Out visiting motels recently I came across a couple who made me reflect on how your attitude determines the type of life you have. This couple is in their late 60s early 70s and is running a motel. They purchased the motel as an investment but then needed to go back to the motel which had been seriously run down and basically build the business up from scratch. This included not only building the business but also refurbishing the motel.
Two years on they have a lovely 4 star complex with a business in the growth stage. Their comments were that they didn’t particularly want to be working at their age but that they are enjoying the challenge and are warm with a roof over their head and food on the table so have lots to be grateful for. There welcoming smiles on our arrival certainly didn’t show any signs of not particularly wanting to be there.
Conversely another motel had a couple whose motel was very well kept and immaculately presented. The conversation at this motel however was not punctuated by laughter and consisted mainly of the problems they perceived they were having in life. The welcoming smiles were not broad and open as in the first case and the couple didn’t appear to be at all happy with their lot in life.
In my opinion both couples were in a similar situation but the first ones looked at life differently and so were happier within themselves. We all find ourselves at various stages in our life with things which we are not particularly content with but it is our attitude which makes the difference. Thinking positive makes us live positive. In order to try and achieve this a good task to do is have a GFT list. This is a Grateful For Today list. Each day write down what you can be grateful for today and take the positive things from life. I am certain it is better to live life with a positive attitude than get bogged down with the things which don’t go quite as well as you would like.
June 24 2010 | Uncategorized | No Comments »
As we are all aware from the recent budget GST will change on October the first to 15% rather than the current 12.5%. How this will affect you as a business owner however may not be quite so clear.
Pricing is one area which you will need to be careful with. If you have quoted people a set rate for their accommodation and they are not staying until after October the first you will have to abide by that rate and cannot increase the price to cover the additional GST amount. If the price was a rate plus GST then you are able to pass the additional tax rate on to your customer.
How does your front desk system include the GST on an invoice and are you able to change this easily on the October 1st change over date. Do you manually change the system or is it something the support team will do remotely? Make sure you have this sorted out before hand so you have a smooth transition period for this rather than a shambles on the day.
The administration of GST is also quite involved. If you have a GST period which covers September and October there will be one month at 12.5% and one month at 15%. This will mean you have to fill in two separate GST returns for each rate.
There may also be an issue with the claiming and paying of GST. The important element will be when the time of supply occurred. It is very important to carefully monitor and record sales and purchases over this transition period to insure the correct rate is claimed. For instance if you are on a payments basis and have a supplier whom you purchase from in September but pay the account in October you will need to ensure the account is only claimed on the 12.5% rate, even though it is paid after the GST increase date. Also the reciprocal will pertain to payments made to you after October 1st for goods you have provided prior to this date. The GST payable on this income is only at the 12.5% rate. Will your accounting system be able to cope with these variances; does it have the ability to use two different GST rates? As you can see the change of the GST rate is something which needs a bit of consideration for you as a business manager or owner.
This general information has been formulated from reading and research but I am not a qualified accountant or financial advisor. To see how the GST changes impact on your individual business you should consult with your professional in this area such as your accountant or the Inland Revenue Department.
May 30 2010 | Uncategorized | No Comments »
I have recently been following Hubspot and receiving their regular e-mail s. Hubspot is a company in Massachusetts which promotes online marketing and web analytics. It is based on the premise that permission marketing ( contact via a customer coming to your webpage, blog etc via a search) rather than interruptive marketing( eg: interruption via TV when a person is trying to watch a show) is far more effective marketing. They have products which help you measure internet marketing techniques and tools to use in this field.
I am always a bit confused by all the jargon and bits that go with social media, blogging, twitter etc but have certainly found that a lot of contact is made via these avenues. I am constantly surprised at who mentions something I may have written when I didn’t even realize they read my posts etc. Consequently I do take notice of things relative to this style of marketing and hence when I received the latest e-mail form Hubspot which offered a free grading report for my web site I foillowed the link and ran the report.
I thought it made very good reading and seemed to actually make sense to me. I ended up being graded above 57% of the 2 400 602 websites which have been ranked so far. I didn’t think that was too bad. The report followed with comments and points about the website which I found quite good. It of course included the usual sell our product statements from Hubspot but after all it is a free report so this was quite acceptable to me.
If you are like me and curious about things go to this link and see just how your web site ranks. http://bit.ly/9dNNn9
May 13 2010 | Uncategorized | 2 Comments »
Here is an interesting article from the Motella Blog. http://motella.blogspot.com Maybe not the kind of service you need to follow!!! I wonder how it would reflect in the ratings for this motel on trip advisor?
Monday, May 10, 2010
Motel “Complimentary Hot Breakfast”
For those motels that are looking for new marketing ideas, we see that Spoof Times have reported on an innovative way for motels to offer a “Complimentary Hot Breakfast.”
Former guests of the Budget Inn and Travel Center of Wichita, Kansas are suing the hotel for failing to follow through on their advertisement of a “Complimentary Hot Breakfast” for their guests. “It was the main reason that we decided to stay there on our cross country trip,” said Wayne Garth of Denver, Colorado.
When asked how the motel breakfast did not meet their expectations, Mr. Garth said “Complimentary means free, right? At least, that’s what I always thought it meant. My credit card was charged for five $9 meals after we left. There is nothing complimentary about that!”
“Now, let’s look at the word hot. They had powdered donuts and bowls of Fruit Loops or Cornflakes. That doesn’t look very hot to me!”
Rahad Patel, owner of the motel, offered the following explanation: “When you enter our breakfast area, my daughter is standing there, thanking you for coming in. She tells people that they look nice, that she likes their clothing, or that they have cute kids. She is very complimentary to all of the guests.”
“My daughter is also dressed in a string bikini while she does this. Even though I am her father, I must say that she is pretty hot. She is also a straight “A” student and is going to be a doctor.”
“Breakfast was served by a very attractive girl saying nice things to people. That qualifies as Complimentary and Hot, doesn’t it?”
May 10 2010 | Uncategorized | 1 Comment »
In the motel industry the question of staff contracts and definitions is often raised with me. It is interesting to hear all the different interpretations and methods of employing staff and paying wages. Legally however as an employer a motelier is bound by statutory law and must abide by the obligations under these laws.
Probably one of the biggest misnomers is that cleaning staff in a motel are casual employees. The term casual employee is loosely used to describe someone under a fixed term contract. This is clearly defined in the act as
Fixed term employment
- (1) An employee and an employer may agree that the employment of the employee will end—
- (a) at the close of a specified date or period; or
- (b) on the occurrence of a specified event; or
- (c) at the conclusion of a specified project.
-
The act goes on to specify that this type of employment contract must not be used to
- to exclude or limit the rights of the employee under this Act:
- (b) to establish the suitability of the employee for permanent employment:
- (c) to exclude or limit the rights of an employee under the Holidays Act 2003
In many cases motels call their staff casuals and pay them as if they are under a fixed term contract in that they pay holiday pay as a percentage of their wages on a weekly basis. Motel cleaners work variable hours but have an expectation when they finish work for each day that at some stage in the near future there will be further work for them. Under the terms of the act treating cleaners as fixed term contract employees is illegal and should the employee have issues at a later date they can claim that they have not received holiday pay and the motelier may be required to pay holiday pay on top of the wages already received.
A motel cleaner is a permanent part time employee with variable hours. They can be employed on a basis where you call them when you need them and tell them when they are not required but they are entitled to all the benefits that any other permanent employee is entitled to. Their employment contract must be in writing stating the terms and conditions of their employment. The holiday pay must be paid when they take their holiday not as a percentage each week. The essence behind holiday pay is that the employee has a break from work as much as that they have holiday pay so it should be paid to them when they are having time off. If they do not have regular rostered days each week then a day they are not working could be considered to be a holiday and paid as such. This must be shown clearly on the pay slip and pay records.
Many motel operators have employees who do not have an employment contract and who are paid holiday pay as a percentage of their weekly wage. As a business operator you can chose to operate in which ever manner you wish but you must be aware that this style of employment relations may leave you open to possible problems at a later stage should your employee become disgruntled and take the issue further. If you are unsure of the Employment regulations and what your obligations are as an employer you should seek legal advice to make sure you are in fact doing things correctly.
April 14 2010 | Articles for current moteliers and Changes in Motel Trends and Entering the Motel Industry | 3 Comments »
Ever wonder why some motels seem to survive over many decades and others falter after a seemingly small period of time. One of the causes for this can often be a lack of maintenance which creates a slippery downward spiral.
One scenario will show a motel which has operators who do the bare essentials when it comes to maintenance and take out all the excess money as profit on the motel. They do not spend any money on replacements until items are irreparable. They then sell the complex at a reasonable price because the profit looks good and the next operators use the same ethics when operating the motel. After three or four of these types of operators the motel has deteriorated badly. The tariff cannot be increased as the guests will not pay more for a sub standard unit, the number of return clientele decreases due to people being dissatisfied with facilities which do not work or look old and uncared for and the cost of all the deferred maintenance is too much for the operator. This results in the business profit reducing and the value of the business decreasing. At some stage one of these operators will need to spend a large sum of money on maintenance or sell for a lower price than they purchased at.
The alternative scenario shows a motel which has operators who continually upgrade their facilities. They replace items on a regular basis and before they become sub standard, they continually look for additions or improvements which will enhance the guests stay and they build the business year after year. By having a complex which is perceived by the customers as being cared for and providing good facilities they have a strong customer base and therefore are able to increase tariffs periodically. This ultimately results in a higher profit and a more valuable business when it comes to the selling stage. A change of hands in this scenario sees the new operators continuing with these ethics and the value of the business continuing to grow.
The underlying point is that a motel operator needs to look at a bigger picture than just how much profit is in the bank today. The impact of this profit on the future is just as important. By spending money on your motel when it is needed you will retain the quality of your business and make a larger profit at the selling stage. There is an old adage which holds true even today. Sometimes you have to spend money to make money.
February 15 2010 | Articles for current moteliers and Entering the Motel Industry and Uncategorized | No Comments »
Seeing this recent release in regard to Tourism New Zealands latest campaign made me think about how important it is for motels to take advantage of opportunities. One motel operator will look at this and say wow I hope some of these people stay with me. Another operator will look at it and say Wow there will soon be a lot of people surfing the net looking for Ski related holidays in New Zealand. I need to add a package or a reference to Skiing in New Zealand to my web site so they find me.
Which one are you and how are you going to make the most of every opportunity you see?
Campaign aims to drive Aussies to NZ slopes again
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Tourism New Zealand launched Sunday its new early-bird ski campaign aimed at attracting keen Australian skiers and snowboarders to NZ’s slopes.
The tourism body said television commercials would run in Sydney and Brisbane for the next two weeks encouraging Aussies to make early bookings.
It also aims to repeat last year’s early campaign success according to Tourism New Zealand Chief Executive Kevin Bowler.
“Last year was the first year Tourism New Zealand and the industry went into market with an early ski campaign and we had a strong ski season, with the industry here reporting an influx of Australians on the slopes” he said.
In 2009, New Zealand’s slopes welcomed around 70,000 Australians with Australian holiday arrivals over the winter season of June, July and August up 28% compared to the same period in 2008. |
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Source = e-Travel Blackboard: J.L
February 09 2010 | Articles for current moteliers and Entering the Motel Industry | No Comments »
The following story in today’s NZ Herald comments on the migration law changes and how this may affect business sales in NZ.
As an accredited business broker I deal with many foreign people looking to make New Zealand their home. Motels have been a favoured option for many of these migrants due to the fact they are able to get a business and a home all at the same time.
This law change due to come in to effect on November 30th could make the process easier and more permanent form the onset, with the chance of permanent residency straight away rather than going though the process of a long term business visa.
This larger target market must be good news for those looking to sell their motel business.
http://www.nzherald.co.nz/nz/news/article.cfm?c_id=1&objectid=10609740
November 17 2009 | Articles for current moteliers and Changes in Motel Trends and Entering the Motel Industry and Uncategorized | 2 Comments »
With all the conferences and seminars I go to I seem to find lots of tips and programmes which are so good and time saving I feel I just have to share them and help to make the running of your motel or just your computer life even smoother.
This post stems from a seminar with Debbie Mayo Smith and her book 101 quick tips. The post is about Outlook and the various short cuts and features which you can use with this programme. Some of you may already be using Outlook but some may still be on outlook express. My own personal opinion is that outlook is a far better programme as it has a calendar, tasks, appointments, reminders and other functions which outlook express doesn’t have. Outlook express is simply to receive and send e-mails where Outlook has far more features than that.
Basically Outlook is an e-mail programme combined with a diary and so you can organize your follow up tasks and appointments from e-mails and also set reminders so you don’t forget to do those essential things. I will concentrate on tasks in this post and show how you can improve your organization skills by the use of this programme and a few simple tips.
Once you have outlook you will see a list of folders in the side pane which will include one called Tasks. To create a Task click on this folder then click the New button. Alternatively go to the File menu click on New and then click Task.
In the subject window type a name for your task. Then complete any other boxes on the TASK and Details tabs for information you want to record for the task. If this is a task you need to reoccur. Eg: Paying PAYE click Recurrence, click frequency (daily, weekly, monthly, yearly) for which you want the task to reoccur.
On the Task tab you can set who the task belongs to, assign the task to someone else, make it reoccurring, assign a due date, assign a start date, assign or change it’s status, set a reminder date and time, assign contacts to it, assign catergories to it, make it a private task.
On the Details tab you can, assign a date for it to be completed, assign work hours, assign mileage, assign billing information.
For an animated tutorial on tasks you can go to http://office.microsoft.com/en-au/assistance/HA010929451033.aspx
I find the task set up invaluable for reminding me to contact people and do jobs set for a future date. In the motel business this would be great to remind you to follow up on deposits, confirm group bookings and numbers, pay GST and PAYE, unit spring cleaning rosters and numerous other things.
There are also however tips and shortcuts for setting a task. For instance if you receive an e-mail from a client saying they will confirm numbers for a large group booking by a set date then all you need to do is to click on the e-mail and drag and drop it in to your task folder icon. This will automatically open a new task which contains the content of the entire e-mail. If you want the task to show on your calendar just drag and drop the e-mail in to your calendar and it will pop up with a calendar item containing all the details of the task. Just remember the date will be set to the date you receive the e-mail so if you want to change it to the due date and add a reminder you will need to change the calendar item details then save the item.
If the task is for another person: for instance if you are asking a group booking liaison person for confirmed numbers, then you can click on the task and drag it to your inbox. This will make a new e-mail with all the details of the task for you to simply add a recipient to. Pop in their e-mail address and they have the details from you in writing. If you need to ensure you get the answer back from them for the confirmed numbers just add yourself to the e-mail as a blind carbon copy BCC and when you receive your copy of the e-mail just drag and drop it back to the task folder. This will then set up another task in your Outlook which you can follow up on. When this task comes up for you if you have not received a reply from the person just drag and drop your task back to the inbox which will create another e-mail to that person and say in the message line. I haven’t heard from you yet.
A reoccurring task may be include such things as to contact your VIP customers every two months, send a newsletter every three months or clean light shades or drapes on a regular basis. By creating a reoccurring task it takes the guess work out of when you did it last and when you need to do it again.
There is also an option of a flag instead of a task. This is a quick process of just a right click on the flag at the side of an item such as an e-mail, task or appointment . Then you can set when you want to be reminded of this item. A flag can only be created from an existing item however where a task can be created from scratch.
If your contacts have Outlook and you send them a task they can accept or decline simply by using ALT + C to accept or ALT + D to decline. An automatic e-mail will reply for them. This also works if you need to set up a meeting time for a committee in your calendar but that is another lesson.
October 29 2009 | Uncategorized | 1 Comment »
Only the second time on a golf course in my life the Log of Wood motel golf tournament was certainly a day to remember. John Griffin Realty were sponsors for the event and so John and I attended the day. Neither of us are golf players although John did play for a few years in his younger days. Long long ago. I on the other hand have only been on a golf course once in my life when I followed my father in law and husband around for a game and was absolutely bored stiff. This did nothing to encourage me to participate further in the game.
Anyway on the tournament day we dully turned up and it was decided that John and Murray Woofe from PIC insurance would drive the drinks cart around and replenish the poor thirsty moteliers on their rounds. So what was to happen to me? I’ll just walk around I said, but, oh no, John in his wisdom decided that it would be better for me to take a cart around. I knew Anne from Boundary Court in Hamilton was also walking the course so thought I could catch her up and enjoy her company.
After a quick lesson in how to drive my cart I said well where can I drive. Anywhere you want but just keep of the greens John said as he and Murray disappeared in their cart. Ok off I crept down the gravel path until it suddenly ended about 10 metres away, I looked out at the golf course, green trees, green gardens and green lawns. How on earth do I keep off the green I thought it’s all green to me. Oh well I’ll just follow the tyre marks of other carts and stick by the trees no-one will be playing in the trees.
As I crawled around the course on this cart I started to get a bit more confidence and was even going faster than the walkers by this stage. I had trouble finding Anne and was just whizzing along at my great speed when I decided to go around the bottom of this hill which was quite long grass and a bit of a gully so I thought oh yes that will be okay. However!!!! Just as I was halfway across I turned and glanced to the left and noticed a golfer poised above a ball. Another couple of golfers standing around him and all of them watching me intently. When the golfer who luckily I recognized as Robert from Rosetown waved me on I began to think maybe I was in the wrong place. Getting to the end of the gully and travelling up the hill I was greeted by John Griffin who quickly said I think you better follow us now. This confirmed I had gone somewhere I wasn’t supposed to.
Following John and Murray and wondering why they stopped now and then and just seemed to sit still for no reason. We arrived at a hole and I realized Anne was there. AANNE I called out. Everyone turned and looked at me much to my surprise and almost seemed to glare. No Kathie you have to be quiet when they are playing John whispered in my ear. Oh gosh another muck up. Still I’ve only upset about 8 moteliers so far. Good relationship building from this sponsorship so far!!!!
I snuck over to Anne and suggested she came on the cart with me. Great all sorted and back to the cart to be greeted by ” Your phone has just rung it should be on silent you know”
Well as you can guess so far the day has not endeared me any closer to the game of golf. You can’t drive where you want, you can’t make noise and you can’t have your phone on doesn’t sound like fun to me.
In all fairness though things weren’t quite so bad after that it certainly helped to have a navigator. I would be driving along gazing across the expanse of the golf course when I would hear a gasp from Anne at my side and looking down to where I was driving I would see a large mud hole which I would have to evade very quickly with Anne hanging on tightly. I’m not sure if her day was getting better or worse she seemed a bit quiet so it was hard to tell.
As the day went on I became a much more confident driver with Anne and I attempting bigger and steeper hills on our drinks delivery rounds. Of course even the cart race between us and the John Griffin Murray Woofe cart was won by the ladies. Doesn’t take long to learn to drive those carts. Hope the green keeper wasn’t too busy afterwards fixing the skid marks.
The end of the day was fantastic with a get together in the club rooms, food, drinks and the prize presentations. As sponsors we got to do the prize presentation and I of course got to kiss the recipients. Now this ending to my day was very enjoyable and almost enough to make me consider playing golf. I was however told that the kissing at the end was not standard and this has made me hesitate to rush out and book golf lessons.
October 20 2009 | Articles for current moteliers and Entering the Motel Industry and Uncategorized | 1 Comment »
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