Staying competitive and profitable in 2009

Next year will be difficult for many and as a result tourism businesses may suffer if they fail to react quickly to the changing needs of visitors. In addition to our own thoughts, we have spoken to a variety of leading tourism businesses and organisations from across the region and asked their views and tips on securing business in 2009.

This year continues to see the fall-out and consequences of the credit crunch, high oil prices and growing inflationary pressures. This has resulted in falling stock markets, increased uncertainty over employment, growing worries about future pension values and even people starting to become concerned about the security of their savings. The impact of this has been in a significant and growing, reduction in the confidence of our customers. Combined with this, your business costs have increased rapidly and to top it all we have seen unsettled weather throughout 2008 and a very poor summer.

2009 is not going to be any easier, especially in terms of encouraging visitors to return. However the Euro exchange rates, increased air taxes, and the recent travel company collapses may, if not should, help domestic tourism. Therefore, we should all do all we can and not rely on external factors to deliver business.
South West Tourism will shift emphasis of the regional marketing campaign to focus on the early spring and main spring periods, combined with an element of support for the main summer season. In the past we have solely concentrated on out off season promotion, but following two poor summers, now is the time to act to build summer trade for 2009.

Top Tips:

• Promote ‘good value’ or ‘added value’ breaks and holidays (as opposed to discounting).
  - Consider splitting weeks in the main season - offering 3-4 day blocks as many may still want a break but might be reluctant to pay for a whole week- Offer guided tours - Offer incentives to visitors who book early – or early bird prices - Offer a free bus service / taxi service- Provide bike hire - Provide various activities or create themes to differentiate your business. - Plus many other ideas you may have
  
• Intelligent menu planning. Next year’s visitors will be looking for value when choosing food and drink and few will be in the position to spend as freely as they have in recent years, on highly priced menu options. Businesses could therefore benefit substantially by putting affordable lower price, but good quality, options on the menu. With careful planning this can still give the same or similar profit margins and keep people coming through your doors.
  
• There are 1000s of free things to do on a South West break/holiday. B&B’s / hotels / holiday parks need to offer visitors more information about low cost or no cost activities as well as paid for activities in order to attract them to holiday in the region.
  
• Plan your marketing and pricing around the school holidays - School holiday dates for 2009 & 2010.
  
• Make sure your website is up-to-date, comprehensive and offers online booking. Eviivo provide an affordable way to increase the opportunity to generate more bookings: visit: http://www.eviivo.com/.
  
• Check that webcams are kept clean. If you have access to a webcam then a dusty / dirty view could be the deciding factor for a visitor not to make a booking.
  
• Monitor how well your business is currently performing: Speak with other businesses in the area, join local commercial groups and keep in touch with your Destination Management Organisation. Business Link also offer the following business health check tool
  
• Find out what local business events are happening in your area.

How's business?

Are you interested in knowing how businesses like yours are doing this year?http://www.visitsouthwest.co.uk/swtresearch/survey/bs/sept.htm

Feedback on what limits you businesses profitability and/or growth?

Thank you to those businesses who voiced their comments last month regarding what you see as a limiting factor to your businesses success or what annoys / causes confusion with the current South West tourism industry.

This feedback is useful and we will continue to look at ways of rectifying these in the future. The current issues that have been highlighted are; tourism structures, websites, fire regulations and effective marketing. If you have anymore views on this subject please feel free to add your comments to the website.

Have you say!

Since we launched the ‘Tourism Industry News’ in July we are pleased to say the ‘Have Your Say’ section has been a real success in terms of feedback gained from the tourism industry, whilst also enabling businesses to share tips and advice.

Please remember to use this section to your advantage, share your views with other tourism businesses around the region.

‘The Hotel Inspector' - It could be you

‘The Hotel Inspector' is seeking hotels and guesthouses’ that would like a helping hand to boost profit margins and increase occupancy levels.

Channel five’s The Hotel Inspector is back for it’s 5th amazing series, featuring award-winning hotelier Alex Polizzi. Once again the producers are on a nationwide search for failing hotels and guesthouses’ that desperately need the advice, investment and massive publicity that the series can bring.

They are keen to hear from hoteliers who would be interested in this unique opportunity to get valuable profit boosting advice, and the chance to open their doors to a nationwide audience of millions.

Are you trying to improve standards at your hotel? Are your staff a nightmare and you don’t know how to lead them? Have you perfected the product but are struggling with marketing? Maybe you just can’t get that restaurant right? Or despite your best efforts, has it all gone terribly wrong and you’re on the brink of throwing in the towel?

Quotes from Hoteliers from Series 4

“On the personal side it really boosted my self confidence. The response from the programme was outstanding with lots of personal messages of good luck and a lot of bookings!"
Rachel Roffe, Number 9, Torquay

“To have an industry expert share her wisdom & experience was an opportunity not to be missed. The whole experience was fantastic. Alex's help & advice were invaluable. I wish I could do it all over again!”
Sarah Pountain, Jessop House, Tewkesbury.

To find out how to apply call the Hotel Inspector Team on 01752 727 400 or email: hotelinspector@twofour.co.uk

Don't forget the small print

It may seem like a lengthy and tedious process, but failing to read the terms and conditions carefully before agreeing a contract could end up costing you more than you originally expected.

The temptation to simply tick the agreement can be particularly strong when it comes to contracts entered into online. In a recent example that we have become aware of several businesses in the region signed up to a marketing company offering a free 30 day trial to appear on their website. In the small print of this offer it highlights that after 30 days the trial is binding for a year (costing nearly £100) and despite trying to cancel, businesses are now finding themselves liable for paying the full year fee.