Hospitality Brokers Advice: Should I Have a Gift Shop?

The truth is, you don’t see a ton of dedicated gift shops in hotels anymore. Typically, you’ll see snacks, drinks, and some other basics sold near the front desk, but it’s rare to see a separate gift shop now. Although it’s less common, it doesn’t mean that they can’t be an asset to your hotel or motel. It all depends on your market. Today in the Southeast International blog, our hospitality brokers give their take on whether or not you should have a gift shop in your hotel or motel.

Benefits of Having a Gift Shop

The biggest and most obvious benefit of having a gift shop is the ability to bring in more revenue. But, along with the biggest benefit comes the biggest potential downside. If you’re not turning a profit on your gift shop, it’s a waste of your time, money, and resources. After all, you have to pay to keep the store stocked with inventory, and you’ll have to pay a staff member to run it. If the overhead outweighs your sales, it could quickly become an endeavor you regret. Our hospitality brokers recommend really taking a look at the potential of a gift shop and whether it’s really worth it for your hotel or motel. If you do decide to have one, you need to pay attention to the best practices to ensure profitability.

How to Make Sure It’s Profitable

What makes a gift shop profitable? Our hospitality brokers have seen several methods that have worked – but keep in mind that these might not work for you. Take a look at your market and see if these sound like ideas that could benefit you.

Where Are You Located?

If your hotel or motel is in a city or town that attracts a lot of tourism, a gift shop may be a great idea. People love to have souvenirs to take home when they visit a well-known destination. By having it in your hotel or motel, you make it easy and convenient for them to buy them. Typically, these are the type of items that tourists will want to buy, so our hospitality brokers advise against adding a gift shop if you’re not in a location like this.

Stock Items that Guests Would Want

The other thing you need to do is actually carry products that guests are interested in and that they would want to buy. Doing some light market research on the type of items people are buying in your market can help you decide how to stock your store. A good POS system will also help you see what’s selling and what isn’t, so you can more accurately order what you need.

Our Hospitality Brokers are Ready to Help You

If you’re in the market to buy or sell your hotel, choose the hospitality brokers at Southeast International Hotel Brokers. We’re ready to help you find the right hotel for your needs, or get your hotel sold through our vast network. Contact us today for more information and to speak with one of our hospitality brokers.