How to Manage a Hotel in Difficult Times—and Turn It Around

I suppose we can agree that running a hotel when things are going badly is no easy task. And if things are going really badly—that is, in sustained freefall for years or in an extremely serious situation—anyone’s management skills are truly put to the test. It is in these situations that you need to step up, get involved, motivate and demonstrate leadership in order to create a turning point and shift the dynamic towards a new horizon. Some lessons learned:

Motivate your staff to give their best

You cannot run a hotel without a highly motivated team. No matter the situation you are facing, when things go wrong, staff can lose their way. At that point, you need to take control of the situation: "Get back to work, we have a hotel to run." Happy, motivated employees are your greatest assets. When they are happy and led by the right manager, they feel engaged, serve guests with the utmost sincerity and are more creative in their work. All of this adds value to your hotel business and helps increase the hotel’s overall profitability.

Protect your hotel’s reputation.

At all times, consider the reputational damage that any mistake could cause your hotel. Your hotel’s reputation should literally mean ‘everything’ to you, as it is how your guests perceive your brand. Consider this: in today’s world, if you can increase your reputation score by 1%, you can raise your ADR by around 7%. In addition, it can also help increase occupancy rates by approximately 1.4%.

Nothing is more important than your guests.

Satisfied guests are loyal to your brand and will eventually become your brand ambassadors. Not only that: if your guests are satisfied with your offerings and services, you are likely to see a 97% increase in revenue and profits. No matter how bad things are, you must welcome guests with a smile, look after them and meet their needs so that they feel at home.

Recommend your ‘best products’ to guests

Understand your hotel’s best products and recommend them to your guests. This could be the chef’s signature dish, the spa, or anything else that can make your guests happy. This is precisely what the art of upselling is all about and, ultimately, it will help you generate more revenue. We all know that the ‘human touch’ is the most important factor in instilling all these lessons. However, in changing times, you also need to harness the power of technology solutions to serve guests and earn their loyalty.