This is the third article in the Income Diversity And Profits At Inns series. The previous two articles cover the need to define your primary purpose for being in business and basic income pillars. Start with the first article, if you haven’t read it yet, and work you way back to here. Read Part 1, Define Your Purpose First, and then Part 2, Basic Income Pillars.
Increase Your Income Pillars — Advanced
A spa can be open to both guests and the general public. It’s a more complex service and income pillar than many you’ll consider, so check with a spa consultant like <a href=“http://www.hfdspa.com/”> Health Fitness Dynamics</a>. This expands guest options for how they spend their time and may be just the excuse they need to visit a specific location — and your property. By making the spa open to the general public, they are given a glimpse of your inn’s experience for their own use or for referral to their out-of-town guests. Either way, income potential is strengthened and expanded.
- Referred Business
Affiliate programs aren’t new to the inn industry, though they may be known by other names. Things done under this income pillar should be considered added value to guest services. I’m not suggesting this be a nickel-and-diming approach to business at all; I intensely dislike that approach to hospitality. I see the services you offer as part of the total inn experience and so are included in the room rate or paid as a referral fee by the company you sent the business to. These services you add augment the inn experience for the guest and are added value to the guest that you can profit from. This is your concierge service. What services augment the inn experience? Taking care of rentals — bike, skis, boat, skates, or jeeps, for example — for your guests is a good example. Giving referrals to guests for mixology classes, balloon rides, whale watching, carriage or hay rides, restaurants, tours, flowers or plays, is another possibility (and of course, making the reservation would be a plus). Making arrangements with companies you feel good about associating with to be paid a commission for your guests’ business is the key to this income pillar. These services can be promoted through packaging and joint marketing campaigns as extras for guests to take advantage of and enjoy. Since affiliate programs are an extra service, consider it an income pillar.
Be sure to check with regulatory agencies regarding your ideas for income pillars so that you stay legal with your business. Will the income pillar idea be allowed in the your inn’s zoning area? Zoning impacts parking, signage, utilities, and safety. Does the inn’s license allow that activity? If you hit speed bumps in this income pillar, is it possible to get zoning and licensing expanded to allow for your ideas around these additional income sources?
Having multiple income pillars helps you thrive in good and bad times because your income potential is broadened. It’s good business to have income diversity.