While weekends may naturally attract more leisure travellers, tapping into the midweek market can significantly increase your revenue and overall profitability. In this article, we’ll explore actionable tips that hoteliers can implement to boost midweek occupancy rates effectively.
What are occupancy rates?
Occupancy rates are a critical metric that every hotelier should keep a keen eye on. It measures the percentage of rooms in a hotel that are occupied during a specific period, typically calculated on a daily, weekly, or monthly basis. Understanding and optimising occupancy rates are essential for any hotel’s success, and one key area that often requires special attention is midweek occupancy rates.
Occupancy rates represent the heart of a hotel’s performance evaluation. They offer a clear picture of how well a hotel is utilising its available room inventory. The formula to calculate occupancy rate is straightforward:
Occupancy Rate = (Number of Rooms Occupied / Total Number of Rooms) * 100
For instance, if a hotel has 200 rooms and 160 are occupied on a particular night, the occupancy rate for that night would be 80%.
Why do high occupancy rates matter?
High occupancy rates mean that a hotel is selling more rooms, which directly impacts its revenue potential. Increasing occupancy rates, especially during traditionally slower periods like midweek, can significantly boost overall revenue and profitability. Occupied rooms also mean more guests using on-site amenities such as restaurants, bars, spa services, and room service. Increased ancillary revenue from these services further bolsters the hotel’s overall financial health.
Hotels with consistently high occupancy rates are often perceived as more successful and desirable by potential guests. Positive word-of-mouth and online reviews from satisfied guests can attract even more visitors, leading to a positive feedback loop for future bookings.
High occupancy rates allow hoteliers to gather more data about their guests, enabling them to better understand their preferences, behaviour, and booking patterns. This information can be used to tailor marketing strategies and offerings, thus attracting more guests during the midweek.
Why Midweek Occupancy Rates Deserve Special Focus
The focus on midweek occupancy rates is crucial due to the characteristic fluctuations in demand that occur during the week. Tapping into the midweek market presents a tremendous opportunity for hoteliers to optimise their occupancy and revenue streams.
In the following sections, we will delve into actionable tips that hoteliers can implement to boost midweek occupancy rates effectively, ensuring a thriving and successful hotel business throughout the week.
Ways to improve your midweek occupancy rates
There are many ways you can boost your midweek occupancy rates, from tailored marketing to enticing packages and working closely with local businesses.
Targeted marketing
Target midweek travellers in your marketing
Target the corporate traveller segment by offering amenities and services tailored to their needs. Fast and reliable Wi-Fi, business centres with printing facilities, meeting rooms, and shuttle services to nearby business districts can make your hotel an appealing choice for professionals travelling during the week.
This isn’t just limited to business travellers though, think about how you could attract retirees looking for good deals. This could include early bird specials in your restaurant, partnering with coach trip companies and highlighting the attractions near your hotel that would interest an older audience.
As well as business travellers and retirees, you might also consider attendees of nearby trade shows, conferences, theatre shows and festivals. Placing adverts with the exhibition centres and theatres, or running certain deals with these providers, can boost your midweek occupancy.
Engaging in social media campaigns
Create captivating social media campaigns specifically targeting midweek travellers. Use stunning visuals, and user-generated content, and share testimonials from satisfied midweek guests to build excitement and encourage bookings.
You could also run a competition with a midweek break as a prize – while the winners won’t pay for their stay, you’ll gain exposure and increase the likelihood of other people booking midweek breaks.
Personalised email marketing
Leverage your customer database to send personalised email campaigns to your guests. Segment your email list based on past stay history or preferences and offer enticing midweek deals tailored to each segment. Encouraging repeat visits from previous midweek guests can be a lot more successful and efficient than attracting new visitors.
Loyalty and referral programmes
Implement a loyalty programme that rewards guests for midweek stays. Offer exclusive perks, such as room upgrades, welcome amenities, or bonus loyalty points, to encourage repeat midweek bookings. Additionally, incentivise guests to refer friends and family for midweek stays through referral programmes.
Packages and policies
Tailored midweek packages
Create exclusive midweek packages that cater to the needs and preferences of potential guests. While you can run a discount on midweek rooms, you could also try introducing specials and packages that include something extra for the same price, such as complimentary breakfast, spa treatments or local activity vouchers.
Flexible check-in/check-out policies
Flexibility in check-in and check-out times can be a game-changer for midweek travellers. Offer the option for early check-ins and late check-outs whenever possible, as it allows guests to maximise their stay, especially those with tight schedules or early morning/late-night flights.
Maximise your weekend visitors
Encourage your weekend guests to stay an extra night on either side of their trip when they book, for example offering a 10-20% discount for arriving on Thursday night instead of Friday night, or staying until Monday instead of Sunday so they can fully relax and enjoy the area or your hotel’s amenities.
Working with industry
Participate in industry events
Attend relevant industry events and trade shows to network with potential clients and corporate travel managers. Establishing strong connections within the business travel community can lead to increased midweek bookings through corporate partnerships.
Collaborate with local businesses
Forge partnerships with nearby businesses, such as event venues, conference centres, or local offices. Offer special rates and exclusive deals to attendees or employees, making your hotel the preferred choice for midweek stays.
You can also make contact with estate agents; people looking to move into the area may not have anywhere to stay and would like to spend some time exploring their potential new town.
Rent out your space
Invite businesses to use your conference rooms for networking events, product launches or other corporate gatherings; these events are often held during midweek evenings and attendees may prefer to spend the night at your hotel instead of driving home.
Off-peak events
Unique midweek events
Organise midweek events or workshops that align with your hotel’s theme and target audience. These could include cooking classes, wine tastings, art exhibitions, or wellness workshops. Such events can attract attendees who may choose to stay at your hotel for added convenience.
Highlight off-peak perks
Promote the advantages of midweek stays to your target audience. Emphasise the tranquillity and reduced crowds at nearby attractions, making it an ideal time to explore the area without the typical weekend rush.
How can Stewart Hindley help?
As specialists in hotel finance, we have been helping people get into the hospitality industry for over 15 years and can start you on your way to opening your own hotel. Get in touch with us today.
