Is your Bed & Breakfast over priced?


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The INNkeepers Letter
by Janet Rogers

Is your B&B OVER PRICED?

Every time I stay at a B&B I am dreadfully reminded once again, just because a Bed and Breakfast is priced more
expensively, does not necessarily mean you get more. I found this to be true early on, and it still holds true to fact
12 years later. I hate to admit it, but I have been duped more than a few times.

In fact there are INNkeepers who like pricing their B&B's higher than other B&B's on purpose. They think this
approach says to the customer "I am a better B&B." In fact those B&B's are counting on it. In my opinion an
INNkeeper using this approach to pricing has very little business experience, and if you compare amenities you
might find the more expensive B&B actually has less to offer. They are using the theory "the more you pay the
more you get" and unfortunately some of us still fall for this theory.

The B&B that operates this way will eventually run into problems, the dissatisfied customer may not tell the B&B
Host, but they will tell others. "Word of mouth is powerful" and eventually this practice will hurt your business. You
may get the customer there once but believe me your customers won't fall for it a second time, and you will have
destroyed any chances of repeat business.

Then there are the B&B's always discounting their prices or running a deal. During a B&B's slow months I understand,
these slow months will vary depending on your geographic area. But In my opinion if you are discounting your rooms
during your regular season it's time to re-think your pricing statergy, bottom line your rooms are overpriced. Would you
pay the same dollar amount to stay in that same room as you are asking your guest to do? If the answer is no why would
you think somebody else would? Be honest with yourself. Alot of B&B's price themselves right out of the market and
wonder why they don't have more business. Get serious about your business. You can't just pull a price out of the air.
Research your area, find out what other B&B's in the area are charging, find out what the hotels are charging, do your
homework. Some B&B's will price their rooms higher to begin with, just to build in the customers discount. They think
the customer walks away happy and they feel like their getting a deal, and they usually do. This practice goes on every
where, but I refuse to get on the band wagon. I don't like to play games, and try and price our guest rooms accordingly.
By keeping our prices reasonable our business continues to thrive. I have repeat business and both weekday and week
end business. Maybe I'm missing the boat here but meanwhile our B&B is ranked in the top 3 percent of Bed and Break
fasts/Country Inns throughout the United States and Canada, I must be doing something a little right. If you have to give
a customer a $20.00 gas card to stay at your B&B that should be telling you something. Wake up! VALUE is the name
of the game.

I have learned that Innkeepers are regular people, just like with any business. Some are good, some not so good. Even the
ones that are good can't please everybody. But remember just because someone has a B&B does not make them
experienced in running a business.

Are you Asking the right questions?

I recently stayed at 2 different B&B's where the INNkeeper specifically told me that the room included a two person Jacuzzi.
Well neither one of these B&B's owned a two person Jacuzzi. They had a whirlpool shaped like a tub. If we were both 80
pounds each we might have fit, but my husband is a whopping 155 pounds and I am a whopping whatever, so no way could
both of us fit. Was I disappointed? Yes, the Innkeepers mislead us. They knew exactly what kind of tub they owned and if
they didn't, they would be reminded every time they cleaned it. But had they told me the truth, I would not have booked, and
they knew that. They probley thought I would not say anything about it, and they were right I didn't. So now when I book a
room with a two person Jacuzzi, I ask the shape, and if they tell me it is shaped like a tub, I will know right off the bat, bad
decision. We paid alot of money to take turns in a whirlpool. Also you can ask the INNkeeper if there is a picture of the
Jacuzzi on their website. Will I go back? absolutely not. As an INNkeeper you need to be honest with your guests, don't
mislead them. P.S. Didn't you know they will tell a hundred other people?

I couple of months ago I stayed at a Bed and Breakfast that I believe was "overpriced" Does having a Bed & Breakfast of
my own make me more critical? maybe, but I don't think so. I just stayed in another B&B and felt her prices were fine. So
how do you determine what to price your Bed & Breakfast?

Below I have listed some key questions to ask yourself, to help you in pricing your Bed and Breakfast.

Are you in a prime location? EXAMPLE: State attraction? Ocean? Lake?
Are there hotels or other B&B's in your town? Rate? Amenities?
Do you offer off street parking? (I stayed at a B&B and was afraid to leave my car.)
What is in your guest room besides a bed and nightstand?
What amenities do you offer? EXAMPLE: dryer, bath gels, radio, TV/DVD/CD etc.
Is your bed comfortable? When was the last time you got a "new" mattress?
Does your guest room have a pb? Do they have to share? Location? Hall?
What kind of breakfast do you serve?
Do you have a Jacuzzi, Fireplace in room?
Do you use designer bed linens? Towels?

It all adds up. Do not price yourself right out of the market. You might get them there once, but customers won't make the
same mistake twice.

How to open a B&B
What is a B&B
What is an INN
The INNkeeper
Ohio licensing requirements Bill # 223
Towels
Beds
Questions to ask when making a reservation.
How B&B Hosts look at other B&B Hosts
The Guest from Planet X
Guest Pet Peeves

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