Travel Facts For Innkeepers
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By Anne Jordan
Before you begin your marketing for 2005, you need to research your potential customers. Today’s travelers have significantly changed, and these changes need to be understood in order to create truly effective marketing. Listed below are four of the most important questions innkeepers and aspiring innkeepers should be asking if they want to stay ahead of the game:
1. Who are my customers?
2. How do today’s consumers travel?
3. Where do they travel?
4. How do consumer demographics affect the future of innkeeping?
The answers to these questions may change the way you view your inn’s future.
Who are my customers?
Over 4 million people in the United States will turn 50 this year. Another 5 million will turn 50 each year for the next 10 years! If you are not aware of this statistic, or are not making concessions to your business in order to accommodate older consumers, you can bet that your inn will not fare well over the next decade. If you can manage to make the necessary changes needed to accommodate older guests, you might be relieved to know that the senior citizen segment of the population has considerably more leisure time and more discretionary income to devote to travel.
Currently, few inns have the necessary facilities to accommodate older consumers. These facilities include ramps for wheel chairs, larger doorways, easy to turn door handles and bathroom amenities such as bath bars to help getting in and out of the bathtub, and a bathing seat. If you want to reach potential guests, you should consider having at least one room that can easily accommodate wheelchairs, or are geared towards people who have mobility problems - including millions of arthritis sufferers.
24 % of all Americans have a BA degree and 80% own a home computer . This means that Americans are more highly educated than ever, and will likely use a computer to research and book their vacation destinations. This statistic is important because it means that you as an innkeeper need to register with on-line reservation companies if you want to reach potential guests where they shop. If you are not comfortable on the computer – run, do not walk, to the nearest adult education center and take some internet classes. This will help you to understand why the internet is pivotal to your business’ future success. Three excellent bed and breakfast websites you might also want to review are: bedandbreakfast.com; inns.com; and iloveinns.com
Another interesting statistic is that 1 in 5 Americans do NOT speak English . That’s 20 percent of the entire country! Within this large group, more than 50% speak Spanish – and the number of Spanish speaking consumers is growing. Prepare yourselves for increasing multi-cultural diversity. It may become more important in the future, and mean a better bottom line for you. Hablas espanol, anyone?
How do today’s consumers travel?
In the 50’s, 60’s, 70’s and 80’s, people enjoyed the comfort of familiarity by staying at the same vacation spot every year. However, in the 90’s, people started wanting more adventure in their vacations and made a point of visiting new places. Consumers today want to be educated, pampered, and most of all, want to experience a vacation that is unique.
The amount of time involved in taking vacations has changed too. Consumers used to take one big vacation a year, lasting 3-4 weeks. Today, the typical American takes four short vacations lasting a week or less1, with more than 66% of leisure travelers having taken at least one trip with a spouse/adult and no children. Smart innkeepers can use this knowledge to create romantic and interesting weekend packages that will appeal to today’s couples.
Consumers also have concerns about traveling for vacations. However, that doesn’t mean that they aren’t taking them. They are simply taking shorter vacations that are closer to home. 78% of leisure travelers will use their car for travel. While this may not be good news for the airlines, this is great news for B&B’s which typically book guests that live within a 75 mile radius. It also means that beyond 2 hours by car, advertising will be ineffective. However, you will still need to be listed online as it is where the majority of consumers are booking.
The economy is by far, the single biggest factor affecting the hospitality industry, with 7 out of 10 Americans being very concerned about their finances2. But despite the slow economy we’ve experienced over the last four years, Americans have continued to take their vacations, with most of the population considering vacations as an American birthright1. That’s good news. Especially when according to the American Hotel and Lodging Association (AHLA), high-end, luxury lodging has not been hurt as badly .
Luxury vacations are in high demand. More than 40% of all leisure travelers say that they are willing to pay more to get what they want. Gourmet food, interesting sight-seeing, and a high level of luxury amenities are the main features that consumers look for when planning their travel. When a national survey was recently taken, consumers said that everything else being equal, “The best overall experience and amenities will win. ”
50% of all Americans believe that cruises are the best travel buy and 33% of all leisure travelers have taken a cruise in their lifetime. Why are cruises so popular? The reasons given were: gourmet food, entertainment, convenience, high level of luxury, and wonderful staff service. (Except for the entertainment, that pretty much describes a typical B&B!)
The top activities that consumers believe are most important when considering their vacations are as follows:
1. Spas – a whopping 90% of leisure travelers want a spa experience.
2. Sightseeing – 87% of leisure travelers want to stay near scenic areas.
3. Shopping - 39% of leisure travelers find shopping a desirable activity on a pleasure trip.
4. Golf - 24% of leisure travelers want to play golf during their vacation.
Where do consumers travel?
The top ten vacation states are :
1. Florida (over 39% of all leisure travelers)
2. California
3. Hawaii
4. New York
5. Colorado
6. Nevada
7. Arizona
8. Alaska
9. Washington
10. Texas
This information is especially important if you are an aspiring innkeeper. Remember the realtor’s motto: Location, Location, and Location! However, many factors should also be considered when looking at the potential of an inn’s success. For example: Is the inn located near restaurants, historical sites, a university, a winery, a major medical center or a large business park? These are all potential gold mines for innkeepers.
What does the future hold for Innkeepers?
As the economy improves, so too will the travel industry. More than 33% of all leisure travelers currently say they will take more vacations in the near future . With 40% of leisure travelers willing to pay more for luxury accommodations, innkeepers need to either upgrade or maintain a high level of luxury accommodations in order to satisfy current consumer demand. (Note: This may mean an additional financial investment, but by charging higher prices, you should be able to recoup your investment quickly.) Giving the public what they want is the only path to success.
80% of consumers believe that life is too complicated and stressful, and according to statistics - they’re right! E-mail alone has increased the length of an average worker’s day by one hour . Consumers today are looking for places to get away and reduce their stress. That’s why spas and spa amenities are the single biggest trend in the hospitality industry today .
Another big trend in the hospitality industry is family and group travel. The Disney Corporation recently polled consumers and found that people are taking more family and group vacations. With leisure time in short supply, consumers want to use their vacations to spend more time with their spouse, their children and their friends (extended family). This phenomenon in the travel industry is called: “Trend Togethering”.
As consumers and travel patterns change, innkeepers need to change along with them. Keep researching current trends and statistics, and understand how they affect your bottom line. Knowledge is key to effective marketing - and a successful innkeeper is one who knows who their guests are, understands what they want, and somehow, manages to exceed their expectations.
Anne Jordan: A professional business consultant for over 12 years, Anne Jordan, is the owner of Inn Designs, a national interior design company catering to the needs of innkeepers worldwide. Previously, Anne has assisted both existing and start-up businesses in finding new sources of revenue and in developing unique niche markets. Anne is a frequent contributor to several national magazines on various business and design topics, and is a popular guest speaker at conferences. She has also been interviewed by newspapers and been featured on National Public Radio (NPR). Through Inn Designs, she is now offering luxurious furniture, rugs, and furnishings suitable for a variety of inn properties, at low wholesale pricing – direct from the manufacturers. For more information about Inn Designs, please e-mail Ms. Jordan at anne@inndesigns.com or visit www.inndesigns.com.
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