Are you aware of the 80:20 rule in marketing?
20% of the business comes through 80% of new customers and 80% of the business comes through 20% of existing customers.
Most of the hotels in Sri Lanka spend their time and money in acquiring new guests while giving less importance to the existing guests. There is a perfect way to answer a frequently asked question “how to increase my hotel bookings at a low cost”. The answer is through a well strategized retention strategy. Getting leads from your existing customers is always easier than convincing unknown new guests. Their repetitive visits may not cost you much as a new guest’s visit costs.
In simple terms the ultimate objective of any hotel is to sustain a great occupancy rate to remain profitable in the business. It is evident that most of the hotels and resorts in Sri Lanka try to get guests through online bookings, heavy adverting, online travel agents, networking and personal contacts. All these are costly and sometimes the return on investment (ROI) would be lower compared to the return.
Now we shall move into discovering a retention tool which will be helpful to get more leads from your existing guests and allow you to keep in touch with them.