Sales and Marketing
A successful turnaround depends critically on your
ability to understand every facet of your company. It's
critical that we evaluate every facet of your rooms'
performance and marketing. In order to accomplish this,
we measure the following crucial factors:
- Number of rooms / beds sold
- Occupancy percentage
- Average room rate achieved
- Average bed-night rate achieved
- Revenue achieved per available room
- Forward bookings
- Discount policy
-
Percentage of accommodation revenue sold by OTAs
-
Commissions paid for that OTA accommodation income
- Complimentary rooms
-
Time taken (and this cost of) servicing a bedroom
Food and Beverage Gross Profit
There are many different aspects to consider while
examining food and beverages that might have a
significant impact. These are a few of the main factors
we consider:
- Covers served per meal session
- Average spend per head
- Average spend as above on food
- Average spend as above drinks
-
Numbers of covers sold on special & fixed price menus
- Wine list (size, range, glasses offered)
-
Pricing strategies behind all wines and other drinks
Wages and Costs
We consider the following data when examining wages and other company expenses:
RENT / RATES negotiable but usually fixed for long periods. If too high can simply make the business irretrievably unviable
UTILITIES always need controlling
MARKETING it is just too easy to spend too much, or to spend it unwisely with inadequate returns. Expenditure needs careful thought and strategic planning
CLEANING MATERIALS are often over-used, abused, over ordered and under-controlled
LAUNDRY too easily overused and overspent, needs ongoing challenging
MAINTENANCE there is a big difference between Maintenance and Capital Expenditure, we need to be very clear which is which and how planned and predictable Maintenance is
COST OF BORROWING One of the biggest reasons for financial failure is borrowing too much - usually in the first place to buy / set up / improve the business. We are here to generate profits - for whatever reason - and going out of business due to over-borrowing is a waste of precious time and precious money