of the hotel would not harm the finances of the owner. With a B & B, for the most part, we live and die with the B & B. If it tanks, so do we.
 
We are neither in Podunk nor a destination. There are a bunch of new hotels/motels being built here. I'm afraid that they will undercut all of the B&Bs here and they will soon be a thing of the past. It's hard to compete with suite style hotels with pools and complimentary breakfasts that are $79/night that are geared for the majority of the travelers that visit this town. I just finished reading some posts on our city's forum on TA and people were raving about hotel rooms as low as $59/night. A quality B&B can't match that price and I wouldn't want to..
I think the larger inns may have more of a problem with the new hotels than the small ones. The people who like B & Bs are looking for rhe service and attention they can get at the small inns.
In the last 13 years, I estimate 1000 to 1500 rooms have been built in this area (Weston to Morgantown - about 40 miles each side of me) and none are newer than 3 years old). My business last year was banner level, this year I am down (I think the hotels are also unless they get conference business). However, I do think there is a place for me in the future. Once people get to the point they know what is happening in their lives. Once the rules stop changing every other month so to speak........
.
I disagree. There are quite a few travelers that are looking under $100. What is "banner level" for you for your business, might not be anywhere near what a lot of innkeepers need to support their property, even if they are small properties. We only have 5 rooms and I need quite a bit of business to cover my overhead and we do all the work except mowing the grass and having a part-time housekeeper a couple of days a week. If the occupancy goes up, you need more help because it's physically impossible to do everything yourself.
The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
.
Samster said:
I disagree. The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
I have seen the same phenomenon here. In a town only ten miles away, two hotels have opened - an HIE and a racino hotel - and the business at the B&Bs there has fallen through the floor. One will be closing for good within a few weeks, after selling at a drastically reduced price to people who will turn into commercial space and apartments. That town is only 5 miles from a national park, where all the B&Bs are doing well this year, and only 10 miles from us, and we are keeping up with last year's numbers. The new hotels have undercut the B&B prices and it's really hurt their business.
.
muirford said:
Samster said:
I disagree. The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
I have seen the same phenomenon here. In a town only ten miles away, two hotels have opened - an HIE and a racino hotel - and the business at the B&Bs there has fallen through the floor. One will be closing for good within a few weeks, after selling at a drastically reduced price to people who will turn into commercial space and apartments. That town is only 5 miles from a national park, where all the B&Bs are doing well this year, and only 10 miles from us, and we are keeping up with last year's numbers. The new hotels have undercut the B&B prices and it's really hurt their business.
Here's what it sounds like to me...those B&Bs that are having trouble because of the hotels coming in need to change their marketing strategy. If the B&Bs only 5 miles away near the state park are doing well and so are you, then the marketing needs to emphesize the closeness to the destination. 5 miles is a very short distance. Forget about the hotelsmotels reanalyze their marketing. So often innkeepers get into a rut and just keep doing the same old thing. You simply can't do that in this economic environment.
.
I agree with some of your points - these inns didn't have the best websites, in my opinion, but I don't know enough about their own marketing budgets to say one way or the other what they spent on marketing. I didn't notice them dropping out of directories. It's inaccurate to say that they completely stopped spending money on marketing, if that is the assumption that you or LB is making.
The fact is that the number of lodging rooms tripled in the space of six months in their little town. The B&Bs in the town near the national park benefitted from half the hotel rooms in that town closing down for a multi-year renovation. My occupancy numbers are good compared to last year, but the hotels in my town are doing about 20% less business than in 2008. As far as I know, all of them have kept or increased their marketing budgets and they are doing more discounting and packages than before.
Sometimes the solution to the problem isn't as easy as just re-doing your marketing plan. If the hotels can afford to undercut your rates, even in the short term, they may be able to keep a B&B sinking deeper and deeper into a spending morass that they can't climb out of. It is what Wal-Mart has done to thousands of small town businesses. And before you leap on me for that statement, I do shop at Wal-Mart and Sam's, although I try to spread the spending around to small local businesses too. The Walmart vs. small town business scenario is pretty well documented.
.
All too true, Muirford...and I admire your instinct to always defend someone when they're down.
But it's also true that if we, as Innkeepers, see ourselves as no different than hotels, than it all comes down to competition at the rate level, where we cannot win. Case in point, in Traverse City, many of the hotels are suffering in this economy. One hotel manager (my old boss) told me "I could put 'free rooms' on the sign and it wouldn't make a difference, it's just slow". Drive through town and you'll see "$49.00 special" on every other sign. B&B's in that same town are not having that problem. As has been said numerous times on this forum...hotels are really not true competition for B&B's. When I don't have rooms, people don't ask "what hotels are in the area", they ask "what other B&B's are in the area".
It IS all about marketing....and that does not mean just spending money, it means spending time and effort even more often. Thinking outside the box, updating your website (for instance, keying in on phrases like "your town hotels" or "lodging near your big attraction"), upgrading your rooms, taking new photos, cultivating reviews, starting a blog, starting a group with your "competitors", teaming up with local attractions in advertising (even if it's just a link exchange)...these are all things that cost more time than money.
I realize that sometimes things spiral out of control, but that should happen only after all possible effort has been expended. If your occupancy numbers are good compared to last year, and theirs aren't, what's the difference? What are you doing that they aren't? Maybe it's just that you realize the difference between your place and a hotel and market yourself accordingly.
Far too often, it is lack of information or knowledge that can drive an Inn out of business. Just having access to a forum like this one or a friendly local Inn group can make all the difference. Inns that have been in business the longest sometimes have the most trouble, as progress and technology pass them by....sometimes an innkeeper just needs to know when to ask for help. That does not mean that they're not good Innkeepers, or don't have nice Inns...it just means that they don't know everything they should be doing.
.
According to Inn A vs Inn B on the BandB,com newsletter it is all about reviews. Of course I want to see the listing for Inn A vs Inn B on the directory or do we just take their word for it?
Perhaps one is not very nice? Perhaps one just doesn't photograph well or the owners submitted crappy photos...it could be something as small as website navigation, or tone on the website - HOSPITALITY COME ON IN! vs Here's your room, the office in now closed.
There are too many variables. Dotting i's and crossing t's has got to be on the list. Amenities guest want has got to be on the list, location location location has got to be on the list. So many things to consider.
 
We are neither in Podunk nor a destination. There are a bunch of new hotels/motels being built here. I'm afraid that they will undercut all of the B&Bs here and they will soon be a thing of the past. It's hard to compete with suite style hotels with pools and complimentary breakfasts that are $79/night that are geared for the majority of the travelers that visit this town. I just finished reading some posts on our city's forum on TA and people were raving about hotel rooms as low as $59/night. A quality B&B can't match that price and I wouldn't want to..
I think the larger inns may have more of a problem with the new hotels than the small ones. The people who like B & Bs are looking for rhe service and attention they can get at the small inns.
In the last 13 years, I estimate 1000 to 1500 rooms have been built in this area (Weston to Morgantown - about 40 miles each side of me) and none are newer than 3 years old). My business last year was banner level, this year I am down (I think the hotels are also unless they get conference business). However, I do think there is a place for me in the future. Once people get to the point they know what is happening in their lives. Once the rules stop changing every other month so to speak........
.
I disagree. There are quite a few travelers that are looking under $100. What is "banner level" for you for your business, might not be anywhere near what a lot of innkeepers need to support their property, even if they are small properties. We only have 5 rooms and I need quite a bit of business to cover my overhead and we do all the work except mowing the grass and having a part-time housekeeper a couple of days a week. If the occupancy goes up, you need more help because it's physically impossible to do everything yourself.
The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
.
Samster said:
I disagree. The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
I have seen the same phenomenon here. In a town only ten miles away, two hotels have opened - an HIE and a racino hotel - and the business at the B&Bs there has fallen through the floor. One will be closing for good within a few weeks, after selling at a drastically reduced price to people who will turn into commercial space and apartments. That town is only 5 miles from a national park, where all the B&Bs are doing well this year, and only 10 miles from us, and we are keeping up with last year's numbers. The new hotels have undercut the B&B prices and it's really hurt their business.
.
muirford said:
Samster said:
I disagree. The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
I have seen the same phenomenon here. In a town only ten miles away, two hotels have opened - an HIE and a racino hotel - and the business at the B&Bs there has fallen through the floor. One will be closing for good within a few weeks, after selling at a drastically reduced price to people who will turn into commercial space and apartments. That town is only 5 miles from a national park, where all the B&Bs are doing well this year, and only 10 miles from us, and we are keeping up with last year's numbers. The new hotels have undercut the B&B prices and it's really hurt their business.
Here's what it sounds like to me...those B&Bs that are having trouble because of the hotels coming in need to change their marketing strategy. If the B&Bs only 5 miles away near the state park are doing well and so are you, then the marketing needs to emphesize the closeness to the destination. 5 miles is a very short distance. Forget about the hotelsmotels reanalyze their marketing. So often innkeepers get into a rut and just keep doing the same old thing. You simply can't do that in this economic environment.
.
I agree with some of your points - these inns didn't have the best websites, in my opinion, but I don't know enough about their own marketing budgets to say one way or the other what they spent on marketing. I didn't notice them dropping out of directories. It's inaccurate to say that they completely stopped spending money on marketing, if that is the assumption that you or LB is making.
The fact is that the number of lodging rooms tripled in the space of six months in their little town. The B&Bs in the town near the national park benefitted from half the hotel rooms in that town closing down for a multi-year renovation. My occupancy numbers are good compared to last year, but the hotels in my town are doing about 20% less business than in 2008. As far as I know, all of them have kept or increased their marketing budgets and they are doing more discounting and packages than before.
Sometimes the solution to the problem isn't as easy as just re-doing your marketing plan. If the hotels can afford to undercut your rates, even in the short term, they may be able to keep a B&B sinking deeper and deeper into a spending morass that they can't climb out of. It is what Wal-Mart has done to thousands of small town businesses. And before you leap on me for that statement, I do shop at Wal-Mart and Sam's, although I try to spread the spending around to small local businesses too. The Walmart vs. small town business scenario is pretty well documented.
.
All too true, Muirford...and I admire your instinct to always defend someone when they're down.
But it's also true that if we, as Innkeepers, see ourselves as no different than hotels, than it all comes down to competition at the rate level, where we cannot win. Case in point, in Traverse City, many of the hotels are suffering in this economy. One hotel manager (my old boss) told me "I could put 'free rooms' on the sign and it wouldn't make a difference, it's just slow". Drive through town and you'll see "$49.00 special" on every other sign. B&B's in that same town are not having that problem. As has been said numerous times on this forum...hotels are really not true competition for B&B's. When I don't have rooms, people don't ask "what hotels are in the area", they ask "what other B&B's are in the area".
It IS all about marketing....and that does not mean just spending money, it means spending time and effort even more often. Thinking outside the box, updating your website (for instance, keying in on phrases like "your town hotels" or "lodging near your big attraction"), upgrading your rooms, taking new photos, cultivating reviews, starting a blog, starting a group with your "competitors", teaming up with local attractions in advertising (even if it's just a link exchange)...these are all things that cost more time than money.
I realize that sometimes things spiral out of control, but that should happen only after all possible effort has been expended. If your occupancy numbers are good compared to last year, and theirs aren't, what's the difference? What are you doing that they aren't? Maybe it's just that you realize the difference between your place and a hotel and market yourself accordingly.
Far too often, it is lack of information or knowledge that can drive an Inn out of business. Just having access to a forum like this one or a friendly local Inn group can make all the difference. Inns that have been in business the longest sometimes have the most trouble, as progress and technology pass them by....sometimes an innkeeper just needs to know when to ask for help. That does not mean that they're not good Innkeepers, or don't have nice Inns...it just means that they don't know everything they should be doing.
.
Little Blue said:
All too true, Muirford...and I admire your instinct to always defend someone when they're down.
Dude, that's totally NOT my MO.
confused_smile.gif

Sometimes, you're just throwing good money after bad, putting lipstick on a pig, whatever. I believe there are situations that even a talented marketer like yourself couldn't fix. Again, Walmart vs. small local businesses.
 
We are neither in Podunk nor a destination. There are a bunch of new hotels/motels being built here. I'm afraid that they will undercut all of the B&Bs here and they will soon be a thing of the past. It's hard to compete with suite style hotels with pools and complimentary breakfasts that are $79/night that are geared for the majority of the travelers that visit this town. I just finished reading some posts on our city's forum on TA and people were raving about hotel rooms as low as $59/night. A quality B&B can't match that price and I wouldn't want to..
I think the larger inns may have more of a problem with the new hotels than the small ones. The people who like B & Bs are looking for rhe service and attention they can get at the small inns.
In the last 13 years, I estimate 1000 to 1500 rooms have been built in this area (Weston to Morgantown - about 40 miles each side of me) and none are newer than 3 years old). My business last year was banner level, this year I am down (I think the hotels are also unless they get conference business). However, I do think there is a place for me in the future. Once people get to the point they know what is happening in their lives. Once the rules stop changing every other month so to speak........
.
I disagree. There are quite a few travelers that are looking under $100. What is "banner level" for you for your business, might not be anywhere near what a lot of innkeepers need to support their property, even if they are small properties. We only have 5 rooms and I need quite a bit of business to cover my overhead and we do all the work except mowing the grass and having a part-time housekeeper a couple of days a week. If the occupancy goes up, you need more help because it's physically impossible to do everything yourself.
The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
.
Samster said:
I disagree. The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
I have seen the same phenomenon here. In a town only ten miles away, two hotels have opened - an HIE and a racino hotel - and the business at the B&Bs there has fallen through the floor. One will be closing for good within a few weeks, after selling at a drastically reduced price to people who will turn into commercial space and apartments. That town is only 5 miles from a national park, where all the B&Bs are doing well this year, and only 10 miles from us, and we are keeping up with last year's numbers. The new hotels have undercut the B&B prices and it's really hurt their business.
.
muirford said:
Samster said:
I disagree. The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
I have seen the same phenomenon here. In a town only ten miles away, two hotels have opened - an HIE and a racino hotel - and the business at the B&Bs there has fallen through the floor. One will be closing for good within a few weeks, after selling at a drastically reduced price to people who will turn into commercial space and apartments. That town is only 5 miles from a national park, where all the B&Bs are doing well this year, and only 10 miles from us, and we are keeping up with last year's numbers. The new hotels have undercut the B&B prices and it's really hurt their business.
Here's what it sounds like to me...those B&Bs that are having trouble because of the hotels coming in need to change their marketing strategy. If the B&Bs only 5 miles away near the state park are doing well and so are you, then the marketing needs to emphesize the closeness to the destination. 5 miles is a very short distance. Forget about the hotelsmotels reanalyze their marketing. So often innkeepers get into a rut and just keep doing the same old thing. You simply can't do that in this economic environment.
.
I agree with some of your points - these inns didn't have the best websites, in my opinion, but I don't know enough about their own marketing budgets to say one way or the other what they spent on marketing. I didn't notice them dropping out of directories. It's inaccurate to say that they completely stopped spending money on marketing, if that is the assumption that you or LB is making.
The fact is that the number of lodging rooms tripled in the space of six months in their little town. The B&Bs in the town near the national park benefitted from half the hotel rooms in that town closing down for a multi-year renovation. My occupancy numbers are good compared to last year, but the hotels in my town are doing about 20% less business than in 2008. As far as I know, all of them have kept or increased their marketing budgets and they are doing more discounting and packages than before.
Sometimes the solution to the problem isn't as easy as just re-doing your marketing plan. If the hotels can afford to undercut your rates, even in the short term, they may be able to keep a B&B sinking deeper and deeper into a spending morass that they can't climb out of. It is what Wal-Mart has done to thousands of small town businesses. And before you leap on me for that statement, I do shop at Wal-Mart and Sam's, although I try to spread the spending around to small local businesses too. The Walmart vs. small town business scenario is pretty well documented.
.
All too true, Muirford...and I admire your instinct to always defend someone when they're down.
But it's also true that if we, as Innkeepers, see ourselves as no different than hotels, than it all comes down to competition at the rate level, where we cannot win. Case in point, in Traverse City, many of the hotels are suffering in this economy. One hotel manager (my old boss) told me "I could put 'free rooms' on the sign and it wouldn't make a difference, it's just slow". Drive through town and you'll see "$49.00 special" on every other sign. B&B's in that same town are not having that problem. As has been said numerous times on this forum...hotels are really not true competition for B&B's. When I don't have rooms, people don't ask "what hotels are in the area", they ask "what other B&B's are in the area".
It IS all about marketing....and that does not mean just spending money, it means spending time and effort even more often. Thinking outside the box, updating your website (for instance, keying in on phrases like "your town hotels" or "lodging near your big attraction"), upgrading your rooms, taking new photos, cultivating reviews, starting a blog, starting a group with your "competitors", teaming up with local attractions in advertising (even if it's just a link exchange)...these are all things that cost more time than money.
I realize that sometimes things spiral out of control, but that should happen only after all possible effort has been expended. If your occupancy numbers are good compared to last year, and theirs aren't, what's the difference? What are you doing that they aren't? Maybe it's just that you realize the difference between your place and a hotel and market yourself accordingly.
Far too often, it is lack of information or knowledge that can drive an Inn out of business. Just having access to a forum like this one or a friendly local Inn group can make all the difference. Inns that have been in business the longest sometimes have the most trouble, as progress and technology pass them by....sometimes an innkeeper just needs to know when to ask for help. That does not mean that they're not good Innkeepers, or don't have nice Inns...it just means that they don't know everything they should be doing.
.
Little Blue said:
All too true, Muirford...and I admire your instinct to always defend someone when they're down.
Dude, that's totally NOT my MO.
confused_smile.gif

Sometimes, you're just throwing good money after bad, putting lipstick on a pig, whatever. I believe there are situations that even a talented marketer like yourself couldn't fix. Again, Walmart vs. small local businesses.
.
Again, Walmart vs. small local businesses.
How very true.
 
I know that marketing is the get all and advertising...I made a living selling advertising and that was print advertising. Now...I've been lower than any year I have been opened, yea I have alot of work to do on my website.But what I've read some are low and some are lower, but the truth is we are all low this year. With what has been going on with the financial aspect in this country peple that had expandable income to spend on traveling more than once a year don't necessarily have that this year and people that saved and usually scrimped for just a getaway cant do that either. For me its come almost to the point that I am happy the sason is over so that I can A: pray that next year is better B Have a plan "D" if plan A, B C don't work and I don't really like to think of plan "D".
We may not have alot of overhaead, but with an old house there is always SOMETHING that will need to be -prepaired, repainted, re-done a never ending "work in progress" that needs lots of $$$. What has hurt us here is that the Rafting Companies have united and have added cabins and luxury homes and then there are the lodges like K mentioned.
I have also gotten involved with alot of the community things when I am able and there is still much more that I should do, but with working its difficult but I know its not impossible.
I am just praying that we can get a little better next season-its our breaking year-year "5".
 
I know that marketing is the get all and advertising...I made a living selling advertising and that was print advertising. Now...I've been lower than any year I have been opened, yea I have alot of work to do on my website.But what I've read some are low and some are lower, but the truth is we are all low this year. With what has been going on with the financial aspect in this country peple that had expandable income to spend on traveling more than once a year don't necessarily have that this year and people that saved and usually scrimped for just a getaway cant do that either. For me its come almost to the point that I am happy the sason is over so that I can A: pray that next year is better B Have a plan "D" if plan A, B C don't work and I don't really like to think of plan "D".
We may not have alot of overhaead, but with an old house there is always SOMETHING that will need to be -prepaired, repainted, re-done a never ending "work in progress" that needs lots of $$$. What has hurt us here is that the Rafting Companies have united and have added cabins and luxury homes and then there are the lodges like K mentioned.
I have also gotten involved with alot of the community things when I am able and there is still much more that I should do, but with working its difficult but I know its not impossible.
I am just praying that we can get a little better next season-its our breaking year-year "5"..
I have a great appreciation for your situation but the truth is that many of us are up and that many of us are up in the same area where others are down. That is not unusual. the question is how can better marketing and advertising help. Is it possible that your "plan A" could be a concrete set of tasks that have to be completed by a set time? (often 3-6 months before your next season)
 
We are neither in Podunk nor a destination. There are a bunch of new hotels/motels being built here. I'm afraid that they will undercut all of the B&Bs here and they will soon be a thing of the past. It's hard to compete with suite style hotels with pools and complimentary breakfasts that are $79/night that are geared for the majority of the travelers that visit this town. I just finished reading some posts on our city's forum on TA and people were raving about hotel rooms as low as $59/night. A quality B&B can't match that price and I wouldn't want to..
I think the larger inns may have more of a problem with the new hotels than the small ones. The people who like B & Bs are looking for rhe service and attention they can get at the small inns.
In the last 13 years, I estimate 1000 to 1500 rooms have been built in this area (Weston to Morgantown - about 40 miles each side of me) and none are newer than 3 years old). My business last year was banner level, this year I am down (I think the hotels are also unless they get conference business). However, I do think there is a place for me in the future. Once people get to the point they know what is happening in their lives. Once the rules stop changing every other month so to speak........
.
I disagree. There are quite a few travelers that are looking under $100. What is "banner level" for you for your business, might not be anywhere near what a lot of innkeepers need to support their property, even if they are small properties. We only have 5 rooms and I need quite a bit of business to cover my overhead and we do all the work except mowing the grass and having a part-time housekeeper a couple of days a week. If the occupancy goes up, you need more help because it's physically impossible to do everything yourself.
The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
.
Samster said:
I disagree. The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
I have seen the same phenomenon here. In a town only ten miles away, two hotels have opened - an HIE and a racino hotel - and the business at the B&Bs there has fallen through the floor. One will be closing for good within a few weeks, after selling at a drastically reduced price to people who will turn into commercial space and apartments. That town is only 5 miles from a national park, where all the B&Bs are doing well this year, and only 10 miles from us, and we are keeping up with last year's numbers. The new hotels have undercut the B&B prices and it's really hurt their business.
.
muirford said:
Samster said:
I disagree. The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
I have seen the same phenomenon here. In a town only ten miles away, two hotels have opened - an HIE and a racino hotel - and the business at the B&Bs there has fallen through the floor. One will be closing for good within a few weeks, after selling at a drastically reduced price to people who will turn into commercial space and apartments. That town is only 5 miles from a national park, where all the B&Bs are doing well this year, and only 10 miles from us, and we are keeping up with last year's numbers. The new hotels have undercut the B&B prices and it's really hurt their business.
Here's what it sounds like to me...those B&Bs that are having trouble because of the hotels coming in need to change their marketing strategy. If the B&Bs only 5 miles away near the state park are doing well and so are you, then the marketing needs to emphesize the closeness to the destination. 5 miles is a very short distance. Forget about the hotelsmotels reanalyze their marketing. So often innkeepers get into a rut and just keep doing the same old thing. You simply can't do that in this economic environment.
.
I agree with some of your points - these inns didn't have the best websites, in my opinion, but I don't know enough about their own marketing budgets to say one way or the other what they spent on marketing. I didn't notice them dropping out of directories. It's inaccurate to say that they completely stopped spending money on marketing, if that is the assumption that you or LB is making.
The fact is that the number of lodging rooms tripled in the space of six months in their little town. The B&Bs in the town near the national park benefitted from half the hotel rooms in that town closing down for a multi-year renovation. My occupancy numbers are good compared to last year, but the hotels in my town are doing about 20% less business than in 2008. As far as I know, all of them have kept or increased their marketing budgets and they are doing more discounting and packages than before.
Sometimes the solution to the problem isn't as easy as just re-doing your marketing plan. If the hotels can afford to undercut your rates, even in the short term, they may be able to keep a B&B sinking deeper and deeper into a spending morass that they can't climb out of. It is what Wal-Mart has done to thousands of small town businesses. And before you leap on me for that statement, I do shop at Wal-Mart and Sam's, although I try to spread the spending around to small local businesses too. The Walmart vs. small town business scenario is pretty well documented.
.
I agree with some of your points - these inns didn't have the best websites, in my opinion, but I don't know enough about their own marketing budgets to say one way or the other what they spent on marketing. I didn't notice them dropping out of directories. It's inaccurate to say that they completely stopped spending money on marketing, if that is the assumption that you or LB is making.
Nope, I didn't assume they completely stopped spending money on marketing. The fact that you didn't think they had good websites could be a big factor. If an inn doesn't have a good website, then the likely assumption is that they also are not doing what's necessary to set themselves apart from the rest of the pack. In these economic times, innkeepers need to continually re-evaluate their website, reviews, niche marketing, etc. or they unfortunately will fall by the wayside.
Sometimes the solution to the problem isn't as easy as just re-doing your marketing plan. If the hotels can afford to undercut your rates, even in the short term, they may be able to keep a B&B sinking deeper and deeper into a spending morass that they can't climb out of.
Re-doing your marketing plan is not easy. It also is not immediately apparent whether it's working or not. That's why it's important to continually challenge yourself with seeing what's out there and how the industry is changing. 2 years ago it was a very novel thing to see a blog on a B&B website. Now it's standard. Things are changing quickly. I'm not doing facebook & Twitter and I have a fear that I might be regretting that decision a couple years in the future, but I know it's there and an option. I will continue to monitor if it's working for others.
As far as competing with hotels and motels, there are larger towns all along the coast that are lined with cheap hotels, motels, condo vacation rentals that especially in the off season sell their rooms from $49-$69 per night. The B&Bs can not compete with those prices and they don't. They still do a good business. They have to target market to those travelers looking for what B&Bs offer.
I do understand what you're saying about the Walmart mentality. But using that store as an example, you/we shop there for certain items, and then we shop at more upscale stores for other things. Let the hotels & motels be the Walmart and the B&Bs the lodging choice for the "others".
 
We are neither in Podunk nor a destination. There are a bunch of new hotels/motels being built here. I'm afraid that they will undercut all of the B&Bs here and they will soon be a thing of the past. It's hard to compete with suite style hotels with pools and complimentary breakfasts that are $79/night that are geared for the majority of the travelers that visit this town. I just finished reading some posts on our city's forum on TA and people were raving about hotel rooms as low as $59/night. A quality B&B can't match that price and I wouldn't want to..
I think the larger inns may have more of a problem with the new hotels than the small ones. The people who like B & Bs are looking for rhe service and attention they can get at the small inns.
In the last 13 years, I estimate 1000 to 1500 rooms have been built in this area (Weston to Morgantown - about 40 miles each side of me) and none are newer than 3 years old). My business last year was banner level, this year I am down (I think the hotels are also unless they get conference business). However, I do think there is a place for me in the future. Once people get to the point they know what is happening in their lives. Once the rules stop changing every other month so to speak........
.
I disagree. There are quite a few travelers that are looking under $100. What is "banner level" for you for your business, might not be anywhere near what a lot of innkeepers need to support their property, even if they are small properties. We only have 5 rooms and I need quite a bit of business to cover my overhead and we do all the work except mowing the grass and having a part-time housekeeper a couple of days a week. If the occupancy goes up, you need more help because it's physically impossible to do everything yourself.
The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
.
Samster said:
I disagree. The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
I have seen the same phenomenon here. In a town only ten miles away, two hotels have opened - an HIE and a racino hotel - and the business at the B&Bs there has fallen through the floor. One will be closing for good within a few weeks, after selling at a drastically reduced price to people who will turn into commercial space and apartments. That town is only 5 miles from a national park, where all the B&Bs are doing well this year, and only 10 miles from us, and we are keeping up with last year's numbers. The new hotels have undercut the B&B prices and it's really hurt their business.
.
muirford said:
Samster said:
I disagree. The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
I have seen the same phenomenon here. In a town only ten miles away, two hotels have opened - an HIE and a racino hotel - and the business at the B&Bs there has fallen through the floor. One will be closing for good within a few weeks, after selling at a drastically reduced price to people who will turn into commercial space and apartments. That town is only 5 miles from a national park, where all the B&Bs are doing well this year, and only 10 miles from us, and we are keeping up with last year's numbers. The new hotels have undercut the B&B prices and it's really hurt their business.
Here's what it sounds like to me...those B&Bs that are having trouble because of the hotels coming in need to change their marketing strategy. If the B&Bs only 5 miles away near the state park are doing well and so are you, then the marketing needs to emphesize the closeness to the destination. 5 miles is a very short distance. Forget about the hotelsmotels reanalyze their marketing. So often innkeepers get into a rut and just keep doing the same old thing. You simply can't do that in this economic environment.
.
I agree with some of your points - these inns didn't have the best websites, in my opinion, but I don't know enough about their own marketing budgets to say one way or the other what they spent on marketing. I didn't notice them dropping out of directories. It's inaccurate to say that they completely stopped spending money on marketing, if that is the assumption that you or LB is making.
The fact is that the number of lodging rooms tripled in the space of six months in their little town. The B&Bs in the town near the national park benefitted from half the hotel rooms in that town closing down for a multi-year renovation. My occupancy numbers are good compared to last year, but the hotels in my town are doing about 20% less business than in 2008. As far as I know, all of them have kept or increased their marketing budgets and they are doing more discounting and packages than before.
Sometimes the solution to the problem isn't as easy as just re-doing your marketing plan. If the hotels can afford to undercut your rates, even in the short term, they may be able to keep a B&B sinking deeper and deeper into a spending morass that they can't climb out of. It is what Wal-Mart has done to thousands of small town businesses. And before you leap on me for that statement, I do shop at Wal-Mart and Sam's, although I try to spread the spending around to small local businesses too. The Walmart vs. small town business scenario is pretty well documented.
.
I agree with some of your points - these inns didn't have the best websites, in my opinion, but I don't know enough about their own marketing budgets to say one way or the other what they spent on marketing. I didn't notice them dropping out of directories. It's inaccurate to say that they completely stopped spending money on marketing, if that is the assumption that you or LB is making.
Nope, I didn't assume they completely stopped spending money on marketing. The fact that you didn't think they had good websites could be a big factor. If an inn doesn't have a good website, then the likely assumption is that they also are not doing what's necessary to set themselves apart from the rest of the pack. In these economic times, innkeepers need to continually re-evaluate their website, reviews, niche marketing, etc. or they unfortunately will fall by the wayside.
Sometimes the solution to the problem isn't as easy as just re-doing your marketing plan. If the hotels can afford to undercut your rates, even in the short term, they may be able to keep a B&B sinking deeper and deeper into a spending morass that they can't climb out of.
Re-doing your marketing plan is not easy. It also is not immediately apparent whether it's working or not. That's why it's important to continually challenge yourself with seeing what's out there and how the industry is changing. 2 years ago it was a very novel thing to see a blog on a B&B website. Now it's standard. Things are changing quickly. I'm not doing facebook & Twitter and I have a fear that I might be regretting that decision a couple years in the future, but I know it's there and an option. I will continue to monitor if it's working for others.
As far as competing with hotels and motels, there are larger towns all along the coast that are lined with cheap hotels, motels, condo vacation rentals that especially in the off season sell their rooms from $49-$69 per night. The B&Bs can not compete with those prices and they don't. They still do a good business. They have to target market to those travelers looking for what B&Bs offer.
I do understand what you're saying about the Walmart mentality. But using that store as an example, you/we shop there for certain items, and then we shop at more upscale stores for other things. Let the hotels & motels be the Walmart and the B&Bs the lodging choice for the "others".
.
That is about as accurate as it gets.
At the core, we have to keep looking for innovative ideas and ways to improve what we do. We almost always respond to leads for local marketing opportunities. We give rooms for prizes. We are getting ready for another round of website improvement. We are getting ready to do some light duty room freshening. On and on and... quite honestly... this is half the fun of what we do. No two days are the same and that works for us.
 
I know that marketing is the get all and advertising...I made a living selling advertising and that was print advertising. Now...I've been lower than any year I have been opened, yea I have alot of work to do on my website.But what I've read some are low and some are lower, but the truth is we are all low this year. With what has been going on with the financial aspect in this country peple that had expandable income to spend on traveling more than once a year don't necessarily have that this year and people that saved and usually scrimped for just a getaway cant do that either. For me its come almost to the point that I am happy the sason is over so that I can A: pray that next year is better B Have a plan "D" if plan A, B C don't work and I don't really like to think of plan "D".
We may not have alot of overhaead, but with an old house there is always SOMETHING that will need to be -prepaired, repainted, re-done a never ending "work in progress" that needs lots of $$$. What has hurt us here is that the Rafting Companies have united and have added cabins and luxury homes and then there are the lodges like K mentioned.
I have also gotten involved with alot of the community things when I am able and there is still much more that I should do, but with working its difficult but I know its not impossible.
I am just praying that we can get a little better next season-its our breaking year-year "5"..
I have a great appreciation for your situation but the truth is that many of us are up and that many of us are up in the same area where others are down. That is not unusual. the question is how can better marketing and advertising help. Is it possible that your "plan A" could be a concrete set of tasks that have to be completed by a set time? (often 3-6 months before your next season)
.
I agree with knk. Last year was our all time best year (1st year of "the recession") and because of the economy we expected this year to get hit pretty hard, but it didn't happen. We are right on par with last year, which I am delighted with! IMO, this happened only because I started late last year focusing on different ways to put us out front on the internet. Tweek our website, tweek SEO, started listing the inn on directories that were typically hotel/vacation sites (no, NOT hotels.com, etc). Yes, these cost a lot more than most of our B&B directories, but it's helped me cross over to reach those guests who always had been curious about staying in a B&B but for some reason held back. On our website I stress privacy which is what most travelers are looking for; especially those that are afraid to try a B&B.
If your website and marketing strategy are not your #1 priority, then you're missing the boat...you can have the greatest property and most fabulous breakfasts for hundreds of miles, but it won't matter, because people won't find you to appreciate all those wonderful things you offer.
If you've spent all the time and money and effort and it's still not working for you, then we're talking about something different. Not every B&B will make it, but in my experience, I've never seen a property fail when the innkeeper has prioritized their time and money to marketing their property and gotten some professional help.
 
We are neither in Podunk nor a destination. There are a bunch of new hotels/motels being built here. I'm afraid that they will undercut all of the B&Bs here and they will soon be a thing of the past. It's hard to compete with suite style hotels with pools and complimentary breakfasts that are $79/night that are geared for the majority of the travelers that visit this town. I just finished reading some posts on our city's forum on TA and people were raving about hotel rooms as low as $59/night. A quality B&B can't match that price and I wouldn't want to..
I think the larger inns may have more of a problem with the new hotels than the small ones. The people who like B & Bs are looking for rhe service and attention they can get at the small inns.
In the last 13 years, I estimate 1000 to 1500 rooms have been built in this area (Weston to Morgantown - about 40 miles each side of me) and none are newer than 3 years old). My business last year was banner level, this year I am down (I think the hotels are also unless they get conference business). However, I do think there is a place for me in the future. Once people get to the point they know what is happening in their lives. Once the rules stop changing every other month so to speak........
.
I disagree. There are quite a few travelers that are looking under $100. What is "banner level" for you for your business, might not be anywhere near what a lot of innkeepers need to support their property, even if they are small properties. We only have 5 rooms and I need quite a bit of business to cover my overhead and we do all the work except mowing the grass and having a part-time housekeeper a couple of days a week. If the occupancy goes up, you need more help because it's physically impossible to do everything yourself.
The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
.
Samster said:
I disagree. The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
I have seen the same phenomenon here. In a town only ten miles away, two hotels have opened - an HIE and a racino hotel - and the business at the B&Bs there has fallen through the floor. One will be closing for good within a few weeks, after selling at a drastically reduced price to people who will turn into commercial space and apartments. That town is only 5 miles from a national park, where all the B&Bs are doing well this year, and only 10 miles from us, and we are keeping up with last year's numbers. The new hotels have undercut the B&B prices and it's really hurt their business.
.
muirford said:
Samster said:
I disagree. The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
I have seen the same phenomenon here. In a town only ten miles away, two hotels have opened - an HIE and a racino hotel - and the business at the B&Bs there has fallen through the floor. One will be closing for good within a few weeks, after selling at a drastically reduced price to people who will turn into commercial space and apartments. That town is only 5 miles from a national park, where all the B&Bs are doing well this year, and only 10 miles from us, and we are keeping up with last year's numbers. The new hotels have undercut the B&B prices and it's really hurt their business.
Here's what it sounds like to me...those B&Bs that are having trouble because of the hotels coming in need to change their marketing strategy. If the B&Bs only 5 miles away near the state park are doing well and so are you, then the marketing needs to emphesize the closeness to the destination. 5 miles is a very short distance. Forget about the hotelsmotels reanalyze their marketing. So often innkeepers get into a rut and just keep doing the same old thing. You simply can't do that in this economic environment.
.
I agree with some of your points - these inns didn't have the best websites, in my opinion, but I don't know enough about their own marketing budgets to say one way or the other what they spent on marketing. I didn't notice them dropping out of directories. It's inaccurate to say that they completely stopped spending money on marketing, if that is the assumption that you or LB is making.
The fact is that the number of lodging rooms tripled in the space of six months in their little town. The B&Bs in the town near the national park benefitted from half the hotel rooms in that town closing down for a multi-year renovation. My occupancy numbers are good compared to last year, but the hotels in my town are doing about 20% less business than in 2008. As far as I know, all of them have kept or increased their marketing budgets and they are doing more discounting and packages than before.
Sometimes the solution to the problem isn't as easy as just re-doing your marketing plan. If the hotels can afford to undercut your rates, even in the short term, they may be able to keep a B&B sinking deeper and deeper into a spending morass that they can't climb out of. It is what Wal-Mart has done to thousands of small town businesses. And before you leap on me for that statement, I do shop at Wal-Mart and Sam's, although I try to spread the spending around to small local businesses too. The Walmart vs. small town business scenario is pretty well documented.
.
I agree with some of your points - these inns didn't have the best websites, in my opinion, but I don't know enough about their own marketing budgets to say one way or the other what they spent on marketing. I didn't notice them dropping out of directories. It's inaccurate to say that they completely stopped spending money on marketing, if that is the assumption that you or LB is making.
Nope, I didn't assume they completely stopped spending money on marketing. The fact that you didn't think they had good websites could be a big factor. If an inn doesn't have a good website, then the likely assumption is that they also are not doing what's necessary to set themselves apart from the rest of the pack. In these economic times, innkeepers need to continually re-evaluate their website, reviews, niche marketing, etc. or they unfortunately will fall by the wayside.
Sometimes the solution to the problem isn't as easy as just re-doing your marketing plan. If the hotels can afford to undercut your rates, even in the short term, they may be able to keep a B&B sinking deeper and deeper into a spending morass that they can't climb out of.
Re-doing your marketing plan is not easy. It also is not immediately apparent whether it's working or not. That's why it's important to continually challenge yourself with seeing what's out there and how the industry is changing. 2 years ago it was a very novel thing to see a blog on a B&B website. Now it's standard. Things are changing quickly. I'm not doing facebook & Twitter and I have a fear that I might be regretting that decision a couple years in the future, but I know it's there and an option. I will continue to monitor if it's working for others.
As far as competing with hotels and motels, there are larger towns all along the coast that are lined with cheap hotels, motels, condo vacation rentals that especially in the off season sell their rooms from $49-$69 per night. The B&Bs can not compete with those prices and they don't. They still do a good business. They have to target market to those travelers looking for what B&Bs offer.
I do understand what you're saying about the Walmart mentality. But using that store as an example, you/we shop there for certain items, and then we shop at more upscale stores for other things. Let the hotels & motels be the Walmart and the B&Bs the lodging choice for the "others".
.
Breakfast Diva said:
2 years ago it was a very novel thing to see a blog on a B&B website. Now it's standard. Things are changing quickly. I'm not doing facebook & Twitter and I have a fear that I might be regretting that decision a couple years in the future, but I know it's there and an option.
These three media outlets - blogging, Facebook and Twitter - should be the first things someone with a severely limited marketing budget addresses, if for no other reason than they are free ways to get your name and information out there. Swirt has put together some great info on blogging and if you use blogspot or wordpress it costs you nothing. Facebook and Twitter are likewise free - I see at least Facebook becoming a good marketing outlet as it has become co-opted by 30 to 50 year olds rather than the high school and college networks it was developed for. This Vermont B&B has got a great following on Facebook and uses it for special deals and to promote both their inn and town. They have also set up an aggregate page for B&Bs on Facebook for some additional marketing. As for Twitter, the jury is still out for me on its usefulness but it costs nothing to set up an account and reserve your 'name' at a minimum, and Facebook now has an app that feeds any Facebook postings you make to your Twitter account. You can have a presence there with essentially no extra work, which is what I do with Twitter.
My own feeling is I truly don't believe for any business that 'if you build it, they will come' if only you market it the right way. In my own very humble opinion, we do a disservice to aspiring innkeepers to say that. If you don't understand your market and your surroundings and have a strong business plan which includes but is not limited to marketing, you allow luck to play a large factor in the success of your business.
 
I know that marketing is the get all and advertising...I made a living selling advertising and that was print advertising. Now...I've been lower than any year I have been opened, yea I have alot of work to do on my website.But what I've read some are low and some are lower, but the truth is we are all low this year. With what has been going on with the financial aspect in this country peple that had expandable income to spend on traveling more than once a year don't necessarily have that this year and people that saved and usually scrimped for just a getaway cant do that either. For me its come almost to the point that I am happy the sason is over so that I can A: pray that next year is better B Have a plan "D" if plan A, B C don't work and I don't really like to think of plan "D".
We may not have alot of overhaead, but with an old house there is always SOMETHING that will need to be -prepaired, repainted, re-done a never ending "work in progress" that needs lots of $$$. What has hurt us here is that the Rafting Companies have united and have added cabins and luxury homes and then there are the lodges like K mentioned.
I have also gotten involved with alot of the community things when I am able and there is still much more that I should do, but with working its difficult but I know its not impossible.
I am just praying that we can get a little better next season-its our breaking year-year "5"..
I have a great appreciation for your situation but the truth is that many of us are up and that many of us are up in the same area where others are down. That is not unusual. the question is how can better marketing and advertising help. Is it possible that your "plan A" could be a concrete set of tasks that have to be completed by a set time? (often 3-6 months before your next season)
.
I agree with knk. Last year was our all time best year (1st year of "the recession") and because of the economy we expected this year to get hit pretty hard, but it didn't happen. We are right on par with last year, which I am delighted with! IMO, this happened only because I started late last year focusing on different ways to put us out front on the internet. Tweek our website, tweek SEO, started listing the inn on directories that were typically hotel/vacation sites (no, NOT hotels.com, etc). Yes, these cost a lot more than most of our B&B directories, but it's helped me cross over to reach those guests who always had been curious about staying in a B&B but for some reason held back. On our website I stress privacy which is what most travelers are looking for; especially those that are afraid to try a B&B.
If your website and marketing strategy are not your #1 priority, then you're missing the boat...you can have the greatest property and most fabulous breakfasts for hundreds of miles, but it won't matter, because people won't find you to appreciate all those wonderful things you offer.
If you've spent all the time and money and effort and it's still not working for you, then we're talking about something different. Not every B&B will make it, but in my experience, I've never seen a property fail when the innkeeper has prioritized their time and money to marketing their property and gotten some professional help.
.
Breakfast Diva said:
Last year was our all time best year (1st year of "the recession") and because of the economy we expected this year to get hit pretty hard, but it didn't happen.
Us too. Last year saw a 63% increase in revenues and a 28% increase in occupancy. This year is down by about 5% or so from last year, but still far and away better than the five or six years before that....all due to marketing decisions made at the end of 2007.
See the "Lemonade Innkeepers in a Lemon Economy" article by Sandy Soule posted elsewhere. :)
 
and lastly...not everyone can be a successful innkeeper. As not everyone should be an innkeeper. For those who think running an inn is an alternative to a 'real job' or no skills are involved have missed as you all say "innkeeping 101"
"Dummy guides to innkeeping" doesn't help the industry. Someone mentioned "I didn't have anything else to do so I figured I could run an inn." UGH As innkeepers we hear guest stories of BAD EXPERIENCES all the time. Ask your guests this weekend...they can tell you a few. Hopefully they don't throw in the towel but seek out another inn and another great experience.
 
and lastly...not everyone can be a successful innkeeper. As not everyone should be an innkeeper. For those who think running an inn is an alternative to a 'real job' or no skills are involved have missed as you all say "innkeeping 101"
"Dummy guides to innkeeping" doesn't help the industry. Someone mentioned "I didn't have anything else to do so I figured I could run an inn." UGH As innkeepers we hear guest stories of BAD EXPERIENCES all the time. Ask your guests this weekend...they can tell you a few. Hopefully they don't throw in the towel but seek out another inn and another great experience..
Or how many times have you heard...."OH we just LOVE to cook & entertain" So we think we should open a B & B! Give me a break!
 
We are neither in Podunk nor a destination. There are a bunch of new hotels/motels being built here. I'm afraid that they will undercut all of the B&Bs here and they will soon be a thing of the past. It's hard to compete with suite style hotels with pools and complimentary breakfasts that are $79/night that are geared for the majority of the travelers that visit this town. I just finished reading some posts on our city's forum on TA and people were raving about hotel rooms as low as $59/night. A quality B&B can't match that price and I wouldn't want to..
I think the larger inns may have more of a problem with the new hotels than the small ones. The people who like B & Bs are looking for rhe service and attention they can get at the small inns.
In the last 13 years, I estimate 1000 to 1500 rooms have been built in this area (Weston to Morgantown - about 40 miles each side of me) and none are newer than 3 years old). My business last year was banner level, this year I am down (I think the hotels are also unless they get conference business). However, I do think there is a place for me in the future. Once people get to the point they know what is happening in their lives. Once the rules stop changing every other month so to speak........
.
I disagree. There are quite a few travelers that are looking under $100. What is "banner level" for you for your business, might not be anywhere near what a lot of innkeepers need to support their property, even if they are small properties. We only have 5 rooms and I need quite a bit of business to cover my overhead and we do all the work except mowing the grass and having a part-time housekeeper a couple of days a week. If the occupancy goes up, you need more help because it's physically impossible to do everything yourself.
The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
.
Samster said:
I disagree. The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
I have seen the same phenomenon here. In a town only ten miles away, two hotels have opened - an HIE and a racino hotel - and the business at the B&Bs there has fallen through the floor. One will be closing for good within a few weeks, after selling at a drastically reduced price to people who will turn into commercial space and apartments. That town is only 5 miles from a national park, where all the B&Bs are doing well this year, and only 10 miles from us, and we are keeping up with last year's numbers. The new hotels have undercut the B&B prices and it's really hurt their business.
.
muirford said:
Samster said:
I disagree. The hotels here are doing more business than ever and the b&b occupancies are down. It's strictly a function of price point.
I have seen the same phenomenon here. In a town only ten miles away, two hotels have opened - an HIE and a racino hotel - and the business at the B&Bs there has fallen through the floor. One will be closing for good within a few weeks, after selling at a drastically reduced price to people who will turn into commercial space and apartments. That town is only 5 miles from a national park, where all the B&Bs are doing well this year, and only 10 miles from us, and we are keeping up with last year's numbers. The new hotels have undercut the B&B prices and it's really hurt their business.
Here's what it sounds like to me...those B&Bs that are having trouble because of the hotels coming in need to change their marketing strategy. If the B&Bs only 5 miles away near the state park are doing well and so are you, then the marketing needs to emphesize the closeness to the destination. 5 miles is a very short distance. Forget about the hotelsmotels reanalyze their marketing. So often innkeepers get into a rut and just keep doing the same old thing. You simply can't do that in this economic environment.
.
I agree with some of your points - these inns didn't have the best websites, in my opinion, but I don't know enough about their own marketing budgets to say one way or the other what they spent on marketing. I didn't notice them dropping out of directories. It's inaccurate to say that they completely stopped spending money on marketing, if that is the assumption that you or LB is making.
The fact is that the number of lodging rooms tripled in the space of six months in their little town. The B&Bs in the town near the national park benefitted from half the hotel rooms in that town closing down for a multi-year renovation. My occupancy numbers are good compared to last year, but the hotels in my town are doing about 20% less business than in 2008. As far as I know, all of them have kept or increased their marketing budgets and they are doing more discounting and packages than before.
Sometimes the solution to the problem isn't as easy as just re-doing your marketing plan. If the hotels can afford to undercut your rates, even in the short term, they may be able to keep a B&B sinking deeper and deeper into a spending morass that they can't climb out of. It is what Wal-Mart has done to thousands of small town businesses. And before you leap on me for that statement, I do shop at Wal-Mart and Sam's, although I try to spread the spending around to small local businesses too. The Walmart vs. small town business scenario is pretty well documented.
.
I agree with some of your points - these inns didn't have the best websites, in my opinion, but I don't know enough about their own marketing budgets to say one way or the other what they spent on marketing. I didn't notice them dropping out of directories. It's inaccurate to say that they completely stopped spending money on marketing, if that is the assumption that you or LB is making.
Nope, I didn't assume they completely stopped spending money on marketing. The fact that you didn't think they had good websites could be a big factor. If an inn doesn't have a good website, then the likely assumption is that they also are not doing what's necessary to set themselves apart from the rest of the pack. In these economic times, innkeepers need to continually re-evaluate their website, reviews, niche marketing, etc. or they unfortunately will fall by the wayside.
Sometimes the solution to the problem isn't as easy as just re-doing your marketing plan. If the hotels can afford to undercut your rates, even in the short term, they may be able to keep a B&B sinking deeper and deeper into a spending morass that they can't climb out of.
Re-doing your marketing plan is not easy. It also is not immediately apparent whether it's working or not. That's why it's important to continually challenge yourself with seeing what's out there and how the industry is changing. 2 years ago it was a very novel thing to see a blog on a B&B website. Now it's standard. Things are changing quickly. I'm not doing facebook & Twitter and I have a fear that I might be regretting that decision a couple years in the future, but I know it's there and an option. I will continue to monitor if it's working for others.
As far as competing with hotels and motels, there are larger towns all along the coast that are lined with cheap hotels, motels, condo vacation rentals that especially in the off season sell their rooms from $49-$69 per night. The B&Bs can not compete with those prices and they don't. They still do a good business. They have to target market to those travelers looking for what B&Bs offer.
I do understand what you're saying about the Walmart mentality. But using that store as an example, you/we shop there for certain items, and then we shop at more upscale stores for other things. Let the hotels & motels be the Walmart and the B&Bs the lodging choice for the "others".
.
That is about as accurate as it gets.
At the core, we have to keep looking for innovative ideas and ways to improve what we do. We almost always respond to leads for local marketing opportunities. We give rooms for prizes. We are getting ready for another round of website improvement. We are getting ready to do some light duty room freshening. On and on and... quite honestly... this is half the fun of what we do. No two days are the same and that works for us.
.
I never do that here. j/k.... :)
 
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