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    Home»Hotels»How strategic shifts increased bookings and ADR
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    How strategic shifts increased bookings and ADR

    adminBy adminMay 13, 2025No Comments4 Mins Read0 Views
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    Challenge: Aligning the target market with added inventory

    A small vacation rental business in the Northeast, with 36 cabins, was planning to build 2 large properties. The first would include an interior pool, and it was located about 1 mile from a popular skiing resort. The expansion came on top of a few newly constructed homes that they added to their management program, which meant 20% of their cabins had eight bedrooms or more. By 2024, they will own 8% the properties that they manage.

    The majority of their revenues came from Vrbo. As their inventory evolved, it demanded a different kind of clientele. They needed a change in their marketing strategy. marketing strategy. Their brand was around since 1999, and still used the logo that the owner drew on a napkin. The website was not updated in over five years, and most of their inquiries came from people looking for cheap stays or a general visit to the region.

    Marketing Strategy: ADR vs Conversion

    To align the marketing to the future direction of our products and services, we began at the top. In January 2025, the months of effort we put in resulted a 217% rise in revenue.

    The company’s vision and mission was to provide an environment that is comfortable, clean and spacious for people to come together and enjoy their time. The co-founders built several homes themselves, having designed them to be vacation homes. Each home had a game area, an outdoor hot tub, and a firepit. As the homes grew larger and more luxurious, the ADR increased and the conversions decreased.

    Advertisements

    The strategy was to update the brand and messaging without changing the look of the logo. This would then be used to redesign the site for a more premium look and feel. Google Ads changed its strategy to target different keyword categories and direct the traffic to dedicated landing page on the new website. The overall experience was improved, increasing conversions from 1% up to 2.2%.

    Drive Revenue Directly over OTAs

    We created branded images that highlighted the high-quality amenities. In addition, we used a photoshoot to show how the outdoor spaces bring people together. This resulted in more time being spent on the photos, and increased inquiries from qualified prospects.

    The transformation culminated with social media videos that showed walkthroughs of spaces, and a concerted effort in local public relations. This led to large corporate brands requesting blocks of reservations across multiple properties, and local event coordinators negotiating many reservations simultaneously. The new business opportunities were exactly what the company hoped to attract through their upscale properties, enhanced management services and social media videos showing walkthroughs of the spaces.

    Results of Google and Social Media on Revenue

    These efforts combined resulted in significant improvement across all metrics

    • Bookings are up 17.9% compared to the previous year, with an increase of 10.3% in ADR
    • In January 2025, revenue generated by the website was 81% higher than in January 2024
    • Google Ads – 30% Increase in Bookings
    • The click-through rate on social media was 7.4%, the highest in a 12-month span.
    • Google reviews give us an 8-star rating, which is usually between a 4.0 to 4.5 star rating in this area.

    Learn about brand building and online reviews

    Aligning brand and user experience online to match the quality guest experience has increased REVpar and allowed the company grow in the correct direction. This alignment was amplified by social proof points, which increased the effectiveness of marketing.

    The likelihood of reaching your target audience and increasing satisfaction increases when the tagline, logo and photography accurately reflect the experience that the guest will be having. This case shows how strategic alignment of marketing creates growth opportunities that are sustainable for hospitality providers.

    This vacation rental company, by building an online presence that matched the splendor of the beautiful, well-equipped cabins it was building, enjoyed a 11% increase in revenue year over year, while positioning itself for continued growth in the luxury accommodation market.

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