The Death of the Bed and Breakfast Business


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The Death of the B&B will be interesting for all who run a bed and breakfast business or who want to start a bed and breakfast business, Things have changed...

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The Death of the Bed and Breakfast Business

  1. 1. The « Death » of the B&B Are you on life support?
  2. 2. We’re in crisis • The economy • The competition • Discounting • OTAs • Trip Advisor • Amazon • What’s next?
  3. 3. But first….Housekeeping • Please turn off Facebook, emails and all distractions for the next 40 minutes • Have a pen and paper ready to take notes
  4. 4. Who am I?
  5. 5. Why should you listen to me? • Built my own B&B in France from almost nothing to making over US $130,000 a year with just 4 rooms, in less than 2 years • I use no OTAs, directories or third party marketing companies • Built my whole business on relationships and « expert/trusted advisor model »
  6. 6. More about me.. • Award winning online marketer • Author of Bed and Breakfast Magic! How to Transform your B&B into a Booming Six Figure Business, available on Amazon • Speaker • Coach and mentor B&B owners just like you, around the world • I don’t have any special powers 
  7. 7. I recently did a survey – here’s the results
  8. 8. Survey results… • 79% are focussed mostly on getting more guests, and only 14% are focussed on selling more to existing guests (the easiest money) • 68% are overwhelmed or don’t know what to do on a daily basis in their business • 68% are either not growing at all or growing just a little bit
  9. 9. More survey results • 68% are either procrastinating, distracted or not doing what they know they need to do because they are not accountable to anyone • 74% don’t have a sales and marketing system to consistently attract guests and invite them to buy more, and most are using OTAs • 83% are concerned in some way about money
  10. 10. So please – stay with me because… I’m going to show you how we got here and the opportunities that now exist for you should you choose to take advantage of them
  11. 11. Plus… • After I’ve walked you through this, if you feel you need help, you will have the opportunity to get that help at the end
  12. 12. Here’s what we’ll cover • The good old days • How did we get here? • What are the problems we face? • The enormous opportunity for you
  13. 13. Let’s get started
  14. 14. The good old days • Before the internet • We made our own decisions • We had the choice • We felt in control of our businesses
  15. 15. So what happened? • The internet • Online booking • Online review sites – Trip Advisor • Online travel agents • You gotta be in the « club »
  16. 16. The downward spiral • Lost control of our business • Lost our power • Paying commissions • Dependent on « them » • Making less money • Feelings of helplessness
  17. 17. Why?
  18. 18. Outside circumstances v inner thoughts
  19. 19. Inside = Outside • Thoughts • Feelings • Beliefs
  20. 20. Beliefs Thoughts Yourexperience/yourlife Feelings
  21. 21. « Fact » - Everyone’s looking for a deal • Thought = I have to discount my prices • Feeling = Fear of losing business/money • Belief = I’ll have no guests, I’ll go out of business and I’ll lose everything
  22. 22. « Fact » I don’t know how to do marketing • Thought = It’s not my thing • Feeling = I feel stupid, because I « ought » to know • Belief = Someone else needs to do it for me
  23. 23. « Fact » I feel overwhelmed • Thought = I don’t know what to do • Feeling = poor me (victim) • Belief = I’m safer if I stay where I am
  24. 24. « Fact » I’m worried about money • Thought = I have to take any guest at any cost • Feeling = anxiety and frustration • Belief = It’s better to fill my beds with anyone rather than have them empty
  25. 25. You’re vulnerable • To online travel agencies • To other directories and their promises • At the mercy of the economy • As a price-driven commodity • Dis-empowered and dependent
  26. 26. The business model that corresponds with that thinking is…
  27. 27. Online Travel agents Directories Others peoples’ busineses CRM system to offer more products and services and keep in touch Generate more leads, blogs and share on social media You get some good reviews and some bad You deliver an experience that could be exhausting you Your website
  28. 28. Online travel agents Trip Advisor Amazon Anybody who else who we allow to swallow us up making all the decisions and taking ALOT of commission – leaving you totally dependent B&B SH B&B InnSH Inn SH InnInn B&B
  29. 29. Here’s the horrible truth • When you’re using that business model, you don’t really have a business • You are a supplier of beds to the OTAs • You are a commodity • Your guests are not even your guests • You are at the mercy of them • You are not sustainable And here’s the biggie – people are not being served
  30. 30. The magic happens inside first • What got you to point A – where you are now, will not get you to point B – where you want to go • Nothing changes, unless YOU change • It begins with your thoughts
  31. 31. Back in the day when… • I was making around €10k a year my thought process went something like this….
  32. 32. Someone’s asking for a discount.. • Thought - I wonder how low I need to go to get this sale • Feeling – Anxiety • Belief - There’s no more money coming, so I have to get this guest at whatever cost to me
  33. 33. And the result of that thinking? • Resentment on my part because I’d discounted my price • Betrayal of myself and the value of my B&B • Low energy because of my fear • Which resulted in poor customer service • No repeat business • More people asking for discounts
  34. 34. I have to be around ALL THE TIME • Thought – my guests are special and they need me all the time • Feeling – fear of not being liked • Belief – I’m selfish if I put my own needs first, and I don’t deserve to have a life outside
  35. 35. And the results of that thinking? • Resentment on my part because I have let myself down by having no boundaries • Sense of frustration which guests subconsciously feel • Becoming tired and irritable over time • Eventual burn out
  36. 36. Guests don’t want me to sell to them • Thought – They won’t like me • Feeling – Inadequate and at the same time, superior • Belief – Selling is sleazy anyway, and it’s beneath me
  37. 37. And the results of that thinking? • Afraid to offer guests something else in case they don’t like it, or it’s not good enough • Staying small and preventing expansion • Feeling stuck and trapped • Poor results in business and in life
  38. 38. So what changed? • Thoughts • Feelings • Beliefs
  39. 39. Example • Thought – I am taking care of myself first • Feeling – Empowerment • Belief – I am valuable , and I deserve to have a life
  40. 40. Another example • Thought – My private time is important for me and my guests • Feeling – rested and energised • Belief – I deserve to take time out
  41. 41. Final example • Thought – What else can I offer my guests? • Feeling – In service to others • Belief – Selling is helping others to get what they want
  42. 42. Results of THAT thinking • Business boomed to over €100k • Greater self esteem • Self confidence • Expanded skill set which I can use anywhere • Happy guests who come back again and again, write great reviews and refer their friends and family • Thriving business
  43. 43. Which in turn allowed me to develop this business model, and help others
  44. 44. What does it mean? • My business belongs to me • I don’t rely on anyone else to bring me guests • My guests are my guests and I take care of them very well • I have a valuable business asset that I can sell • I am in control
  45. 45. What’s happened? • To your vision of working for yourself, getting out the rat race and having the freedom and lifestyle you dreamed of? • Have you traded your dream to become a « mattress company »
  46. 46. Is it time to ask yourself some questions?
  47. 47. Why did I start this business? What is it I want to accomplish? What’s not working for me right now? What do I believe is preventing me from getting what I want? Why do I think I have that problem What’s going to happen if I don’t resolve it?
  48. 48. The opportunity for you
  49. 49. Your competitors are doing this: • Discounting their prices to get guests at any cost • Working themselves to death • Have become a commodity based on price alone • Have become « mattress companies » • Do not have a Customer Relationship Management System to really take care of their guests
  50. 50. And this…. • Are afraid of selling, so are not meeting their guests needs • Relying on OTAs to bring them guests, • Are constantly worried about money • Anxious and frustrated • Are not doing the things they know they need to do to move forwards
  51. 51. And this…. • Have no idea what to do to move forwards • Have no systems in place to attract more guests • Are working the dysfunctional business model I showed you earlier • Have become « mattress suppliers » • Are habitually thinking negative and fear-based thoughts • Are not taking responsibility and playing small
  52. 52. Can you see the ENORMOUS opportunity for you?
  53. 53. So where do you start?
  54. 54. 5 Step Magic! Plan + 10 Tips
  55. 55. 5 Step Magic! Plan • Step 1 Become the Beacon of Hope for your area – claim your place! Research what people are looking for when they come to your area and be the answer to their prayers. • Start promoting your area, instead of promoting yourself. Become the expert on your local area, the one that everyone looks to. Come from a « giving » energy, rather than « what can I get » energy
  56. 56. Step 2 • Upgrade your website with the words they use and make it easy for them to find their way to the booking page. Stop talking about you and start inspiring your visitors with what’s possible for them, with you. • Make it easy for them to choose you
  57. 57. Step 3 • Cure Disposable Guest Syndrome! And start building long-term relationships • Focus on increasing customer spend, by offering more of your products and services before they arrive and during their visit. Get good at selling – help your guests to get what they want – no-one else is doing this!!
  58. 58. Step 4 • Focus on increasing your personal network, rather than trying to sell rooms. The bigger your network, the safer you’ll be. • Stop discounting, and de-valuing yourself and your B&B. • Find people online you can help. • Connect with « leaders » and become one of them yourself
  59. 59. Step 5 • Use technology to automate the sales process and the upsell process, and the asking for referral process • Get some help in your B&B (if you haven’t already) and make a decision to really focus ON your business, instead of being IN it all the time • Focus on marketing
  60. 60. 10 tips for you…. • Begin to catch yourself when you think badly of yourself, don’t judge, just notice • Start changing those thoughts around into something more empowering for you • Put some boundaries in place so you get some time off every day • Book a vacation and close during the low season • Make a decision that you’ll reach that goal this year
  61. 61. More tips…. • Reach out and add at least another 500 people to your network within the next 30 days • Get in touch with your past guests and start re- building that relationship • Ask your past guests to help you out and take a quick survey to find out what they want • Develop something that they would buy from you • Put a real sales and marketing system in place
  62. 62. Get some help • You just can’t do it on your own • You don’t know what you don’t know • You need accountability otherwise you won’t do it
  63. 63. My invitation to you • Work with me to change your life • We’ll implement your new tailor-made business model together • Gain new-found confidence in yourself and your ability to run a successful business
  64. 64. If you’re even a little worried about money • Your network is everything • Your reputation is everything • Your integrity is everthing • Your leadership is everything • Stop hiding and being annoymous
  65. 65. It’s only going to get worse • The OTAs are taking over • Amazon have started offering hospitality deals now • More and more people are giving up and becoming a supplier of mattresses • How long before the independent lifestyle you dreamed of is gone forever?
  66. 66. If you feel you need help…
  67. 67. Book a confidential 1:1 call with me Let’s talk 