Sheraton Dubai Creek Hotel GM on why filling rooms is key to success
Goran Stojkovic believes occupancy is more important than room rates
As hoteliers, our priority should be to focus on occupancy and balancing room rates accordingly, but at the end of the day, in my eyes, I am running a business and that means I need to sell rooms. Increasing room occupancy will drive demand and more demand means more revenue, which is the end goal.
A crucial reason to focus on hotel room sales is that they help to provide guests with an atmosphere that they expect when they enter a five-star property. If your rates are too high, you run the risk of running a vacant or nearly empty hotel, which is not an ideal scene for a guest staying at a hotel.
As an operator, I want to be able to sell as many rooms as possible to provide my guests with a lively and charismatic environment.
Room occupancy also drives motivation which is essential for other aspects of the hotel like F&B, spa, and retail. If there are no guests around, the other departments within a hotel can’t benefit.
Keeping this goal in mind and taking relevant actions, I bridge the gap between owners and operators and also build strong and lasting relationships. A hotel is an owner's asset and to take care of it is the responsibility of the operator, hence building a sense of trust with the owners and that they feel secure that the property is in safe hands, is the key.
Dubai is known for its hotels and with the increase in the number of hotels in the region, the competition also increases. During this time it is all the more imperative for the owners to trust in the capabilities of the operator to drive occupancy levels and generate demand. Aligning the goals of the owner with your goals becomes important and results in taking appropriate actions to achieve them.
Other factors like revenue and the RevPAR start to fall in place once the traffic to the hotel is optimised through key sales and marketing channels and repeat business. So if you’re ever tempted to bump up the room rates, just try to remember what a hotel stay should really feel like.
Source:https://www.hoteliermiddleeast.com/comment/125580-sheraton-dubai-creek-hotel-gm-on-why-filling-rooms-is-key-to-success