Are Australia’s hotels under-pricing their standard facilities in a world where everyone else has to pay?

News Feed

Friday, 20 September 2019

DEPENDING on which report you read, the number of hotels in New York City ranges from 245 (Hotel Association), 258 (New York City Official Guide) and 455 (Trip Advisor). 

One thing I know, recently when I tried to book accommodation on line for the first week in November 2019, 75 per cent of New York City hotels were booked out. 

The New York Marathon is being held on the same week I am to attend a conference there, so rates are sky high and availability tight. The New York Hilton Midtown was the largest New York hotel with 1980 rooms.

My requirements were specific. The conference I am attending is not in a hotel, so I wanted a reasonably-priced hotel room close to the conference venue in West 26th Street, with two beds and hopefully close to the subway. What fascinated me - something I have never seen with Australian hotel descriptions - was the number of ‘benefits’ or ‘features’ that Australian travellers take for granted. Plus, there were some unique ‘benefits’ that I have never seen in Australia, no matter the star rating.

It prompted me to ask: Are our hotels underselling themselves to international travellers who might be used to seeing the benefits listed below as the ‘norm’?

For example: Free toiletries, daily housekeeping, bathrobes, towels, quality linens, flat screen TV with cable channels, hairdryers, safes, premium bedding, blackout drapes/curtains, iron/ironing boards, desk, Netflix, iPod docking station, connecting/adjoining rooms available, refrigerator, sound proof rooms, air conditioning, satellite channels, in room complimentary bottled water. 

More than 50 per cent of the above list would be taken for granted by Australian travellers.

One feature that really surprised me at some hotels was ‘free local and international phone calls’. I have never before seen that offered by any international hotel.

Hotel descriptions also were full of surprises. That list included: 24-hour concierge, luggage storage, conference space, 24-hour front desk, free bicycles on site, full service spa on site, multi-lingual staff, ATM banking, accessibility equipment for the deaf, braille or raised signage. Wifi varied from free-in-rooms to free in public areas, charges by the hour or day in the room, fitness centre/gym, elevator/lift, bicycle rentals (nearby), gift shops and news stand. Again, Australian travellers would expect to receive many of these. 

Meals were another surprise, as they ranged from free continental breakfast available daily, free buffet on weekend, cooked-to-order breakfasts, room service 24 hours and a range of set breakfast charges.

It might be an interesting exercise for Australian hotels to try including complimentary breakfasts when guests stay for say three-to-four nights in one mid-week trip. They could call it a ‘Reward’ program. It probably wouldn’t cost a lot. Many business travellers have early flights and eat on the plane, while others stick to diets when travelling. 

Finally, an interesting policy was a minimum check in age (18 for some hotels and 21 for others). Or check in between four and midnight and check out before noon for some hotels compared to the more traditional check in at 2 pm, check out by 10 or 11 am at most.

I managed to find a great hotel on West 24th Street, not far from the conference venue. The daily rate won’t break the bank and once the New York Marathon is over, the room rates drop significantly.

So: 

• Does your hotel offer features such as those listed above but you don’t mention them in promotional materials? 

• Do your Australian customers take these features for granted?

• Is it time for your hotel to trial a ‘Reward’ idea?

Safe travels until next time.

For more articles by Robyn Henderson, visit www.networkingtowin.com.au