I always take 20% upfront, I also offer 15% off if the entire Reservation is paid upfront, 40% of the people this year have taken advantage of that..
I always take 20% upfront, I also offer 15% off if the entire Reservation is paid upfront, 40% of the people this year have taken advantage of that.
Would you mind sharing what the reasoning is behind the 15% off for upfront payment?
Well if someone is viewing your web site and sees that your rates are $150 a night for a room, Lets say that 2 other Hotels or B&Bs they are comparing with are the same price?
Now lets say they want 5 nights at $150.00 = $750.00 before tax.
Now , lets say they call around and say so and so offers it for the same price,,,Right.
Instead of offering a discount, say take $15 off a night. You might want to say I will give you
Blank% off if you reserve and pay entire reservation upfront, Let them also know if they cancel the money is 100% non refundable. Based on 15% off. You get paid up front $637.50 + Tax and they get $112.50 off. They feel they got a savings and there happy! You now have money to pay your bills forward and so on. Also I only offer discounts for a "Limited time"
I had 25% off for a week, got 5 reservations, then did 20% off for 2 weeks and got 11 reservations, did 15% off and got 9 reservations, Now I am at 10% off and so far got 5.
I am 35% booked for the summer now. A lot just paid 20% down (Non refundable) Regular rates, But still booked as they did not have all the funds upfront!
Raise your rates if you need to, to get people in. -
It's Just like buying on sale at stores, There really are no good deals until it's 35% off or more!! It's Just good Marketing.
Just remember to have the money for your mortgage if you presale all of July in advance.. -