When things go pear shaped

1
When things go pear shaped!

• What do you do when disaster strikes?

2
Coping with Sudden Catastrophes

• Anne Dolan
• Ashlee House
• LONDON

3
Background

• London has a long history of coping with
  disaster.
• Wartime blitz, IRA, Foot and Mouth,9/11, SARS,
  Gulf war(s) 7/7, 21/7 and the current on-going
  threat of terrorism.
• Londoners have a great sense of solidarity and
  survival.

4
What Actually Happened?

• 7/7- 3 terrorist attacks in London. Lots of
  confusion and conflicting messages. Media was
  making a very big deal of it but on the ground
  nobody was aware what was actually happening and
  thankfully everyone was safe.
• 21/7- a second attempted terrorist attack.
  Fortunately the bombs did not detonate, but again
  lots of misinformation.

5
Immediate Aftermath

• Lots of phone calls from media vultures wanting
  to know if we had heard the explosions, what we
  had seen of the action, or if guests were
  missing.
• No reaction from the police or security forces.
• Camden Council issued a booklet on how to cope
  and a survey on the impact on business.

6
Consequences

• Post 7/7 a few cancellations on individual
  bookings, initially groups cancelled but then
  re-booked.
• However, post 21/7 majority of groups cancelled
  (e.g 80 of groups on option, one entire series).
• Occupancy for August was ONLY 67 and for
  September 41.

7
So what do you do

• Be GLAD that you and yours are SAFE and SOUND!
• Remember business may take a nose dive but in
  Oriols words its only money repeat it like a
  mantra!!!
• The key is PREPARATION long before the incident.

8
PREPARATION

• Cost efficient- when things are good, be tight so
  that when you hit hard times you have a reserve
  to fall back on.
• Communication - have good alliances with other
  hostels so you can talk and build up a clear
  picture of how business is.

9
PREPARATION

• Promotion- use the likes of GOMIO to publicise
  your property and sell your beds.
• Marketing- Make sure your hostel is advertised
  properly and through all existing channels so
  when things go wrong you are already well known.

10
PREPARATION

• Agents- be nice to agents, so they do take a
  but they are just trying to make money too.
• Censorship- OK its not part of your preparation
  but the media exasperate and exaggerate the
  problem!

11
What not to do!!!!

• Do NOT run around like a headless chicken -
  breathe and remain calm!

12
Do NOT cut your rates!

• It will take a long time to get rates back up,
  especially with agents.
• You offer a good service at a fair price!
• It attracts the wrong type of guest.
• If the guests are not there, no matter how low
  you set your price they wont be coming
• cut your rates and have less guests anyway- its
  a economic disaster!

13
Remember

• Everything comes in cycles! A disaster will
  pass....