It costs a company 5 to 10 times more to attract a new customer than it does to keep an existing one. And any business owner knows that selling to existing customers is easier than finding new ones. But when it comes to encouraging guests to come back, you can’t always rely on them remembering the warm welcome and first-class service you gave them.
Reminding them that you’re there will give them an incentive to come back and tell others about your property. Fortunately, there are lots of ways you can encourage repeat bookings. At the top of this list is establishing a customer database.
Gather together the customer contact details you already have – these may be handwritten scrawls in your reservations book or comments left in a visitors’ book – and store them together.
An index card system works well, while a computer database such as a spreadsheet is simple to update and easy to read. You can also store specific information about your customers’ needs and interests, and use this to make your contact with them more personal and effective.
Beyond basic contact details, you may also want to include extra information such as: Do your guests tend to book for a week, a weekend or one or two nights?What age group do your guests fall into?Do they come with a partner, family members or friends?Do they eat at your property or go out?Do your guests have hobbies that encourage them to return to your area, such as surfing or hiking?Where do they live and how easy is it for them to get to you?Do they drive or travel by public transport? If the latter, they may be interested in bus or train ticket promotions.
Remember there are data protection laws on how you hold and use the information you have gathered about your guests.
You must ask for their permission to use their details to contact them. But don’t be put off by the rules. You can manage your information simply to begin with and gather more by adding a tick box on your checking-in form for guests to confirm they are happy for you to contact them. You can then get in touch with them knowing they have already agreed to hear from you.
If you want to send marketing mail to customers who haven’t already opted in, you can do so but you do need to get consent from them that they are happy to receive further communications.
Include a form or card with your first mail, including wording such as: ‘If you do not wish to receive information, please tick this box and return.’ You can assume that if you don’t hear back from them, you can continue to mail them – the important thing here is that you asked and gave them the option to respond.
If you want to email your guests, you must obtain prior consent – this can again be done at checking-in. However, once you have the details, it is important to keep them up to date.
If you are planning to use your guests’ details for marketing your business, you won’t need to register with the Information Commissioner’s Office (ICO). This is only necessary if you are planning to sell the information you have gathered to a third party, such as another company.
You should remind your guests of all the great reasons why they should come back.
Think whether your guests would be interested in a Valentine’s special, Christmas away from home, a walking break to help clear post-winter cobwebs or a weekend of relaxation for parents-to-be – the options are endless.
To ensure your communication stands out, it should be accurate, professional and personalised.
Joanne McTiffin of Clough Bottom Farm Cottages in Clitheroe, Lancashire, uses local events to attract repeat bookings: ‘Most of what we do, especially in the wintertime or out of peak season, ties in with local events. In December, we did one with Santa Specials – a railway that has Santa on board. We also tied in with the summer Bowland Festival and we also link up with Lancashire Farmhouse Breakfast Week.
‘We try to offer repeat customers something different, usually based on things to do or common experiences. For example, during Lancashire Breakfast Week, everyone gets a free hamper.’
Traditional tricks of the trade keep the guest bookings coming for Number One in Blackpool. Landlady Clare Smith says, ‘We have a lot of special events going on in and around the town, so I send out an awful lot of information about each of those.
‘I also use my database in winter to send Christmas cards and I put a personal note and comment in, such as “I hope such-and-such went well” – that kind of thing is nice for the guests.
‘It’s good to remember those personal touches and make a note of it in your database as it puts you back into the front of their minds so they are encouraged to make another booking.’
With the help of appropriate marketing messages, your up-to-date database and some old-fashioned courtesy, your customers should come knocking on your door again and again.
The ICO has produced a useful guide to data protection for small businesses, Getting it right, which you can download from the ICO website.
Detailed advice on complying with the Act is also available on the Business Link website.
This feature is based on an article which appeared in the Winter 2008 edition of Quality Edge, VisitBritain's quarterly publication for quality-assessed accommodation.