Most hotels, lodges and guest-houses in Namibia get between 70% and 90% of their bookings through DMC (Destination Management Companies) and Tour Operators, who in turn get them from their international agents.
Lodgings pay between 20% and 40% of their rates to DMC and Tour Operators. Further fees for so-called “familiarization trips” or “catalogue participation” can also apply. This means that more than half of a Lodges rate is handed over to someone else.
This not only presents a great risk due to one-sided dependency, but also means the lodging business needs to operate on very small margins.
The staggering statistic is that of the approximate 2100 registered lodgings in Namibia, only between 150 to 200 are listed with OTAs (Online Travel Agents) and receive bookings from the likes of booking.com and Expedia etc.
These are bookings from guests that cannot be reached through the traditional route of DMC and Tour Operators. The more bookings one can gain over the OTAs, the more tourists we can bring into the country. Also, you only give away 15-20% with an OTA. The profit per booking, compared to a DMC booking, is about 23% higher.
From the 1st of September 2017, Google Hotel is becoming available in Namibia.
Bookings can be made directly through the Google search page, Google Maps or another Google service. Profit per booking is about 23% higher than with DMC bookings as well.
rainmaker, as Google Hotel Integrator and Google Agency in Southern Africa can now directly link up lodges, hotels, guest-houses and guest-farms to Google Hotel to gain more profitable bookings.
There is not only one successful marketing channel for your lodging. There are five. Each one has its purpose, as it addresses special goal markets and market segments.
Successful lodgings manage their optimal marketing-mix between DMCs, local tour operators, OTAs, Google Hotel and direct bookings through their own website.
The rainmaker team supports lodgings by optimally designing their sales and marketing-mix. This achieves a 20 to 30% improvement in occupancy and revenue and a 40% to 80% increase of profit.