Tourism Players Need to Learn from the Ants
Over the years, airlines most cruise ship and train operators together with many hotel brands have understood and in the main applied the concept of ‘revenue control’ very effectively. It is almost a given when you board a plane, even when you are in the same designated seating class, that passengers have paid different levels of fares in many cases for an identical level of service.
Hotels too, especially with 100 rooms or more, constantly battle with the dilemma of using more creative marketing strategies to attract a higher percentage of direct rack rate paying guests or entrust tour operators to fill contracted allocations of rooms at heavily discounted prices. Other options include online-websites like Expedia among the several others, but again these also attract a lower net rate.
A very simple equation is to fill 100 rooms at US$100 would bring you $70,000 through direct bookings, while the same number would probably realise only $49,000 per week through a wholesaler or tour operator. The question to ask is, by spending a proportion of the differential, could you drive more higher direct revenue income? In many cases I believe the answer would be yes!
I will be the first to admit that I have dismally failed in persuading some of our restaurants to see the potential benefits of revenue control. It was never our intention of bullying a single establishment to participate in the re-DISCOVER dining programme. Even though they know a greater choice would make it an even more enticing offering to our visitors and locals and a very much more powerful marketing tool to differentiate us as a destination. Knowing what the actual costs are, I can fully understand that some restaurants could not sustain a three course dinner, half bottle of wine, VAT and service at $99 for every paying customer. However by encouraging early diners to allow multiple table sittings, limiting the numbers at that price to say ten per night, it provides an additional revenue stream of almost $6,000 per week based on a 6 days opening, which goes a long way in paying standing costs like insurance, electricity, land taxes, municipal solid waste tax, liquor licence etc.
To further assist in reducing costs we negotiated with wine distributors to offer a range of wines to re-DISCOVER partners at a substantial reduction. Other hospitality suppliers were invited to target ‘specials’ to the more than 50 restaurants now part of the promotion. And pray tell me where could a single restaurant generate a potential additional turnover of $312,000 per year at absolutely no participation cost whatsoever, as in the case of the dinner menu offering, subject to meeting a sign-up deadline?
Every major restaurant on Barbados has been given the opportunity of join this promotion entirely free of cost and we applaud those with the vision who can see the objective behind the initiative and have seized the day. Mention also has to be made of all those in the background have volunteered their precious time to make the project work and to the Barbados Tourism Marketing Inc (BTMI) for adopting re-DISCOVER as the national restaurant component of the recently launched www.brilliantbarbados.com campaign.
Barbados Underground 
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Reblogged this on Open Source Media.
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In this article it clearly states that Sandals promised to buy Almond Beach Village for US$53 million but in today’s BLP column it states BDS $84 million.
Which is correct figure and if Butch has signaled a delay in Beaches, why not renegotiate?
http://antiguaobserver.com/newspaper-reports-sandals-group-to-purchase-almond-beach-village/
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Diverse Tourism Product Working
Eat yuh heart out prophets Doom and Gloom
Acting Prime Minister of Barbados and Minister of Tourism, Richard Sealy made this disclosure on Tuesday at Sandals Resort (Barbados) when Marilyn Denis of the 104.5 CHUM FM Toronto’s ‘Roger, Darren & Marilyn’ show, lauded the island and told listeners that she has noticed Barbados has more on offer now.
On island for the Breakfast in Barbados 2015 concert, Denis pinpointed the upcoming Reggae Festival, saying, “There are so many things to come for besides the beautiful resorts and the great food. There is a lot of great Community Tourism.”
Commending the island also on successfully diversifying the offerings in such a noticeable way, co-host Roger Ashby added, “We noticed the change. There is much more to see and do now and there is greater awareness.” (KG)
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Officials looking to keep momentum going in tourism sector
Minister of tourism Sealy said
“Apart from the ‘Brilliant Barbados’ campaign which the private sector is leading in terms of putting in discounts on rooms and attractions and so on, we think that the cricket coming a bit later than it probably normally would come – the first week in May – is going to help us, and we also think that the initiatives from Sandals and other hotels – the Almond property in St. Peter is actually expanding, adding another 68 rooms, that will help us with the family business going into the summer – and of course Crop Over.”
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here is another gem with words that drive a major point home to those doing business in the tourism industry,,
THE Travel & Tourism industry needs to put sustainability at the forefront of everything it does and businesses need to lead by example.
That is according to David Scowsill, CEO & President of the World Travel & Tourism Council (WTTC), who is asking sustainable tourism businesses to play their part in ensuring that the industry’s ethics are raised to the highest order.
“We also know that we have a responsibility to provide millions of quality jobs to people, who are seeking fulfillment and quality of life through employment. It is important that we learn best practice from each other and that we ensure governments are aware of our achievements.”
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No politics here, just cold hard facts that should be address and be given high priority,
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Eighth place: Lush tropical greenery, warm blue waters and golden sunlight. In Barbados you can spend the day on any number of white sandy beaches; eat some flying fish; drink some rum punch. In Barbados you can generally trade in the chaotic rush for the slow and easy while soaking up the natural beauty of this subtropical island
Read more: http://www.dailymail.co.uk/travel/travel_news/article-2740819/Conde-Nast-Traveller-reveals-10-stunning-islands-world.html#ixzz3XkpGK8Mk
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