Could "Splitting" Your Brand Yield More Revenue?

In a recent HotelNewsNow.com article, they give a perfect example of how splitting a hotel into two brands can reap benefits for a hotel. The example they use, MainStay Suites in Port St. Lucie in Florida, was reconfigured to include a Sleep Inn. It acted as a reprieve for retirees in the winter and a way to appeal to the drive-by traffic as just a place for a night’s stay.

Could split-branding work for your hotel? Here are 6 factors to consider when it comes to dual branding:

  1. Guests: Start by conducting a survey of your guests to accurately define your market’s level of diversity; there may be no fit for another brand at your hotel.
  2. Seasonality: Each brand should adapt to changes in season uniquely, yet cohesively – i.e. certain events may cater to one brand but not the other.
  3. Technology: Utilize technology to maintain your diverse guest room needs – maybe offer tiered bandwidth to cover both sets of guest needs.
  4. Budget: Budget allocation will drive the ability to serve guests; be sure you can allocate enough money to cover the second brand’s costs.
  5. Staff: Hire suitable employees for each brand; to maintain clarity of message and overall strategy, employees should be married to one brand, not both.
  6. Flexibility: Make it easy for guests to make the switch between brands and/or upgrade amenities.

Whether you split your brand or not, one thing is for certain, hotels need to be proactive about attracting upcoming generations. For example, one way to diversify your offerings without completely adding a new brand is to designate a portion of your guest rooms to meet the latest in cutting edge technology. Splitting your tech offerings allows you to take a more strategic investment in technology and better match guest demand.

What technology will you invest in next? How many guestrooms will you test it in first?