It is taken for granted that restaurants have to worry about food service safety, but it doesn’t stop there! Anyone serving any type or quantity of food to the general public should be concerned as well.
It never occurred to me when I owned a bed and breakfast the harm that could be done by simple procedures, such as breaking eggs into a bowl and leaving them on the counter or defrosting frozen food. However, harmful bacteria doesn’t need much time in a warm environment to grow and therefore potentially making your guest sick. Better yet, the proper sanitation of countertops and hands is equally important. We strongly encourage anyone serving food to enroll in a food service safety class, such as ServSafe. This is a nationally recognized organization which is known by all health inspectors nationally. When the health inspector is at your door and things are not going well, you will gain their respect and a few extra points for taking a food service safety class and becoming better informed. So don’t wait! Be proactive and you’ll be surprised by the information you will learn and better understand the goals of health inspectors.
Call or e-mail us and we will assist you in finding a food safety class near you. Just call 207-563-2772 or mailto:rlevitan@oatesbredfeldt.com
Monday, January 15, 2007
Monday, December 18, 2006
2007 New Year's Resolutions
It is the start of the New Year and this is it! You have decided to finally quit your job in the corporate world and take the plunge into Innkeeping! You are serious, but what to do first? Let’s outline the seven steps to successful Inn ownership in 2007!
1. It is time for a reality check
2. Evaluate your financial situation
3. Define your Inn model and the needs of your family
4. Conduct your search
5. Evaluate the numbers
6. Make an offer
7. Quit the job and close on the Inn!
It is time for a reality check. First, ask yourself if you really want to do it? What impact will it have on the family? Do you really want to work with your significant other 24 hours a day? Can you give up the weekend activities with your friends? Can you adjust to a different lifestyle? Income will be adjusted, can you adapt or will you need a defibrillator? It is okay if you say Innkeeping isn’t for you, but if you are still saying you can deal with these changes, let’s go forward.
Evaluate your financial situation. How much money is in your savings account? What is the capital in your home? How long will it take to liquidate your home? How much money is in your 401K (we don’t really encourage using it, but it is good to have as a back- up plan)? Are there investments that can be liquidated? Will your family be able to assist you in the investment? Finally, look under the mattress and make sure that all monies are accounted for. When this is all tallied, keep in mind that a bank will be asking for about a 25% investment from you when purchasing an Inn. Now you know the price point that you can realistically afford to purchase.
Define your Inn model and the needs of your family. In the Fall, 2005 newsletter (available on our website in newsletter archives), we had an in-depth discussion on building a model. In addition to building a model that works for you, your individual family needs have to be considered as well. Do you have children at home? Are they old enough to be part of the Inn or do you need to have private space away from the Inn? Can you live in a conservative owner’s quarters to begin with and then expand into larger quarters as the time passes? All of these considerations should be incorporated into your model.
Conduct your search. Visit Inns, stay at Inns, speak with Innkeepers, and find an area where you will truly enjoy living. Join Innkeeping associations, network with other people who want to become Innkeepers, and be open to new ideas. This will be a rewarding journey if you approach it with your “eyes wide open”.
Evaluate the numbers! You have found an Inn that meets your needs. The emotions are running high and you need to make an offer before someone else buys it! STOP!! Rein in the emotions and make a logical evaluation of the numbers. Make sure that it all makes sense and hire professionals to assist you. We have been involved with too many Innkeepers who now need assistance because of financial hardships. This could have been avoided if only they had evaluated the Inn prior to purchasing it. SLOW DOWN!
Make an offer. You have poured through the numbers and everything seems to make sense. Make an offer and move forward. This is a stressful time and it is important to have a good working relationship with the Innkeeper who owns the Inn of your dreams. Howard has a saying, “there is a lot between the cup and the lip”, meaning that the offer is only the beginning. There will still be many negotiations as you work through the purchase and sale agreement.
Quit the job and close on The Inn! The offer has been accepted, you have completed the purchase and sale agreement, and the bank has approved your financing. You have waited a long time to do this and have had a good time doing it! Quit the job and don’t look back. It is time for a long overdue lifestyle change. The Inn is in your hands now. Our words of wisdom are to have a good sense of humor, remember that decorating is tax deductible, take at least one full day a week off to enjoy with your partner, and enjoy the new lifestyle. You worked hard to get here and now we want you to enjoy it!
P.S. Burn the suits now because you won't be needing them again! Have Fun!
1. It is time for a reality check
2. Evaluate your financial situation
3. Define your Inn model and the needs of your family
4. Conduct your search
5. Evaluate the numbers
6. Make an offer
7. Quit the job and close on the Inn!
It is time for a reality check. First, ask yourself if you really want to do it? What impact will it have on the family? Do you really want to work with your significant other 24 hours a day? Can you give up the weekend activities with your friends? Can you adjust to a different lifestyle? Income will be adjusted, can you adapt or will you need a defibrillator? It is okay if you say Innkeeping isn’t for you, but if you are still saying you can deal with these changes, let’s go forward.
Evaluate your financial situation. How much money is in your savings account? What is the capital in your home? How long will it take to liquidate your home? How much money is in your 401K (we don’t really encourage using it, but it is good to have as a back- up plan)? Are there investments that can be liquidated? Will your family be able to assist you in the investment? Finally, look under the mattress and make sure that all monies are accounted for. When this is all tallied, keep in mind that a bank will be asking for about a 25% investment from you when purchasing an Inn. Now you know the price point that you can realistically afford to purchase.
Define your Inn model and the needs of your family. In the Fall, 2005 newsletter (available on our website in newsletter archives), we had an in-depth discussion on building a model. In addition to building a model that works for you, your individual family needs have to be considered as well. Do you have children at home? Are they old enough to be part of the Inn or do you need to have private space away from the Inn? Can you live in a conservative owner’s quarters to begin with and then expand into larger quarters as the time passes? All of these considerations should be incorporated into your model.
Conduct your search. Visit Inns, stay at Inns, speak with Innkeepers, and find an area where you will truly enjoy living. Join Innkeeping associations, network with other people who want to become Innkeepers, and be open to new ideas. This will be a rewarding journey if you approach it with your “eyes wide open”.
Evaluate the numbers! You have found an Inn that meets your needs. The emotions are running high and you need to make an offer before someone else buys it! STOP!! Rein in the emotions and make a logical evaluation of the numbers. Make sure that it all makes sense and hire professionals to assist you. We have been involved with too many Innkeepers who now need assistance because of financial hardships. This could have been avoided if only they had evaluated the Inn prior to purchasing it. SLOW DOWN!
Make an offer. You have poured through the numbers and everything seems to make sense. Make an offer and move forward. This is a stressful time and it is important to have a good working relationship with the Innkeeper who owns the Inn of your dreams. Howard has a saying, “there is a lot between the cup and the lip”, meaning that the offer is only the beginning. There will still be many negotiations as you work through the purchase and sale agreement.
Quit the job and close on The Inn! The offer has been accepted, you have completed the purchase and sale agreement, and the bank has approved your financing. You have waited a long time to do this and have had a good time doing it! Quit the job and don’t look back. It is time for a long overdue lifestyle change. The Inn is in your hands now. Our words of wisdom are to have a good sense of humor, remember that decorating is tax deductible, take at least one full day a week off to enjoy with your partner, and enjoy the new lifestyle. You worked hard to get here and now we want you to enjoy it!
P.S. Burn the suits now because you won't be needing them again! Have Fun!
Wednesday, December 06, 2006
Yield Management? Not!!
I was looking at the December edition of PAII's Innkeeping this morning, and had a thought that I wanted to pass on. Clearly this falls in the range of “for what it is worth.”
I have heard Bill Carroll talk several times on Yield Management, including at last year’s PAII Conference. He is clearly a bright and thoughtful professor. However, this discussion turns me off every time I hear it. It seems to be all about the money and not about the guest. It seems to be the antithesis of the kind of hospitality that we strive for as Innkeepers. Even mentioning the possibility of overbooking rooms and having different rates for the same type of rooms on the same days, makes me cringe. Working hard to have a strong Inn business is something we have taught for many years, but the means of achieving this goal also matters. I think, bottom line, that Yield Management is perhaps the opposite of what we should be teaching Innkeepers or Aspiring Innkeepers. Our segment of the Hospitality Industry has always, always differentiated ourselves based on the high level of individual hospitality we provide to the guests. This has helped us considerably in the tough times following 9/11 when the larger hotel industry was killing itself with discounting and hotels.com type distribution channels. In my opinion, the future of our way of Innkeeping seems to depend upon increasing the level of hospitality to the guests, not becoming more institutionalized and impersonal. We need to continue to think about what is the next amenity that we can provide to the guests, not how much money we can get.
Now, Bill Carroll is writing about Demand Management. Once I got past the Yield Management stuff in the article, however, I actually thought that some of it made some sense to me. Analyzing marketing expenses, sources of contacts, and tracking web results (i.e. spending time trying to figure out who the guest is, and why and how he finds the Inn) is all something that most good Innkeepers have been doing for years. Asking the question “How did you hear about us?” is such a standard question that every Innkeeper must ask a prospective guest. Treating “loyal guests” (i.e. repeat guests) as special is one of the essentials of good Innkeeping. I recall an article in Innkeeping many years ago by Maureen McGee from Rabbit Hill Inn in Vermont, on how to answer telephone calls for reservations. This was done before anyone ever heard about the Internet. Some of this article is clearly still relevant. Asking about why the guest was coming and how they heard about the Inn were such basics even at that pre-web time. Tracking sources of contacts has been present from the earliest days of bed and breakfast reservation software.
In sum, let’s get back to basics. If we treat all the guests as very special, they may want to come back. If we treat repeat guests even better, they might clearly refer more business to us. No matter how much the Internet and computers become a part of our lives as Innkeepers, the best, least expensive, and most lasting form of marketing, is and always will be treating the guests to superb hospitality. Modern electronic marketing has become very important, and will succeed if we remember that is all about serving the guest and their needs. If Yield Management is the way of the future, then I have sincere doubts about how we can continue to differentiate ourselves from every chain hotel off the highway.
I have heard Bill Carroll talk several times on Yield Management, including at last year’s PAII Conference. He is clearly a bright and thoughtful professor. However, this discussion turns me off every time I hear it. It seems to be all about the money and not about the guest. It seems to be the antithesis of the kind of hospitality that we strive for as Innkeepers. Even mentioning the possibility of overbooking rooms and having different rates for the same type of rooms on the same days, makes me cringe. Working hard to have a strong Inn business is something we have taught for many years, but the means of achieving this goal also matters. I think, bottom line, that Yield Management is perhaps the opposite of what we should be teaching Innkeepers or Aspiring Innkeepers. Our segment of the Hospitality Industry has always, always differentiated ourselves based on the high level of individual hospitality we provide to the guests. This has helped us considerably in the tough times following 9/11 when the larger hotel industry was killing itself with discounting and hotels.com type distribution channels. In my opinion, the future of our way of Innkeeping seems to depend upon increasing the level of hospitality to the guests, not becoming more institutionalized and impersonal. We need to continue to think about what is the next amenity that we can provide to the guests, not how much money we can get.
Now, Bill Carroll is writing about Demand Management. Once I got past the Yield Management stuff in the article, however, I actually thought that some of it made some sense to me. Analyzing marketing expenses, sources of contacts, and tracking web results (i.e. spending time trying to figure out who the guest is, and why and how he finds the Inn) is all something that most good Innkeepers have been doing for years. Asking the question “How did you hear about us?” is such a standard question that every Innkeeper must ask a prospective guest. Treating “loyal guests” (i.e. repeat guests) as special is one of the essentials of good Innkeeping. I recall an article in Innkeeping many years ago by Maureen McGee from Rabbit Hill Inn in Vermont, on how to answer telephone calls for reservations. This was done before anyone ever heard about the Internet. Some of this article is clearly still relevant. Asking about why the guest was coming and how they heard about the Inn were such basics even at that pre-web time. Tracking sources of contacts has been present from the earliest days of bed and breakfast reservation software.
In sum, let’s get back to basics. If we treat all the guests as very special, they may want to come back. If we treat repeat guests even better, they might clearly refer more business to us. No matter how much the Internet and computers become a part of our lives as Innkeepers, the best, least expensive, and most lasting form of marketing, is and always will be treating the guests to superb hospitality. Modern electronic marketing has become very important, and will succeed if we remember that is all about serving the guest and their needs. If Yield Management is the way of the future, then I have sincere doubts about how we can continue to differentiate ourselves from every chain hotel off the highway.
Wednesday, September 13, 2006
Held Hostage by your Inn Chef?
For those in the full service Country Inn world, one of the greatest fears is to be in the middle of dinner service one evening, only to hear shouting from the kitchen as your chef walks out never to return. As this happens not infrequently with "artistic" staff people, it is very important for all Innkeepers to take control of their destiny by planning for this event before it happens. If you are not "held hostage" to your chef, and he or she knows it, you may never have to deal with this issue.
One of the first elements of the plan is to make sure that in the event of any calamity in the kitchen, be it a walk out or simply a work injury, you are able to complete service through other staff members or by your own familiarity with the menu and cooking techniques. Most Innkeepers have some abilities in the kitchen, and by watching and practicing where appropriate, should be able to at least pinch hit for a night or two. At our Inn in Maine, we took that a step further. We had developed the ability to routinely run the kitchen at least once every few weeks to give the chef a needed day off. The chef still prepared all the food prior to actual service, and we learned how to cook and plate it. The result was that the chef knew that we could survive without him if we had to, and this eliminated a lot of ego issues. During the slower Winter seasons, once of us actually became the sous chef, helping with plating and learning his techniques. In a small dining room operation this turned out to be an excellent plan.
In larger Inn restaurant operations, the plan is different. Here, the goal is to make certain that the chef spends as much time as necessary developing the skills of his sous chef, so that in the event of an emergency or a problem, that individual can step up and replace the chef, at least in the short term. In essence the "plan" is similar to what happens in the corporate world, i.e. the chef is required as a part of his job to train his replacement and to have qualified backup at all times. Thus, the care and feeding of the sous chef becomes a very important part of the plan.
The key to proper management of kitchen staff is to be proactive, to make a concrete plan, and to make certain that "hostage" is never a word to be associated with your operations.
One of the first elements of the plan is to make sure that in the event of any calamity in the kitchen, be it a walk out or simply a work injury, you are able to complete service through other staff members or by your own familiarity with the menu and cooking techniques. Most Innkeepers have some abilities in the kitchen, and by watching and practicing where appropriate, should be able to at least pinch hit for a night or two. At our Inn in Maine, we took that a step further. We had developed the ability to routinely run the kitchen at least once every few weeks to give the chef a needed day off. The chef still prepared all the food prior to actual service, and we learned how to cook and plate it. The result was that the chef knew that we could survive without him if we had to, and this eliminated a lot of ego issues. During the slower Winter seasons, once of us actually became the sous chef, helping with plating and learning his techniques. In a small dining room operation this turned out to be an excellent plan.
In larger Inn restaurant operations, the plan is different. Here, the goal is to make certain that the chef spends as much time as necessary developing the skills of his sous chef, so that in the event of an emergency or a problem, that individual can step up and replace the chef, at least in the short term. In essence the "plan" is similar to what happens in the corporate world, i.e. the chef is required as a part of his job to train his replacement and to have qualified backup at all times. Thus, the care and feeding of the sous chef becomes a very important part of the plan.
The key to proper management of kitchen staff is to be proactive, to make a concrete plan, and to make certain that "hostage" is never a word to be associated with your operations.
Tuesday, August 15, 2006
Contract Pricing
When it comes to decorating Innkeepers have a variety of tastes and variations of themes. Whether it is antiques, reproductions or new furniture, it has to be of high quality. There is a way to purchase high quality furniture at lower pricing. It is called "contract pricing". Simply identify a manufacturer of furniture that you like and proceed to their website for information on how to contact them via telephone. When contacting the company, ask to speak with the department that handles contract pricing. When you have arrived at the correct department, advise them that you are an Innkeeper and ask them if they provide contract pricing for Inns. This usually results in purchasing furniture directly from the company at significant savings. This worked for us when we were Innkeepers. The manufacturer we worked with was Hickory Chair. We managed to purchase a $4,800 bedframe at a cost of $1,600. Happy shopping!
Wednesday, August 09, 2006
Marketing 101: Differentiation and Niche Marketing
All Innkeepers are concerned with improving the bottom line. No matter how much control over expenses you apply, how can you best increase room sales? Most Innkeepers know that the Internet has a bias in favor of destination locations. These are the historical travel sites in each state that are must sees for travelers. So how do Innkeepers grow their businesses if they are not in one of those “destination” locations that are being Googled more often than other searches? Or, even if the Inn is located in a destination, how can you make your Inn stand out from the pack?
The challenge is called “differentiation.” How can you make your Inn appear different (read that “better”) than the rest? The answer is the same, whether or not you are in a destination location. Niche marketing (called “Segmentation”) is all about making your Inn standout from the rest. The foundation of niche marketing is the development of packages which combine the experience of staying at your Inn and eating your great meals (whether bed and breakfast or full service) with one or more special experiences in your area. Here we are segmenting the market into small niches. We are trying to attract all forms of interests. The packages are easy to put together and can be unlimited in scope. Whatever adventure-type activities you have in your area like whale watching, kayaking, hiking, biking, antiquing, golfing, fishing, or whatever can be combined into a great package along with a stay at the Inn and one or more meals. The key is developing unusual packages that differentiate your Inn and convince your prospective guests that you are special.
This Niche Marketing concept was first developed by Disney to increase sales at their theme parks. It has been adopted by the Cruise lines which now make more money per traveler on experiences off ship than they do on the cruises. Finally, the big resorts have taken this up under the concept of “Cruise Ships on Land.” If you want to really improve the bottom line consider this one of the best ways to stand out from the rest of the Inns in your area.
Article written by Howard Levitan, Oates & Bredfeldt, LLC
The challenge is called “differentiation.” How can you make your Inn appear different (read that “better”) than the rest? The answer is the same, whether or not you are in a destination location. Niche marketing (called “Segmentation”) is all about making your Inn standout from the rest. The foundation of niche marketing is the development of packages which combine the experience of staying at your Inn and eating your great meals (whether bed and breakfast or full service) with one or more special experiences in your area. Here we are segmenting the market into small niches. We are trying to attract all forms of interests. The packages are easy to put together and can be unlimited in scope. Whatever adventure-type activities you have in your area like whale watching, kayaking, hiking, biking, antiquing, golfing, fishing, or whatever can be combined into a great package along with a stay at the Inn and one or more meals. The key is developing unusual packages that differentiate your Inn and convince your prospective guests that you are special.
This Niche Marketing concept was first developed by Disney to increase sales at their theme parks. It has been adopted by the Cruise lines which now make more money per traveler on experiences off ship than they do on the cruises. Finally, the big resorts have taken this up under the concept of “Cruise Ships on Land.” If you want to really improve the bottom line consider this one of the best ways to stand out from the rest of the Inns in your area.
Article written by Howard Levitan, Oates & Bredfeldt, LLC
Tuesday, August 01, 2006
Tough Times for Innkeepers
Over the last few months we have talked to many, many Innkeepers around the country to see what is happening out there. We have heard a lot about the wars around the Globe, the weather, the high gas prices, and the poor economy. The hopes of the Early Spring and the nice advanced bookings for the Summer Season seemed to fade out with the rain, heat, and humidity of late. The so-called real estate boom seems to have burst with the Federal Reserve continually raising interest rates, and everyone is hoping for a soft landing for the economy in general. Yet, despite the doom and gloom, many Inns are having an upturn in business, and are reporting record results. What is this all about? Why is it happening or not happening for you?
Marketing, marketing, marketing. We used to look at location as the bottom line of the Inn business. While the new focus of the Internet is clearly on destination locations in the search engines, the smart Innkeepers who are not blessed with a historical destination location are remaking their Inns into “virtual destinations” on the web. This is a combination of creating interesting packages and exciting itineraries to attract new guests to their area. In essence, these Innkeepers are letting the traveling public know what there is to do and see in their location, and putting together great packages, full of adventures, that will help people make the decision to come to stay with them. This niche marketing is then distributed over their web sites and through electronic marketing (email marketing) to help create the buzz and the overall demand for the Inn. The bottom line is that it works.
In addition, the remarkable ability to portray your image on the web to prospective guests depends totally on creating an interesting, easy to navigate web site with great pictures. At the last PAII Conference in Phoenix, this last point was driven home by a demonstration of before and after web photography. The difference between the sites with great digital photography and just home grown attempts was dramatic. We cannot more strongly recommend professional photography for web sites. It is the essence of success.
Finally, repeat rates seem to be falling off across the board as guests seem to be seeking new experiences for their vacations. It is a whole lot more effective, and less expensive, to coax guests to return to the Inn, as opposed to finding new guests to fill the rooms. That requires not only great service while the guest is staying at the Inn, but “constant contact” once you have wowed them with what you have to offer. That means special programs for returning guests to make them seem even more special. The basic rule on email marketing is to hit the list at least once a quarter with some news about what is happening, great new specials and packages available, and a real and meaningful call to action to make them move the mouse to your reservation page.
So don’t just sit there bemoaning the weather, let’s start to get this all done. For those of you who just don’t think you have the energy or the ability to do this, then find someone who can help or call us and we will help you get it done. This gentle reminder is really an essential component of your success as Innkeepers. No matter how great your Inn is or how incredible your service to the guests, if you can’t differentiate yourself from the rest of your competition, you will have trouble keeping up with those that can. Enough said?
Article written by Howard Levitan, Oates & Bredfeldt, LLC
Marketing, marketing, marketing. We used to look at location as the bottom line of the Inn business. While the new focus of the Internet is clearly on destination locations in the search engines, the smart Innkeepers who are not blessed with a historical destination location are remaking their Inns into “virtual destinations” on the web. This is a combination of creating interesting packages and exciting itineraries to attract new guests to their area. In essence, these Innkeepers are letting the traveling public know what there is to do and see in their location, and putting together great packages, full of adventures, that will help people make the decision to come to stay with them. This niche marketing is then distributed over their web sites and through electronic marketing (email marketing) to help create the buzz and the overall demand for the Inn. The bottom line is that it works.
In addition, the remarkable ability to portray your image on the web to prospective guests depends totally on creating an interesting, easy to navigate web site with great pictures. At the last PAII Conference in Phoenix, this last point was driven home by a demonstration of before and after web photography. The difference between the sites with great digital photography and just home grown attempts was dramatic. We cannot more strongly recommend professional photography for web sites. It is the essence of success.
Finally, repeat rates seem to be falling off across the board as guests seem to be seeking new experiences for their vacations. It is a whole lot more effective, and less expensive, to coax guests to return to the Inn, as opposed to finding new guests to fill the rooms. That requires not only great service while the guest is staying at the Inn, but “constant contact” once you have wowed them with what you have to offer. That means special programs for returning guests to make them seem even more special. The basic rule on email marketing is to hit the list at least once a quarter with some news about what is happening, great new specials and packages available, and a real and meaningful call to action to make them move the mouse to your reservation page.
So don’t just sit there bemoaning the weather, let’s start to get this all done. For those of you who just don’t think you have the energy or the ability to do this, then find someone who can help or call us and we will help you get it done. This gentle reminder is really an essential component of your success as Innkeepers. No matter how great your Inn is or how incredible your service to the guests, if you can’t differentiate yourself from the rest of your competition, you will have trouble keeping up with those that can. Enough said?
Article written by Howard Levitan, Oates & Bredfeldt, LLC
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