Tuesday, July 21, 2009

FW: RevMax Meeting for 7/14

 
 
RevMax Meeting for    7/14   
        

Ira -Central Reservations

Review of weekly reports at RevMax.  Any updates to Denials and Regrets?  

 

We  are staying sensitive to the fact that our new rate strategies are increasing our Denials. 

We have gone from 1 to 2 a day to 4 to 5.

We will keep watching this closely.

Forecast 

-July came in under LW by $12,000 and is under budget by $1 59,985. 

We have been concerned about our pace dropping due to the 4th of July holiday.

We still need to pick up another $ 144,861 in the month. We are expecting to have this come from both room nights and ADR.

We addressed restrictions in July just as we have for August when we are pacing to sell out.   

 

-August came  in under last week by $ 1,000We are forecasting over budget by $2 0,810. 

The IRS group valued at $260,000  has created a very significant foundation for us. 

We are restricting the following for August -

  • Friends and Family
  • Comps
  • Trades
  • Employee rates
  • Industry rates  
Our #1 goal in August is to increase our ADR by $10.00. Our current ADR forecast is $141.00 and we want to move this up to $151.00. By increasing our rate strategies our aim is to maintain forecasted revenues and lower our occupancy forecast by 5% from 92% to 87%.

-September came in  under LW by $ 5,000.  We are forecast ing to come in under budget by $38,820

 

GRC

 

July

-  Decreased by $7,702 to last week 

- We are forecasting to come in under budget by $ 95,000  

- We are working with Mike on a meetings special e-blast campaign for July and have stepped up our outside weekly blitz campaigns to increase our lead potential.  

 

 August

- Increased  decreased  by $ 12,118 to last week. We are forecasting to come in over budget by $125,000.

- This increase over budget is primarily from our IRS booking.  We have increased our MAR rates in Daylight and have a strategy in place to maximize group rates.     

 

September 

-  Increased by $ 57,110 from last week.

-  We are forecasting to come in at budget

-  We have $381,490 in prospects. 

 

 

 LMD's    

 

LMD below for next Friday, 7/17?
 $99.00 Standard King rate with a bottle of wine or $10's off in Harry's.
 

Our Complimentary Suite Upgrade program ends on 6/30. We closed out our Suite Upgrades for the weekends . 

 

 

 Promo Channels -  Expedia   Travelocity  Travel Zoo  Orbits     Priceline    Kayak   Google   Face Book      

We are adopting a new Yield Management philosophy for our Promo Channels. We are looking at where our reservations are being made and decide when to limit  this channel by either cutting them off or increasing the rate.  

We are working on converting our Wholesale bookings to Magnolia Website bookings. We created a card for the front desk to hand out to all of our Wholesale bookings that says, " Book your next reservation with us and stay before 9/30/09 and receive a free bottle of wine or a Harry's $10 discount.  

We are testing 7/20 to 8/2 on a 25% discount on all channels. We have increased our BAR strategies to compensate for this program and keep our ADR in line with our growth strategies.

 

 Weekly STAR 

6/21 to 6/27 

1st comp set - our RevPAR came in at a 104. 4% Index,  -0.8% growth.

Our RevPAR growth came from Occupancy at 12 4.6% Index, 1 5.3% growth.

Downtown Denver got hit hard this week in both ADR and Occ losses.

With our strong occupancy Index we are showing opportunities in ADR gains. Our new Revenue Strategies should help us with this potential growth.  

We are challenging ourselves to increase our ADR Index and move our ranking up by 2.

 

Hotelligence

 

 Future Hotelligence  

July  -    increased from   5 to  4 of 9 overall. Weekdays  stayed flat at 4 of 9. Weekends stayed flat at 7 of 9.

We are vulnerable on 7/21 to 7/31.   

August  -    stayed flat at 5  of 9 overall. Weekdays stayed flat at 4 of 9. Weekends dropped from 7 to 8.

We are vulnerable on 8/2 to 8/13.

 September  -    stayed flat at 4 of 9 overall. Weekdays dropped from  4 to 5. Weekends dropped from 4 to 5.

We are vulnerable on 9/11 to 9/14. We are at 300% to 200% over the CityWide Bone Mineral 9/20  to 9/23.

 

 Upsell Program   Nor1   

-  Continue discussion o the effect of the Suite Upgrade Program and Keeping Fireplace suites available for upgrades.  

Is now working just fine. We will pick up just over $1,000 for this program in the month of May. 

  

 Strategies  & Follow up         

- Follow up on 20% off discount for 7/20 to 8/1. Discount on all channels. We have increased our BAR strategies to compensate for this program and keep our ADR in line with our growth strategies.

-Future Hotelligence shows that we are underperforming  on 7/21 to 7/31.   

-Look into potential LOS restrictions for August.   

Follow up on oversold suites from 8/21 to 8/27.  For the weekend (8/21 & 8/22) we are oversold on QQ's as well.    

-Follow up on Parade of Lights pricing for 12/4 & 12/5. 
 
 
 

Rate changes     

Denver rate changes from RevMax meeting 07-15:

 

07/18 lower suite tier for Saturday during Mile High Music Festival to tier 5

07/24-07/26 lower rate to 189

 

08/03-08/27 open government rates but placed 4 & 5 night restrictions for gov during this period

Mark Wellbrock
Director of Sales
The Magnolia Hotel
818 17th Street  Denver, Colorado 80202
Direct: (303) 607-0200  Fax:  (303) 607-0600
Magnolia Hotels Web Site
Complete an On-Line Request for Proposal

 

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