How far do you discount?

Up, down, could be better? How to get more bookings is our number one obsession. Talk shop here.
Karen&John
Posts: 59
Joined: Sun Aug 13, 2017 6:50 pm
Location: Norfolk

How far do you discount?

Post by Karen&John »

We are fully booked for the school holidays but lots of gaps till then.
We have tried 15% off in May and 10% off in June and July.
If we go lower do we sound desperate or attract the wrong sort of guest?
We are with an agent.

What level of discounts work for you?

J&K
User avatar
Cymraes
Posts: 519
Joined: Tue Jul 07, 2015 3:31 pm
Location: North Wales

Post by Cymraes »

They don't.

I now don't discount at all other than for returning guests who get 10% off.
zebedee
Posts: 1270
Joined: Fri Sep 12, 2014 2:57 pm
Location: yorkshire dales

Post by zebedee »

Hi,
Could it be that you need to look at this from a different angle?
You have an agent - what is your agent doing for you? Look very critically at your advert,photos, write up. Etc

It’s all too easy for an agent to say “discount” in the same way an estate agent says “drop your price” when you question them.
That is because they lose far less in reduced commission than you do in income.

I would agree with Cymraes - many people are booking later these days. You should market from the point of view that you believe your prices are correct. If the sites you advertise on or the agent doesn’t get you bookings then change something.
AndrewH
Posts: 1499
Joined: Thu Sep 12, 2013 1:17 pm
Location: Kefalonia, Greece
Contact:

Post by AndrewH »

Cymraes wrote:They don't.

I now don't discount at all other than for returning guests who get 10% off.
Me too. 10% off for returning guests does attract, I feel sure. I think potential returnees see it as a privilege not available to all, which of course it is.
SPJ
Posts: 468
Joined: Mon Dec 28, 2015 9:01 am
Location: Aquitaine
Contact:

Post by SPJ »

Cymraes wrote:They don't.

I now don't discount at all other than for returning guests who get 10% off.
Me too, I don't even advertise that returning guests get 10%. It's something I let guests know when they rebook. So it comes as a really nice surprise for them.
Joanna
Posts: 1091
Joined: Thu Aug 23, 2007 3:12 pm
Location: Chester, North West England & Sidmouth, East Devon
Contact:

Post by Joanna »

10% for returning guests. We've tried various other discounts - 10% if you book before end of January or up to 20% for a late booking. They don't seem to work so I'm thinking about just having the 10% for repeats. Each year we get more and more repeat bookings so I'm hoping we'll reach a point when we don't need to work so hard to attract new guests.
Jo

Joint owner of Baker's Cottage in Chester & Chandler's Cottage in Sidmouth
gardenboy
Posts: 283
Joined: Sat Jul 02, 2011 2:14 pm

Post by gardenboy »

Me too, a nice deal for regulars who have shown loyalty. I used to discount in desperation to fill every gap, omg you want to see who you get. They never come back of course because all they wanted was a discounted price. Hardly a sustainable business model.
Karen&John
Posts: 59
Joined: Sun Aug 13, 2017 6:50 pm
Location: Norfolk

Post by Karen&John »

Thank you all for your replies.

We will certainly have a rethink - the discount that we offered hasn`t worked anyway.

Best,
J&K
User avatar
NeatandPicky
Posts: 377
Joined: Thu Aug 30, 2007 12:58 pm
Location: Pissouri Bay, Cyprus
Contact:

Post by NeatandPicky »

Offering discounts did not work for us. We tried it in the early days and in every instance had issues - concluding we had undervalued our product and sent the wrong message to guests.

Also it gets tricky if/when you've offered a shoulder season discount then they ask to return in peak weeks.

No takeup offering early booking discounts to potential returners. (Conclusion: everyone says they would love to return to keep the owners sweet.)

What has been appreciated is the offer of a low initial holding deposit for a return stay, with the balance of the deposit in January (peak booking time).

We are in a highly competitive market with similar villas built by the same developer, but (naturally) we think our offering is better. We are lucky that there is a large pool of returning guests to the resort. Feedback indicates that regular maintenance and investment in fixtures and fittings are the key for us. Not only do we devote a lot of time and effort, but we are constantly updating and improving. We benefit from the fact that quite a few owners around us don't want this hassle.

Oh and I spend a LOT of time on the website - albeit in fits and starts. This is our sole source of advertising, apart from recommendations.
susanj
Posts: 175
Joined: Mon Jun 23, 2008 3:04 pm
Location: Estes Park, Colorado
Contact:

Post by susanj »

I'm in the US and don't usually need to discount in summer or fall as we fill up, but at other times I've discounted as much as 40-50%.
User avatar
GRL
Posts: 821
Joined: Fri Sep 12, 2014 4:31 pm

Post by GRL »

I had a guest requesting a discount for my ast 2 summer weeks which I didn't accept and I have since sold both the weeks at the full price. September is still empty but I am hopeful some weeks will shift without a reduction.

I am never keen to reduce as I think it devalues what we offer. Many of us already work within tight budgets plus guests then expect to get things cheaper, not understanding the real value of their holiday. I do sometimes go the other way about this and offer an extra such as a special welcome basket of local foods but I have no idea if this is what tips people to book or they would have booked anyway!
Post Reply