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........
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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.
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Samster said:
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.
I was just looking at some hotel booking engines and came across listings for almost every one of the hotels in my town with prices starting at $59 and going to $79. Now you are not in walking distance to anything at that point, but saving $100 on your room will definitely drive the budget-minded guest to the hotels.
So, we did an experiment. We had 3 rooms open a couple of weeks ago and were getting a lot of 'lookie lous' whose problem seemed to be price point. Of course, many walk-ins are very polite and will say, 'Lovely house,' before walking out the door. We started off with our regular price and continued dropping it with every new lookie lou. We were at $100 and they were still walking away and heading to the hotels. The earlier lookers were saying, 'Oh, we were looking for something around $100,' the later it got that was not the price point at all. Or, they just didn't like what they saw and no price would get them in the door! (Altho, given some of the hotel reviews, my place is the Taj Mahal.)
At this point we don't know what guests want.
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