Industry takes-off in times of the ‘new normal’: recommendations from Booking.com

Industry takes-off in times of the ‘new normal’: recommendations from Booking.com

10 September 2020Marta Wiśniewska

The coronavirus pandemic has had a particularly strong impact on the tourism and hospitality industry. Hoteliers are increasingly looking for expertise and solutions to adapt to the new reality and its challenges, in order to ensure continuous successful operations. Competitiveness in the market is just as important as attracting new target groups.

Profitroom helps hoteliers navigate successfully through the corona-pandemic by offering valuable pointers and tools. Not only do we consult on the distribution strategy during the crisis, but we also advise on digital marketing, revenue management and training. You can find all relevant information on the Profitroom Blog and follow live industry updates on this dedicated website

Booking.com has also made a number of recommendations that support hoteliers in their decision-making on which activities in particular should be pursued to rebuild and re-imagine business.

Tailored pricing

One of the recommendations from Booking.com pursues a balanced pricing strategy, which includes the possibility of free cancellations, updates of prices and availability, and differentiated pricing for domestic and foreign guests.

Another recommendation is based on pricing based and around the number of overnight guests. With the rise of new pricing models, such as solo rates or occupancy-based pricing, hoteliers are able to reach a wider audience.

According to a study conducted by Booking.com, single travelers account for around 8% of all daily search queries in the booking portal. These form an additional target group of guests who bring in potential reservations.

With a special rate for solo travellers, hoteliers can offer an attractive price for a double room booked by just one person. This allows you to sell rooms that were previously not attractive to guests with limited budget, or if a room was not available at a lower price than the offered double occupancy. This option will be shown more frequently in searches and, makes it more likely to attract the attention of solo travellers.

Occupancy Based Pricing allows you to set room rates based on the number of overnight guests. This flexibility helps reach more potential guests through more visibility in the search queries. Furthermore, this pricing model makes it possible to sell larger and therefore more expensive rooms which, due to restrictions, were previously not affordable for a minimum number of guests or were not listed in the search results. A potential guest who sees the opportunity to make a reservation of a room with a higher standard at a lower price will certainly seize the opportunity – leading to an increase of the hotel’s revenues (Booking.com indicates an increase of up to 3.5%).

The Occupancy Based Pricing solution introduced by Booking.com has been implemented by Profitroom, allowing customers to use the new pricing model by the OTA via Profitroom’s Channel Manager to achieve more bookings.

New possibilities

Travellers want to feel safe. Since the outbreak of COVID-19, hotel guests have paid increased attention to hygiene and preventive safety measures. That’s why you can now find out about all applicable hygiene and safety measures on Booking.com. Relevant news that has been set in the portal is visible to all website visitors. Booking.com lists up to 19 different measures; including contactless check-in and check-out, as well as access to hand disinfectants in rooms and public areas.

Profitroom implemented the option to publish a special message about corona measures directly on the hotel website. This message is placed visibly on the website and enables the hotel to present its hygiene and safety measures in a user-friendly manner.

Autonomous administration

The Booking.com extranet enables hoteliers temporarily to change travel dates themselves before a guests’ stay. This allows hotels and apartments to make the appropriate changes if a guest cancels or changes the booking. Until now, such changes required contact with the support department.

All these possibilities offered by both Profitroom and Booking.com, enable travellers to take a better look at the available offers in times of the pandemic and make calculated decisions about where to book their next stay.

Want to learn more? Get in touch with our experts to benefit from a free consultancy.