Typically, the non-arrival of guests at the hotel is referred to as a “No Show”. In this, a person who has booked a room decides not to show up without notifying the Hotel or canceling the reservation.
A no-show hotel reservation is indeed a Hotelier’s worst nightmare which she has to face frequently.
What are the implications of the no-show hotel?
A no-show hotel leads to a loss of revenue. This is because the hotelier ends up with an empty room that can no longer be sold. Further, it leads to logistical inconvenience. In short, it hurts the Hotel’ Finances, Operations as well as Reputation.
What are the ways to deal with No Show Hotel Problem?
The best way to tackle and reduce no-show hotels is by utilizing the power of hotel management software like Booking Master.
Booking Master provides key tools like Channel Manager and Booking Engine.
Booking Master’s Channel Manager not only prevents overbooking but also reduces the risk of no-shows.
Furthermore, Booking Master’s Booking Engine makes the entire room reservation process easy and intuitive for guests. It certainly reduces the likelihood of no-shows and booking cancellations.
Maintaining effective communication with upcoming Guests is another way to reduce no-shows. Now what are the tools to enhance this communication? Well, these could be sending reminders about booking dates and requesting the guest to go through the cancellation policy.
It never hurts to ask Guests if they want to reschedule the plan.
Collecting Advance Deposits upon booking is a good way to ensure that Guests show up since they already made payment.
A Firm Cancellation Policy reduces bogus bookings.
Cancellation policies and penalties for no-shows should be communicated to guests at the time of booking. For example, in the case of Booking.com, the Guests should be made clear that they have to pay, say, 20 percent of the booking amount a certain number of days before check-in and then only their Booking would be considered confirmed.
The Cancellation Penalty needs to be well-strategized.
If cancellation penalties are too high, guests would prefer to not show up instead of cancelling the room to incur a penalty.
Incentivise Guests for booking rooms directly through your website. Booking Master’s Booking Engine is of great utility in this context. The incentives could be in the form of discounts, restaurant/bar coupons, free spa sessions, bonus points, and many more. This way the Hotelier appears trustworthy and the chances of no-shows are reduced significantly.
Overbooking is another effective strategy that Hoteliers can use to tackle no-shows. In this, Hoteliers need to sell more rooms than that are available. This is purely based on the assumption that there will be some no-shows.
Booking Master has its expert team to guide you on this based on accurate scientific projections backed by data. Otherwise, if wrong assumptions are made it could eventually lead to a situation where the hotel does not have enough rooms for the guests who show up.
If the Guest experience is top-notch the likelihood of no-shows gets reduced significantly.
Seasonality is another factor that needs to be considered. During peak season, when the demand for rooms is high, the possibility of no-shows also increases as customers have more options to choose from which could lead to a change in plan at the last minute. Hence, in peak season the Overbooking strategy works very well.
A satisfied customer is the best business strategy of all!
Building stronger relationships with your Guests is perhaps the most important method to reduce no-shows.
Your online reputation plays a key role in this. Booking Master’s Online Reputation Management System is your perfect companion. Utilizing solid SEO techniques and strategies Booking Master enhances your Hotel’s visibility nationally and globally. Positive Public Relations Management is a crucial aspect that prevents no-shows. Booking Master helps in building a comprehensive credibility of your hotel by curating a positive reputation.
Finally, it is important on the part of Hoteliers to offer exceptional and attentive service to guests as it can help build a trusting relationship with the customer. This is the very foundation of any Business. Substandard service takes a toll on various things including the Guest Turnout ratio. The trust of the Guest can reduce the risk of no-shows. Brand Recognition is a key aspect and Booking Master can play a crucial role in increasing your Brand value.
Stay ahead of competitors, with Booking Master.