Do you offer an automatic discount to a returning guest?

[Margaret]

Sorry, I phrased that badly. We don't put up our prices by 10% a year but we did start off in 2005 at the same appallingly low level as the locals and have steadily increased them since then as we are now better quality than almost all local accommodation but I have not increased every year and I have no idea of the %. We have tweaked the prices regularly e.g. to charge a tiny bit more when we put an extra bathroom in or to even up prices between apartments which are similar. And I have played around with the seasons too. We have more apartments than a lot of people so have more flexibility.

Interesting figures for the UK house though: in 2006, we managed around £115 per night at most and often a lot less. When we started letting again in 2009, we were getting very similar figures. In 2010, it went up by 18% and in 2011 by 3% although the amount actually paid went up by more because a lot of bookings came through Charles Cawley's agency so people had to pay his fee as well. Also, I am more likely to give way on price than he is! Which is the reason why talking about actual prices quoted doesn't mean much - few of our bookings are for full weeks, so it depends on how much I actually give way for shorter bookings.

[kitkat]

I haven't raised my prices in the last 4 years

I'm sure I'm not alone in thinking this La Vache but with your experience, history of excellent bookings and beautiful gites you definately need to make an increase... you're not doing yourself any favours. Just do it you're a business not a charity.

[Essar]

I just love this forum, the ideas i've pinched since I started is just amazing - the advice from the experienced regular contributors you couldn't buy - invaluable. Thanks everyone.

I also send an email to guests after they leave telling them about our "loyalty rewards".
This consists of a £20 discount off any future booking (it seems to be the standard for Dorset); also, if they make another booking within 28-days of their departure date they get the new booking at this seasons equivalant rate (+ £20 off) rather than the new seasons tariff rate. Furthermore, they only pay a £100 deposit rather than the 25% I normally require. I have started to get some repeat bookings (all within 28-day limit) so it seems to work.
For the first time this year I have sent out "priority entitlement" marketing email to old customers "provisionally" booking "their weeks" next season with a confirmation time limit - nothing so far (it only went out Thursday).

[tavi]

Yes, the advice and ideas on here are fab and so useful. Thanks everyone.

Thanks Caroline for your suggestion..makes sense.

I'm hoping to get to the point when I'm having 30% repeats AND no discounts! But that may be a year or two (or more?) down the line from here.

In our first 6 months (to end December) our occupancy is 63% so not too bad I guess.

[Jimbo]

Nelson Mandela said:

There's nothing like returning to a place that remains unchanged to find the ways in which you yourself have altered.

Maybe it's an on-site owner thing, but we love returnees with a passion. We enjoy having them around, they have a track record, they know the ropes, they're trustworthy and reliable and we don't have to waste time reading between the lines trying to winkle out a 'wrong-un'. And, they're paying the ultimate compliment - ignoring the thousands of equally desirable properties out there and coming back to us.

Like others, we offer last year's rates to returnees but with a cut-off date of 1st January.

Jim

[kitkat]

Like La Vache I was reluctant to make any increases to our rates but kind of got badgered into it by moh and a fellow gite owner/friend near to us. For the last 3 years we have made substantial rate increases to our peak seasons. To make myself feel better about the increases I offer last years rates to anyone who bookes before 1st Jan and returnees get last years rates without a cut-off + 10% discount. Each year we get a new set of repeat bookers ranging from 30% to over 50%. Moh was sceptical about this at first but it has worked favourably. Unfortunately For 2012 we're trying something completely new for us. It's looking a bit scary at the moment as we've now decided to go 'adult only' (well, no kids under 15). We have 9 weeks booked so far but enquiries are definately down, we're going to 'brave-it-out' and hope that these type of bookers will be more 'last minute'!
ps I even have an offer running on my website at the moment where if a booking comes via a previous guests recommendation we will give 5% discount to each party upon confirmation of the booking. I'll have to think of a better way to market this as nobody has taken us up on it yet - http://dordogne-gites.net/blog/2010/08/ ... lle-gites/

[tavi]

Last year's rates [/i]and a 10% discount kitkat? Wow that's something.

When you say book by 1st Jan does that mean deposit paid by 1st Jan?

All these marketing ideas are really inspiring. Thanks for sharing them everyone.

Cripes, there go my italics again.

[kitkat]

Yes, deposit (35%) must be paid by 1st Jan for new guests to qualify for 'last years rates'.

[harcourtv57]

We have always offered a discount to returning guests and have quite a few returners who appreciate it. It was 10% but we have now reduced that to 5% in peak season and 10% the rest of the time