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Study: Guest acquisition lags at small hotels

Knowledge gaps block 40 percent of small operators from adopting tech

Small Hotels Struggle With Guest Acquisition

Only 16 percent of small accommodations worldwide focus on attracting guests, while 49 percent prioritize daily operations, according to a SiteMinder study.

Summary:

  • 16 percent of small accommodation businesses focus on attracting guests, SiteMinder finds.
  • 40 percent cite knowledge gaps as a barrier to adopting booking technology.
  • Next-gen Little Hotelier adds tools once limited to larger properties.

ONLY 16 PERCENT of small accommodations worldwide spend more time attracting guests, while 49 percent focus on daily operations, according to a SiteMinder study. Although 53 percent would prefer to focus on guest acquisition, they remain occupied with property management tasks.


The study found that 40 percent of small operators cite a lack of knowledge as the main barrier to adopting technology that could attract more guests, while 29 percent maintain static room rates, changing them rarely or only once a year.

“Our conversations with accommodation providers show that managing daily operations such as check-ins and housekeeping remains essential, but it shouldn’t come at the expense of growing bookings,” said Leah Rankin, SiteMinder’s chief product officer. “Running a successful accommodation business today means giving hoteliers tools to work smarter, not harder.”

Meanwhile, SiteMinder launched the next generation of its Little Hotelier PMS, adding distribution and revenue tools previously limited to larger properties.

Small accommodation providers gain access to SiteMinder’s revenue solutions, Dynamic Revenue Plus and Channels Plus as part of the upgrade, the company said. Dynamic Revenue Plus is mobile-first and lets hotels act on live market data, including local events and competitor activity, optimizing bookings in real time. Channels Plus expands reach by connecting properties to multiple booking channels in a single setup.

Rankin said that as competition rises, small hoteliers have a prime opportunity to make their pricing and marketing more dynamic.

“By making Dynamic Revenue Plus and Channels Plus available through Little Hotelier, accommodation providers—from family-run B&Bs to independent hotels—can adjust rates as demand arises, maximize occupancy with more booking channels, and simplify operations within a property management system designed for their size.”

In June, SiteMinder reported a decline in summer bookings worldwide, with U.S. hotels down 6.72 percent compared to last year.

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