The Three Legged Stool

My Inn Matchmakers partner, Becky Goldsmith teaches our aspiring innkeeper clients about the three legged stool of innkeeping. She likes to keep things simple and try as hard as I can to overanalyze the data, good innkeeping still comes back to the basics:

1--Great housekeeping.

2--Superior hospitality.

3--Exceptional marketing.

Over the years, we've found that if one of these "legs" is wobbly, the stool cannot support its weight. Sounds so simple, but you'd be stunned at how often we see inns where one of these elements of success is missing.

It's the third leg that is most often the deciding factor, and the hardest in which to excel. I believe that's because the onslaught of changes on the internet marketing front are absolutely overwhelming for most innkeepers. As a new innkeeper myself, I can relate.

That said, each month I face my fears, and participate in Acorn Internet Services' monthly internet marketing webinar. After it's over, I'll usually consider a frontal lobotomy because there's so much to learn. So far, I've opted to stay out of the OR and have a stiff drink instead.

Today I chatted with Lisa Kolb (Acorn's founder and co-owner) for over an hour after the webinar was over. We share the same frustration. She's trying to help innkeepers improve their business and MAKE MORE MONEY. I'm trying to help innkeepers maximize their investment return, and to do that, they NEED TO MAKE MORE MONEY! So, Lisa and I are both trying to accomplish the same thing. Despite our efforts however, more and more inns are going under, and I believe that this is going to continue for some time.

As an ex-business consultant, I know that the biggest problem that small business entrepreneurs face is that they don't stay engaged in their "highest and best use". If something needs to be done, they do it. Like housekeeping for instance.

This, my friends, is the slow kiss of death. If you don't learn to place a higher value on your time, and rise to your highest and best use (which, by the way, unless you are an illiterate monkey, is NEVER EVER cleaning toilets), your business will languish. I promise you that your time is worth more than $10 or $12 bucks an hour, and you can find housekeepers who will do a fine job for that pay. So do yourself a favor, and pony up the $15 bucks or so to get a room cleaned. YOU my friend, have a higher and better use!

ALL innkeepers expect to sell their inns at a profit, and it's an ugly road for those who find out that this dream has turned into a nightmare. I see this more often than you would like to know, believe me! So, don't become an unfortunate statistic. Take the bull by the horns, and get cracking on your marketing! Like castor oil, it may not taste good going down, but you'll be glad you swallowed it by the next morning.

And, over the long run, when it comes time to move on with your life, you won't have to make excuses about why your inn's income is so awful. Don't expect some rich California buyer to come along and pay cash for your money pit. That ship done sailed......

When You Can't See The Forest For The Trees

Becky and I visited several inns this week and I was struck by the condition of a couple of them. Sometimes it takes a pair of fresh eyes to see what's really there, and sellers who have inhabited a property for a long time can tend to lose sight of what is right in front of them.


To begin with, it's incredibly difficult to get a qualified buyer to a property in the first place. Innbuyers often travel hundreds, sometimes thousands of miles to look at a property. When they finally arrive on site, they are ususally hyper-aware of condition issues. I looked at a small resort property the other day with a couple who traveled in from Texas, and despite the fact that the guy was very handy, he couldn't seem to take his eyes off of all the items that needed repair. This couple couldn't get beyond the condition issues and have moved on to look at another property (which, by the way, looked amazingly good after what they had just seen).


So, now it's my job to communicate to that property owner that there are significant condition issues facing them. This can be an onerous task, and this particular property owner has commented a number of times about all the improvements they have made! In reality, the place needs an overhaul.


The remedy to this situation, of course, is to have the property inspected BEFORE it goes on the market. It's well worth the investment. It's a crime to watch a qualified buyer walk away from your property because they don't want to take on that extra responsibility of making repairs.


The property mentioned above has been on the market for over four years now. I've shown it a number of times (it's not our listing) and every time I hear the same thing as feedback. Condition issues are killing the sale, and the owners of this property might as well have shot themselves in the foot.


Innsellers, if you can't see the forest for the trees, hire an inspector to be your guide. Then, make the repairs! That way when the rare buyer with a million in cash to put down on a property comes along, you won't be staring at their backs as they head off to look at another property.