1. Contact Your Top Accounts

Some businesses are actually afraid to contact their Top Accounts in a downturn because they don’t want to be the next casualty on their cost-cutting lists.  If someone is going to "jump ship," they’re going to do it anyway and a phone call from you may actually stop them from leaving rather than encouraging them. Give your key accounts a call and thank them for their patronage!

2.  Reinforce your Value

In this economic climate, value is king!  The best way to think of "value" is give vs. get.  What will the guest get, for what they give.

3. Focus on the Intangibles Rather than Price

Intangibles (service, courtesy, and knowledge) account for 50-60% of guest satisfaction.  Don't allow your property to compete on price; however, monitor the marketplace to make sure that your pricing isn’t way out of line with the competition.  That said, don’t make your pricing the lowest on the block either! You don’t want the travelers that are looking for the cheapest game out there. Somewhere in the middle is where you want to be in order to attract guests and still make money.

4. Stay Profitable

It is just as important to make sure that you are reducing costs while making money as it is to ensure that your services are priced in line with the market.  Work with your staff to solicite ideas on how to reduce costs and tighten your day to day operations.

5. When Possible Up-sell

We can all agree that up-selling is an excellent revenue generator regardless of economic times.  Make sure that you promote your variety of room types, various suites, special packages, etc.  Remember guests, often do not know what they want, because the do not know what's available.

6. Don’t Use the Recession in Your Marketing

Not only will your message be dated when there is an upswing, this kind of marketing just reinforces the “don’t buy anything” reflex that consumers have during economic downturns.

7. Go Local

Travelers tent to stay closer to home during difficult economic downturns.  Focus on attracting, and capturing the local business community as well as travelers who can visit your proeprty within a 90 minute drive. Attend Chamber of Commerce functions, CVB meetings, and visit your area economic development office.  Call on your local hospitals, universities, churches, funeral homes, retailers, etc. and get included in your area's Welcome Wagon kit.  All of which can generate room nights!

8. Form/Join Strategic Alliances

Join and participate in any available marketing alliances/co-ops.  There is power in numbers.  Don't go it alone!

9. Reduce Your Overhead

Make a list of the stuff that you currently pay for that isn’t 100% necessary for your business.

Ongoing costs like magazine subscriptions should be the first on the chopping block. After them, focus on items that save you money and help the environment, like going with a printer cartridge recycling service instead of buying new cartridges.  Don't cut your marketing funds!  They are more important now than ever.

10. Focus on Staff

Reducing staff should be a measure that you only take if you think your business is in serious trouble.  While layoffs may be the order of the day focus on reassuring their staff that there will be continuing work for them. Talk to them and see if they want to work different hours, "fill in" in other departments, etc.  Although you probably can’t offer huge raises right now, flexible hours and cross-training are great incentives for your staff that will keep them happy and working hard for you.

If you are the only “staff” at your business, don’t forget to take some time off yourself. A lot of hoteliers are in “panic mode” right now, trying to get as much work as they can. When you take on too much, your efforts are diluted and the quality of your work and services provided suffers.

There are a million small things that you can do to save money and stay viable in an economic downturn.

The most important thing that you can do is use this opportunity to develop good business habits, like paying attention to customer retention and keeping your expenses lean.

The things that you can do to help yourself and others out during a recession are usually the things that you should be doing in business all along – it’s just easy to forget about them when times are good.

Remember...economic downturns are temporary.  It is just a matter of time before we emerge out of this, even stronger!