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Hotel Sales: Pros and Cons of Providing Complimentary Breakfast

Breakfast Can Drive Up Hotel Sales

Hotel Sales and Complimentary Breakfast

Complimentary breakfast has been a big debate in the hotel world for several years. It is one of the most commonly investigated options by new owners after they buy a hotel.

In terms of hotel sales, it can have a big impact on guest satisfaction and return bookings, but it can also be a drain on resources. At Southeast International Hotel Brokers, we hear this question a lot, and we wanted to share some pros and cons you should consider before making the choice to add a breakfast option.

Pro: It is an Inviting Feature to First Time Guests

One of the major reasons that hotel owners include complimentary breakfast is to bring in new guests. Once a guest arrives, it’s easy to show them why your establishment outshines others, but in the meantime, you’re standing up against several competitors with varying degrees of special offers and promotions. To boost hotel sales, show new guests what they would be missing by offering a free morning meal.

Con: It Decreases Chances of Room Service

One of the greatest elements a hotel offers its guests is the fine dining experience. Aside from dinner the evening of the first stay, the meal most likely to be purchased at your establishment is breakfast. By including a complimentary breakfast option, you are lowering the chances of money spent on a morning meal. This means you are paying restaurant staff, electric bills for kitchen appliances, and the cost of food with no chance of immediate reimbursement.

Pro: You Can Increase Hotel Sales with an Extensive Menu

Sure, the standard breakfast is complimentary, but you can include a multitude of menu items which sit outside of this category. Entice guests into spending a little bit extra for a side of pancakes, or to turn that scramble into an eggs benedict, and you can increase revenue without reducing customer satisfaction.

Con: Breakfast Hikes Up Room Rates

You have included a complimentary breakfast as part of a promotional offer, but who’s paying for that meal? The truth is that your guest is still footing the bill but doesn’t see it that way on their receipt. Many accommodations increase hotel sales by offering a complimentary breakfast and adding the cost to the standard room rate. This is a great way to guarantee payment, but it can also make your prices look higher than competitor hotels who don’t offer breakfast.
For more information on hotel sales, how to buy a hotel, or Southeast International Hotel Brokers and what we do, call us today!