Value Reigns in the Hotel Recovery Phase

Larry Mogelonsky | August 12, 2020

By Larry Mogelonsky, MBA, P. Eng. (www.hotelmogel.com) The summer of COVID-19 for hotels has meant a dominance of local leisure guests and road trips as we await the return of group travel to boost our occupancies and our margins. With the approaching next normal of autumn, winter, more properties reopening and less overall desirability for a vacation to a domestic location during the colder months, it would be all too easy to succumb to a price war. Fortunately, we know the ramifications of a price reduction, notably that it erodes your customer base by making it harder to return to your standard rates. And yet, market forces will dict...