Black Friday is a day filled with discounts on every product imaginable and for days beforehand, serious bargain-hunters are strategically planning their “plans of attack”.
This past Black Friday, which took place last month, gave US discount shoppers a fantastic opportunity: the ability to purchase hotel stays at many properties across the country for only $7 per night. Sounds great right?
Well, it was… for consumers.
However, for the hotels that participated in this deal might not have been the best business decision – no matter whether it is done to raise awareness or as a way to boost occupancy. Deep discounting is counter intuitive because giving away rooms for practically nothing results in a drastically reduced RevPAR and because it can damage the hotel’s brand.
Here’s why…..
