Case Study: Realisation of Capital Investment Through Review & Management Training

Opportunity

After making a significant investment to undertake a full renovation of the property, the new owners were becoming increasingly frustrated by the onsite management team’s inability to return a profit and improve the value of their asset.

Actions

RevenYou undertook a Distribution Audit, identifying the following areas to focus on:

• Simplified room types and used USP’s within the new names.

• Introduced seasonal and long lead promotional rate plans to build base business.

• Reviewed the distribution partner channels to be more specific to the Australian market and optimised the listings to achieve 100%-page scores.

• Updated the property’s website to ensure it was optimised for Google rankings.

• Implemented rate parity on the OTA sales channels and incentivised direct bookings through value adding.

• Implemented a dynamic pricing strategy to grow RevPar.

• Undertook training with the onsite team in the areas of data capture for future marketing activities and identifying unique selling opportunities that contribute to a growth in year-on-year profit.

Outcomes

• In one month alone, the property doubled revenue year-on-year.

• Within three months of implementing our strategy, the property returned a profit for the first time under the new ownership.

• The property became self sufficient and the owners were no longer having to supplement income to cover operational expenditure.

• The onsite management team transitioned from being sceptical and distrustful of our team to actively looking for every opportunity to grow revenue.