How Much Money Do You Lose When Your Hotel Pool Is Closed?

November 5, 2017


Falcon-Commercial-Pool-Services-Blog-Pool-Closed

Closing a hotel pool, even for a day, can have a serious financial impact on your facility’s bottom line.

When making the decision to stay at one of the fine hotels in the Orlando area, potential guests check out the amenities offered by each site. A hotel pool is always one of, if not THE most valued commodities. Pools are the height of luxury, especially if they’re heated or have features such as slides or attached spas. So when a guest shows up for their stay and your pool is closed for repairs, you have a costly issue on your hands.

There’s an old saying that “you get what you pay for”. Hotel guests have an expectation that when they are paying for a hotel room, they are receiving all of that hotel’s amenities, including the pool. When one sees that the pool that helped push them toward booking their stay is closed for unscheduled repairs, they will demand a partial refund.

When you look at the numbers, the cost of closing your pool quickly adds up. When customers demand a partial refund, most hotels are likely to grant such a request, given that their consumer satisfaction scores might take a hit if they don’t do everything in their power to combat the guest’s displeasure.

Numbers Don’t Lie

Let’s say you’re an 800 room hotel, with an average rate of $112 per-night. A family’s stay of five nights would net your property $560 per-room. At peak season, while operating at capacity, you’re looking at $448,000 net over that five night period.

Now, assume your pool is closed for a large scale repair as a result of a catastrophic incident brought on by wear and tear. If you offer each guest $100 in partial refunds (less than 20%) then you’re looking at a loss of $80,000. That’s a devastating chunk of change.

When your pool repairs are lengthy, guests may cancel their reservation and book with one of your competitors instead. Now, instead of having a full 800 rooms booked, perhaps you lose 15% of your existing reservations. This brings you to only 680 rooms booked. Now, your net shrinks from $448,000 to $380,800. This is a loss of $67,200.

Hotel financial losses associated with guest dissatisfaction to pool emergencies can be avoided. Preventative hotel pool maintenance programs, like those offered at Falcon Commercial Pool Services, tackle issues that, if left untreated, become cost inducing disasters. By taking care of aging or malfunctioning equipment before it breaks, you save yourself time, money and reputation.

For more information about Falcon’s maintenance programs, click here or call us at 407-857-1750.