F1 Austin update
#46
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OCCUPY DAVE'S!!
#47
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Hahaha! Well...there is plenty of room for dozens of tents. $100/day/tent!!
#49
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#51
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#55
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#57
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Even if they dont need all the rooms at the end, I highly doubt they will discount too much ( if any) as most of the guests have paid top dollar and you really dont want to have to explain that. Besides, although it looks like Hotels are making all the money, its a FAR cry from that. Resellers and Wholesalers do get a huge chunk. The hotel will sell at an X price and guarantees the rooms. Which means even if they are empty the hotel will get paid and the rooms will NOT be rented as they do not belong to the hotel. So the hotel will actually get much less than what the actual customer pays per night.
Yes there is an amount ( which carries risk) that the hotel will keep and sell directly but as I said above dont hold your breath on any discounts for these rooms. Worse case scenario these rooms will be funnelled to a wholesaler and they will get their mark up.
Finally there are HUGE tour wholesalers which noone even knows their name outside of our industry. There are instances where your total inventory can be taken by them which in turn they turn and sell to retailers. No risk for the hotel, albeit at a much lower income than publicly shown.
I can go in great detail as you can tell, but I think you get my drift. Its not as simple as it seems or you make it to be...
By the way a bit of an FYI here... do you know that Expedia and the other names out there like Travelocity etc get about 25% commission? Have you ever wondered why when you book through these channels you never get any paperwork from the hotel?
Finally, 20 years ago a hotel room night cost you $100. It still does today. Have you ever considered the operating cost increase in these 20 years? Free market and competition is a great by-product for the consumer and have kept the prices low. So dont complain about hotels trying to make a buck on compression days. Some hotels are counting on these compression dates to get revenue and offset operating loses during slow months. Its a free market economy right? Supply and demand.
Last edited by DJF1; 12-08-2011 at 04:47 PM.
#58
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^^ suspect that he knows what of he speaks^^ Had to stay a bit over 50 miles away for Thurs Fri, Sat nights for the first Indy USGP.