Hotels rely more and more on revenue sources outside the rooms themselves, such as activities, spa, restaurant, and bar. With revenue from ancillary sources typically accounting for over 20 percent of total earnings, optimizing every square foot is a financial necessity.
Your bar may not be the most instaworthy—yet—but that’s no reason to discount its revenue potential. The global bar and cafe industry value is projected to reach $627.19 billion by 2029. Here’s how to curate an experience that keeps guests returning for another round.
POS Integration
To reduce payment friction, integrate your point-of-sale (POS) system with your property management system (PMS). This synchronization allows you to charge bar sales to guest rooms in real time, automatically posting expenses to the reservation folio and removing the need for physical payment methods during the stay. By eliminating manual data entry, you also decrease administrative errors and subsequent chargebacks. No typo will transform a $18 craft beer into a $180 craft beer.
Pricing
Maintain competitive, value-based pricing so that satisfaction remains high and reviews stay positive. While you may be able to artificially inflate pricing because of the convenience factor, aligning rates with quality fosters long-term brand loyalty and protects your reputation.
Strategic incentives like happy hour drive foot traffic and boost your bottom line. Special deals encourage guests to consume more, so overall tabs rise even though individual items cost less.
Upsells
Maximize ancillary revenue with premium upsells, such as signature wines or artisanal spirits, ready for purchase both on site and during the booking process. WebRezPro PMS empowers guests to select add-ons when reserving their room.
For in-person upsells, use subtle techniques rather than high-pressure sales tactics. Avoid language that puts the guest on the defensive and focus on highly relevant offers. Do not present an offer more than once.
Offer specialty cocktails alongside staples like craft beer to distinguish your brand. Colorful cocktails make an impression on social media and enhance your bar’s unique selling proposition. All the better if you add local elements, as guests enjoy tasting new food and drinks from wherever they visit.
Forty-eight percent of bar patrons prefer establishments with food available. A selection of expertly executed staples is more effective than a broad, inconsistent range of dishes. Include options for guests with dietary restrictions (vegetarian, gluten free, etc.) and incorporate local flavors.
Leverage real-time data to monitor top-performing items, ensuring optimal inventory management and strategic sales focus. By utilizing analytical tools in your POS and/or PMS—such as WebRezPro’s products and services report—you can track volume sold and profitability.
Non-Alcoholic Alternatives
With non-alcoholic beverage orders surging by over 300 percent since 2018 and 55 percent of Gen Z consumers selecting low-to-no-alcohol options, a sophisticated mocktail program is essential for securing your share of the market.
Elevate your brand’s inclusivity and appeal by promoting these premium alternatives across on-site signage and social media channels to let non-drinkers know that you still have something special to offer.
Position your bar as a thriving community hub by engaging local residents to drive year-round profitability. To bring locals through the door, host events like open mic nights, trivia, karaoke, and cocktail masterclasses while exploring community advertising channels both online and in print. Print media such as flyers can be surprisingly effective.
Music
From ambient background audio to ticketed live performances, drinking and music go together like Simon and Garfunkel. Faster tunes encourage patrons to drink faster too, while slow ones invite them to linger—and spend more. Whichever songs you choose, keep the volume modulated so that guests can hear their own conversations as well.
Digital music platforms like Spotify, YouTube, and Apple Music are for personal use only, not business, so choose a B2B solution like Soundsuit or Ambie to keep things groovin’ along the legal way.
Storytelling
You’re not just providing a stool and a drink; you’re delivering a curated experience based on your brand’s unique selling proposition and target audience. Use guest data to create an atmosphere that aligns with expectations. Are your customers looking for a trendy, instagrammable night or a homier, Cheers-esque vibe?
Every element of your bar contributes to this experience, from drinks to decor. For instance, warm colors evoke a cozy feel, while blue delivers a calming ambiance. And if you cater to the trendy crowd, you need trendy furniture to match—but make sure it’s comfortable as well.
Cleanliness
Utilize your PMS housekeeping functions to maintain a clean facility that complies with health and safety standards. WebRezPro includes interactive schedules and step-by-step checklists with live status updates in a mobile-friendly format so that staff can access information on the go and nothing is forgotten. Staff can also input notes and maintenance alarms, ensuring any unexpected issues are handled promptly.
Limitations
Though everyone is having fun, you don’t want that fun to disturb other guests or violate the hotel’s quiet hours. If a patron is noncompliant, you can use WebRezPro’s banned guest feature to prevent them booking with you again.
Hire an experienced bartender and train staff on what behavior will and will not be tolerated. They should be as adept at dealing with problematic patrons as they are at upselling. By establishing clear conduct standards and empowering your team to manage guest dynamics, you create a safe environment that protects both your reputation and your revenue.
Implement these best practices to transform your bar into a community destination that fosters authentic engagement between guests and locals. By curating a vibrant social hub, you’ll enhance the stay experience while driving ancillary revenue and long-term brand value.
