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How to make your holiday accommodation profitable

How to make your holiday accommodation profitable

The main question for most of the owners is: how to make your holiday accommodation profitable?

If you own a hotel, motel or bed and breakfast you know that you are dealing with a highly perishable commodity. Unfortunately you can never make up lost revenues from yesterdays empty rooms. Empty rooms mean lost money.

Short term solutions such as offering last-minute discounts may be quick revenue earners but your business runs the risk that customers will get accustomed to lower prices and become resistant to rate increases.

The choice is often a difficult one. Either you sell your rooms at near cost, risk upsetting your more organised customers and give the market the idea that your rooms are “cheap” – or you leave the rooms empty. Another day with no income.

Ormita offers a new solution to this problem.

Rather than letting your rooms go unsold, Ormita can bring you new customers who would otherwise not have done business with you.

When you sell, you receive trade credits which you can use to purchase from other businesses in our network. This allows you to buy the goods and services that you need by using your previously unsold hotel rooms.

Ormita introduces new customers to your establishment, creates referral business, affords you a new way to expand without putting any of your existing cash at risk and lets you buy at a discount.

Think of it as banking your previously unsold rooms for later use…

And all sorts of things can be purchased with Ormita trade credits:

Advertising
Toiletries
Building Repairs and Maintenance
Cleaning Products
Food Items
Printing
Furniture
Gifts
Repairs and Maintenance
Professional Services
.. and much more

More importantly, you can even use the trade credits earned to pay for stays in other accommodation outlets in 23 countries. Sell your empty rooms for trade credits and buy rooms in other cities or countries as a reward for your staff, for your own family, or even to on-sell for cash to your regular guests. Some of our hotel members even use trade credits to purchase local entertainment and restaurant vouchers which they sell to their existing clients for cash.
So let’s go over the benefits once more:

Firstly, your rooms are sold off-market to a new customer base.

You sell at market rates – eliminating the need to discount.

You can block out certain dates or times of year – ensuring that you aren’t going to lose any cash clients by accepting Ormita members as customers.

You use the new trade credit revenue you generate to pay for your existing and planned costs.

In summary: The Ormita Commerce Network can help by providing your business with access to a range of goods and services — all without you needing to spend any cash. You bank your unsold rooms and get things you need in return.

It costs nothing to join, there are no monthly or annual fees and no fee to sell. You only pay 7% in cash when you spend your Ormita trade credits – meaning that you say 93% on any goods or services you buy using Ormita online at http://www.ormita.com .

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