Hotel Revenue

Manager

Contact Us

    Edit Template

    Survival to date: Cape Town Hotels update August 2020

    Its almost like trying remember a night when one had too many drinks and there are only glimpses with many blanks in between. This is the only way I can compare the road travelled between mid March to now. I for one didn’t think we would see it through, but when the chips are down resourcefulness needs to be up. I saw this meme earlier the week which pretty much details our situation!

    meme

    We managed to reach 45-50% occupancy fairly consistently (after closing for March and April). The only way we could, was to revert to ‘the old way of finding new customers’ in an apparent ‘new world’ which have ‘changed the way we know it’.  (what a conundrum) We simply grabbed our area (google map) contacted all essential service suppliers as the lockdown progressed and certain industries was allowed to operate. We took our guest history and started one side (local domestic) and calling and emailing with follow ups daily. We doubled up our online communication through social media, emailers and we hounded every potential guest until we were told to go and …

    We realised we could not rely on OTA’s, wholesalers or any agent as they were mostly closed or abroad and wont travel. Our messages were always of hope, reassurance, peace, safety and value.

    Some of our clients converted their products into long term let with some success through 3rd party agents such as HouseMe and RentalGenie. (I call them the Booking.com of estate/rental agents). There is also FilmSpace, which is the Booking.com of the film/production industry where one can list rooms and or any available space for rental online. These platforms then match the space/rooms with their customer database and sales are concluded. (please have a look or if you need help contact me)

    Ultimately we need those internationals to return to see a full recovery covered with inter provincial travel. According to a recent report in BusinessTech  we could see borders open in a wide window of between Sep to Feb depending on peak infection rate. Nonetheless we still have a couple of months to push through. At least winter is subsiding and local leisure travel is allowed so it can only get better from now forward. If you are part of the Contingent Business Interruption insurance saga you should be getting some form of cash flow relief pay out soon (we are with Santam) but we will still run the full course getting 100% claim paid. (if you have insurance and they repudiated your claim, you may join a class action, just email me and I will point you in the right direction)

    A recent booking.com meeting concluded that demand was still very weak and as usual they tried to squeeze more discount out of our clients with their promotional chatter. Please be careful to not blindly follow their advice (which currently is based off non-availability of data as we were all closed or saw no business from them). Its dangerous to just accept and agree without critical thinking. Anyhow here are their stats based on 24 July week on week trend (10-17 vs 17-24):

    • Total demand up 12% (both local and international)
    • Mobile bookings 10% up
    • 20% of bookings is 2-7 days
    • 18% is family searches
    • 16% of searches is solo travelers
    • 54% of bookings is being booked 31-90 days (sept onwards)

    This concludes our monthly roundup.

    Remember: its not lack of resources, it’s a lack of resourcefulness!

    We wish you all the best and stay safe

    Best,

    Jaco.

    P.S. we have started a new venture that focusses on online marketing and specifically the mechanics and dynamics used by affiliate sales, online learning and coaching leaders. The aim is to integrate hotel room sales in this field which is untapped. This is a whole new world not affected by government regulations & lockdowns, borders and challenges of brick and mortar buildings. You might even be able to start your own business, the opportunities are there.

    If you need more info simply go to https://jacojacobs.com and signup for free!

    Previous Post
    Next Post

    About Us

    We are a team of seasoned hospitality professionals dedicated to helping hotels, resorts, and boutique properties thrive in today’s competitive landscape.

    Most Recent Posts

    Category

    Hotel Revenue Manager

    Telephone 021 551 7440
    P.O.Box 805, Milnerton, 7435

    Affiliations

    © Copyright, All rights reserved, 2025. Hotel Revenue Management.