How much is TOO Much?
August 9, 2006
by Kit Cassingham
Budgeting enough marketing dollars is important, and most innkeepers don't spend enough. If you don't keep your inn in the forefront of people's minds, your business will suffer.
Ok, I know that adv. only helps a business, but when does adv. come between you and your profit? How much do you guys typically spend on adv? Any limits?
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L. Rosan
Bed and Breakfast/GuestHouse Accommodations
Washington, DC
http://www.americanguesthouse.com
Comments
ood question. In my experience, most innkeepers don't spend enough money on advertising. But there are a few who spend too much. The age of your inn and level of business have something to do with how much you budget and spend. Newer inns and inns that aren't well developed should spend up to 10% of their budget on marketing. As you get more established and have a high rate of return guests, you can cut back on your budget. I don't think you should go below 5% though.
If you don't market, guests can't find you. The internet is the "great equilizer", but not everyone uses it, so you have to find other venues for promoting your inn and the guest experince you offer.
Posted by: Kit Cassingham | April 30, 2007 07:36 PM
As Kit said, there is quite a range. It depends on what you have to offer, how popular your area is, how badly you need to be running at maximum occupancy, and a host of other things. But fortunately the answer is easy to evaluate if you are already up and running. If you have as many guests as you need, you have enough advertising. If you spend most of your time on the phone turning people away because you are full, then you have toom much advertising, and if you have too many vacancies, then you need more, or better advertising. _________________ Steve Wirt Wine Country Cabins Bed and Breakfast in the Finger Lakes and Inngenious Bed and Breakfast Website Promotion
Posted by: Steve Wirt | April 30, 2007 07:36 PM