Accommodation in Pubs - No-Bookings.com

Reflections of a Reluctant Pub Landlady

Introduction

Accommodation is without question the most profitable aspect of a pub compared to the gross profit of food or wet products, as long as you have a healthy occupancy rate.  When you have multiple guest bedrooms, having a reliable stream of bookings is crucial for the success and sustainability of your business. Many bed and breakfast (B&B) owners and small hotel operators find significant value in using third-party booking platforms like Booking.com. However, as convenient and beneficial as these platforms can be, relying on third-party booking sites can lead to unexpected and potentially devastating consequences.

Let Down by Booking.Com – with Devastating Consequences

For many years, we relied heavily on Booking.com for our room bookings. It wasn’t the only platform we used, and I spent a huge amount of time loading photos and details of rooms in each one.  But Booking.com was by far the most effective. In fact, 90% of our bookings came through this platform. We invested in becoming a preferred partner, which ensured our B&B appeared in the top few search results for accommodation in Salisbury. This was despite being located on the outskirts of the city. This preferred status came with additional payments to maintain our high visibility on top of significant commission fees.

Change of Policy

However, one day, everything changed. Without warning, Booking.com altered their policy. Our B&B, which was previously listed under Salisbury, was now suddenly categorised under a nearby and nearly unknown village. This reclassification was based on our distance from the spire of Salisbury Cathedral, which was 7.1 km. The new policy drew a strict line at 7 km. What made the matter worse is that they did not tell us, and carried on taking the preferred partnered fee which guaranteed us a place in the top few places and suddenly we were number 96.

Sadly, we did not realise that this had happened to begin with, masked by a buoyant summer/autumn trade, but as soon as November appeared, our bookings disappeared.

The Impact of the Policy Change

This decision felt particularly unfair as a B&B just four doors down from us continued to be listed under Salisbury, and their guests even used our car park! The impact on our business was severe and hit our profits hard.

Eventually, I tracked down all the directors of Booking.com and messaged them all via Linked In explaining that their policy had massively crippled my business.  Suddenly, we were back in the top few listings again and I was delighted.  Not for long, however, a day later they reversed their change of heart and we plunged back down the list again.

They confirmed that the new policy had been brought in, and would be strictly applied, even if it meant less commission for themselves.  They eventually refunded the preferred status fees for the months we were not at the top of the listings but denied any responsibility for our poor trading figures.

We later found out that we weren’t the only ones.  Other rural businesses with accommodation on the outskirts of Salisbury were also adversely affected and got in touch with us.

The most ironic factor about the whole debacle is that several years after I left the business, I noticed it was back on top of the Booking.com listings.  Booking.com must have realised that their decision had unintended impacts on their own business as well as ours.

Accommodation: Managing Third Party Bookings

Our experience underscores the importance of diversifying your booking channels. Relying on a single platform, no matter how beneficial it may seem, exposes your business to significant risks. Here are a few key takeaways to consider:

  1. Spread Your Risk: By using multiple booking platforms, you can mitigate the impact of sudden policy changes or algorithm updates on any one platform. Consider using other popular booking sites like Airbnb, Expedia, and TripAdvisor, as well as niche platforms that cater to specific types of travellers.
  2. Enhance Your Direct Booking Capabilities: Invest in your own website and ensure it offers a seamless and user-friendly booking experience. Encourage direct bookings through special offers, loyalty programs, and personalised services that third-party platforms can’t match.
  3. Build a Strong Online Presence: Maintain an active presence on social media and other online platforms. Engage with your audience through regular updates, beautiful photos, and engaging content. Positive reviews and word-of-mouth referrals can also drive direct traffic to your website.
  4. Optimize for Search Engines: Ensure your website is optimized for search engines (SEO). By appearing high in search engine results for relevant queries, you can attract more direct traffic and reduce your dependence on third-party booking sites.
  5. Communicate with Guests: Keep your guests informed about the benefits of booking directly with you. Highlight the advantages such as better rates, exclusive packages, and the personalised touch that comes with direct bookings.

Moving Forward

While Booking.com and similar platforms will likely continue to play a significant role in the hospitality industry for those accommodation-based businesses, it is crucial not to become overly dependent on them. Diversifying your booking channels can protect your business from unexpected changes and ensure a steady flow of guests, regardless of shifts in third-party policies.

Don’t get caught out like I did!

Want to read some more blogs?  Click here to find more Reflections of a Reluctant Pub Landlady,

Picture of Liz King

Liz King

Lead Consultant @ Pub Doctors

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