Historically, hotel lobbies have been a dead space where you would be able to find the Reception Desk, Concierge Desk, and a few sofas and couches, chairs and tables where customers would meet up, or visitors would sit to wait staying guests to come down, and so on.
Revenue generated: 0
For some years now, however, more and more companies measure not just their RevPAR or TRevPAR, but their RevPAM or RevPASM, that is Revenue Per Available Metre (or Square Metre).
And if you get your measuring tape and check on the size of your non-revenue-generating-lobby…you are in trouble.
And that is when some professionals think…what if I add a bar to the Lobby? that will make it more lively, and I will be able to generate revenue. Let’s say you can have a coffee in the same place where the reception is. Great idea.
But what if we take it one step further. What if the bar IS the Lobby? Think The Hoxton Shoreditch or The Edition hotel (both in London).
The reception has become just an “added value” to the bar/lobby. Let’s say now we have a bar where you can also check in.
Still not convinced? Ok, let’s think for other alternatives, such as:
What about the classic gift shops and merchandise? does not need to be the old creepy shop run by that old lady. For this, think Marriott and how they’ve revamped their shops/little convenience stores.
Events, anyone? why does that book presentation need to be on that windowless meeting rooms? why can it not be in your lobby, which is full of character?
Another classis: advertising. Digital signage, touchscreens, even elevator screens… dear neighbor business: do you want my customers and guests visiting your premises? let’s talk business here…
Pop-up shops and markets: Hotels can partner with local businesses to host pop-up shops and markets in their lobbies. This can be a great way to attract new guests and generate revenue from both guests and locals.
Art galleries and exhibitions: Again, a great way to add life to your lobby, revenue to your pockets, and more customers visiting, having a coffee…you get it.
Co-working spaces: Why not convert part of your lobby into co-working spaces?. This can be a good way to attract business travelers and other professionals who need a place to work on the go.
And last but not least, my beloved upselling and cross-selling: the best revenue generator, that adds value to guests, let’s them enjoy a better stay, and helps the team get a healthy commission too!
Let me know which of these ideas you already utilize…or plan to.