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Lodging Update July 31st, 2019

By Wm, May
Published: 07/31/19 Topics: Vacation Rentals, Vortex Managers Comments: -

It is difficult to tell people things they don't want to hear.

Doctors don't want to give diagnosis of disease. Bankers don't want to say your account is overdrawn. Your kids don't want to say you are getting older.

In lodging management, sometimes we have to tell clients how the industry works. With the pace of change in this quirky industry, sometimes we have to call up and say something has changed.

So this letter is to summarize some of the changes to the lodging industry that you just might not know about.

In fact, the marketplace is growing, owners are making more money, more guests are enjoying homes and management is becoming more scientific, more predictable and more fun.

It's also more work, but that has always been the case.


It's not bad news, usually it's good news, but it's always news news news.

BUSINESS: Every home that becomes a vacation rental becomes a business. They create income for property owners, but demand time and attention. We offer maximum income with minimum fuss. We invest the time and send profits to owners. Hundreds of methods are applied to make that happen, in ways no other manager does, and in ways do-it-yourself owners can't match. We treat it like a business.

NET INCOME: Owners have two goals (A) Keep the home in good condition (B) Send them maximum net income. That may require some owners to change their thinking. Presumptions don't help, inflexibility doesn't work, and failure to adjust to constant industry changes risks low income. Rely on us to avoid those problems.

PERISHABLE INVENTORY: At midnight every day a home which has not been rented becomes worthless for income. Grocery stores understand that some inventory, such as produce, is perishable and must be discarded if not sold. The manager's job is to book every night at the highest rate, and sometimes at a modest rate rather than to produce no income for the owner.

SCIENCE: We use sophisticated Yield Management techniques that employ Dynamic Rates. Every owner is delighted to see super high rates at the super popular times. But it also means medium rates during shoulder seasons, and low rates in slow seasons. Rates must change based on supply and demand. We don't set rates, the market sets rates.

PRIDE: Some owners are delighted to see big rates and slighted to see low rates often proclaiming "My house is worth more than everyone elses!" Pride of ownership is understandable, but don't let pride empty your pocket book. Allow your manager to employ the science.

NEGOTIATIONS: Since the recession, Amercans have became hagglers. Decades ago we all laughed at those silly European or Asian countries where bargaining was everywhere. Today we have become them. Good managers never regret travelers who want deals, but work to turn every possible customer into a happy paying customer.

MAINTENANCE: Every home ages over time. Second homes age about the same. Renting does not accelerate routine repairs and maintenance, but it does enforce the need. Guests have come to demand properly managed homes and hospitality grade cleaning. Good managers provide basic maintenance for affordable rates not to line their pockets, but to avoid guest refunds and credits.

REVIEWS: With the advent of the internet, every business gets reviewed, sliced, and diced online. No matter the quality of a home, owners must be prepared to see negatives online. Plus legitimate complaints (such as a failed water heater) must be fixed fast to avoid reputation assassination. Your manager should be praised for taking swift action to protect owner income, even if there is a cost.

OBSERVATION: Housekeepers and managers keep an eye on every home, but no one can memorize the interior of multiple homes They might not notice a missing throw rug, a pot, pan or hand towel. Guest theft is very rare, damages are uncommon, but as a business it does happen. Your manager can attempt to assess the guest or charge damages to deposit insurance. If that is not possible, it becomes a cost of doing business for the property.

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Author: Wm, May, Vortex Managers
Blog #: 0682 – 07/31/19
Sponsor: Vortex Organization – We train quality people to help run unique Inns, Resorts and Vacation Rental Management companies, in an industry that has been a webby net of technology combined with good old fashioned property, guest and owner services. –

Lodging Update June 30th, 2019

By Wm, May
Published: 06/30/19 Topics: Vacation Rentals, Vortex Managers Comments: -

We have now spent a dozen years building software used for many reasons, but one is just to fight the war for more advertising visbility. Here are just a few challenges we work on every day. Read more

Lodging Update May 31st, 2019

By Wm, May
Published: 05/31/19 Topics: Vacation Rentals, Vortex Managers Comments: -

- How many hours does it take to self manage? Experts say 520 hours per year. - Will I make more money self-managing? No. - Why would I self manage? You need an unpaid hobby. - Should I limit occupancy in my place? Absolutely. Read more

Lodging Update April 30th, 2019

By Wm, May
Published: 04/30/19 Topics: Vacation Rentals, Vortex Managers Comments: -

Owners of every Inn, Resort and Vacation Rental work to offer unique and wonderful properties and when they hire a management firm a big question is "Does that manager promote themselves or do they focus on the property?" Read more

Lodging Update March 31st, 2019

By Wm. May
Published: 03/31/19 Topics: Vacation Rentals, Vortex Managers Comments: -

- Who sets the rate, the owner or the manager? - What would the nightly rate be for my home? - How many nights will it rent? In the simplest form, answering those questions may sound a bit too glib. "No one sets the rate. The market sets the rate". or "The number of nights will be dictated by the rate." Read more

Lodging Update February 28th, 2019

By Wm. May
Published: 02/28/19 Topics: Vacation Rentals, Vortex Managers Comments: -

Here is a mish mash of "Did You Know" facts, figures, statistics, and plain ol' good wisdom we have picked up over time. DYK - Our definition of "Hospitality Clean" is defined as cleaner that most people leave their homes just after they've done a deep clean. Guests demand clean above all else. Read more

Lodging Update January 31st, 2019

By Wm. May
Published: 01/31/19 Topics: Vacation Rentals, Vortex Managers Comments: -

Vacation rentals are a seemingly simple industry. How tough can it be? Run some ads, take reservations and money, give keys to the guests, find a housekeeper and do it all again. But a day in the life looks little like that. Read more

Lodging Update December 31st, 2018

By Wm. May
Published: 12/24/18 Topics: Vacation Rentals, Vortex Managers Comments: -

DO YOU WANT THE MONEY? If getting the money is not your goal, you may find even the smallest aspects of landlording might make you uncomfortable Read more

Lodging Update November 30th, 2018

By Wm. May
Published: 12/24/18 Topics: Advertising, Dynamic Pricing, Government, Online Travel Agents (OTAs) Comments: -

Yes, in this industry it really is always something. Something unexpected, something unknown, something new.. REGUATIONS - After decades of operating alternative lodging for guests, cites and towns have begun to restrict, regulate and even prohibit vacation rentals osensibly because they take away affordable housing. It is silly to think that people with expensive second homes are going to rent them out long term for low rates. Its always something out of the blue.. Read more

Lodging Update October 31st, 2018

By Wm. May
Published: 12/23/18 Topics: Advertising Comments: -

Why would Budweiser Beer buy a half dozen ads in the Super Bowl broadcast for about $5 million dollars each? Most viewers watch the entire game, wouldn't just one ad be enough? Is Budweiser stupid? Read more

Lodging Update September 30th 2018

By Wm. May
Published: 12/23/18 Topics: Education, Employment, People, Reputation Comments: -

Today's world is full of negativity, aspersions, and personal attacks. This is nothing new. There have always been negative people but there has also always been some people, a smaller number, who always manage to remain positive. Read more

Lodging Update August 31st 2018

By Wm. May
Published: 12/23/18 Topics: Comments: -

Some call it "Dynamic Pricing." Uber calls it "Surge" pricing, Disney World calls it "Crowd" pricing and supermarkets just call it a plain old sale. Read more

Lodging Update June 30th 2018

By Wm, May
Published: 09/27/18 Topics: Comments: -

With the sun beating down, it's time to repeat some of the funny, wacky, crazy and just plain perplexing things we hear in the lodging industry. (We make none of this up.) Read more

Lodging Update July 31st 2018

By Wm,May
Published: 07/31/18 Topics: Comments: -

Tiny things make all the difference in any endeavor. Here is minutiae about vacation rentaling - How we do it and why our way is better. Read more

Lodging Update May 31st 2018

By Wm, May
Published: 05/31/18 Topics: Comments: -

This is a story of a vendor gone bad or, more accurately, that started badly. The industry news is filled with companies (usually start-ups) with new products all claiming to be the next big thing for vacation rental managers and owners. Read more

Lodging Update April 30th 2018

By Wm. May
Published: 04/30/18 Topics: Comments: -

Creativity is a word that everyone throws around yet most people don't understand nor do many people master it. Read more

Lodging Update March 31st, 2018

By Wm. May
Published: 03/31/18 Topics: Comments: -

Some owners want full-service from their vacation rental manager - to provide global advertising, attentive reservations, hospitality grade housekeeping, careful maintenance and guest services. Other owners really only want help with on-site services while others just need extra bookings for maximum income. Read more

Lodging Update Feburary 28th, 2018

By Wm. May
Published: 02/28/18 Topics: Comments: -

Guests decide just about everything. It is not up to the manager to dictate what guests want. With the internet, guests are given so many options. When a property is missing just one essential amenity, you can lose inquiries and guests. Read more

Lodging Update January 31st, 2018

By Wm. May
Published: 01/31/18 Topics: Comments: -

For the first time ever we are revealing the secrets of advertising, the magic of marketing, and the persuasion of promotion. These are insider tips that generate vivid visibility for every property and increase inquiries and large bookings. Read more

Lodging Update December 31st, 2017

By Wm. May
Published: 12/31/17 Topics: Comments: -

The term "High Definition" may apply to your television but "High Dynamic Range" photography refers to a technological process so powerful that it has been patented by Adobe Software. It's so powerful that our company committed to the cost and quality over a decade ago. Read more

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DETAILS: We work to keep this information up to date, but details do change from time to time based on circumstances, often on short notice, and sometimes beyond our control. To verify any answer or other information you may need, please call or email us anytime. Allow a reasonable amount of time for response. Only legitimate inquiries will be answered.