(f) Food services include the variety of food, serving facilities, equipment, and refreshments required. Bob and Carol have included a bottle warmer and high chair for the convenience of families with infants.
(g) Other facilities needed is where any extra facilities or services needed for this type of customer should be listed. Bob and Carol’s B&B would probably need a play area and children’s games, for example.
(h) Preferred attractions can be determined by referring to your tourist attraction survey. Transfer those attractions that would appeal to this type of customer from your tourist survey onto your customer survey form.
(i) Another service you may consider providing is Internet access, either by a wireless network or by a desktop computer in a common area for your guests to use. Alternatively, you may choose not to provide Internet and market your B&B as a true getaway from the technology-driven nature of day-to-day life.
Now do your own customer survey.
It is very important that you gather statistics on all types of potential customers. Don’t restrict your list to those types that you personally prefer. You should survey your total potential customer base so that you will have all the necessary information to make informed decisions in the next chapter.
Keep all completed copies of your customer surveys for future reference.
5. Know Your Competition
One essential market research task is to study your competition. Take a look at existing establishments already offering accommodation and meals to your potential customers. By knowing what your competition is and is not doing, you will be able to design a more competitive B&B.
5.1 Other B&Bs
The majority of your direct competition will come from any existing B&Bs close to you. If you are in the countryside, the distance of direct competition will probably be many miles in all directions. If you are in a small town, the town boundaries will mark out your area of direct competition. In very large cities, you need to look at existing B&Bs within your own neighborhood.
5.2 Small, local inns
Small, family-run inns or lodges will also compete directly with your B&B because they offer many of the same attractions. For the purpose of your market survey, consider any inn or lodge with ten rooms or less to be small. Larger inns and lodges should be classified as commercial establishments.
5.3 Local commercial establishments
Commercial establishments are defined as large blocks of apartment suites or cabins, large inns and lodges, and hotels or motels. Generally speaking, these commercial establishments do not present a serious competitive threat to a B&B. The service provided and the overall atmosphere of these types of commercial businesses is quite different.
However, larger commercial establishments will present some competition if they are within sight of your B&B. A closely situated inn, hotel, or motel may distract passing customers who are seeking overnight accommodation.
You can overcome this difficulty by cultivating a customer base that is not dependent on the “passing trade.” You can also make yourself known to the management of these commercial businesses and offer to take overflow guests.
5.4 The competitor survey
Now you need to collect information on existing B&Bs, small inns, and those commercial establishments in your immediate area that will compete with you.
Do your own competitor surveys
To simplify the survey procedure, you should follow these guidelines:
(a) Confine your surveys to establishments in your local area.
(b) Limit your research to about ten surveys.
(c) Survey no more than two commercial establishments.
(d) Survey no more than three small inns.
(e) Survey at least five B&Bs.
If there are more than five B&Bs in your area, classify them into similar groups: for example, all historic homes or all homes with swimming pools, etc. Then survey the best example from each group.
Following are some notes on completing your surveys:
(a) Establishment and Host/Manager: Name the establishment and indicate what type it is. It is also helpful to include the name, address, and phone number of the hosts or managers. “Style” indicates the general character: historic, quaint, modern, motel, hotel, etc.
(b) Facilities and services: Check off those services offered by the competitor.
(c) Bedrooms and Bathrooms: Note the number of bedrooms and bathrooms, the location of those rooms, the type of beds available, and convenience factors such as number of stairs.
(d) Breakfast: Indicate the variety of menu offered, the food services provided, and the location where the breakfast is served.
(e) Other foods available: Note any other foods and refreshments made available.
(f) Operating rules: Describe the operating rules and restrictions of the establishment.
(g) Room tariffs: List the room rates and the methods of payment accepted. Everybody accepts cash, so this method of payment is not shown. Room rates are quoted in dollars per day and they imply that the cost of breakfast is included. Single occupancy means one person per room. Double occupancy means two people in one room. Extra person means the charge for accommodating a third person in a room. Discount rates are listed under Group, Weekly, or Off Season.
Keep all completed survey worksheets for future reference.
Once you have looked closely at your competitors, you probably have some additional ideas on the facilities and services needed by your customers. You should look again at your customer surveys (Worksheet D) and update them with any new ideas.
6. Document Your Market Research Costs
Document all the costs that you might have encountered during your market research. Make sure that you make all relevant entries onto your cost sheet before you proceed to the next chapter. Memories tend to fade with time, and loose receipts tend to get lost. It is important to cultivate the habit of recording expenses as they occur and keeping all receipts. You don’t need to worry about a sophisticated bookkeeping system at this point; it is enough to sort your receipts and store them in envelopes labeled with the month and year.
“Apple Cart” Apple Butter
• 10 lbs. apples
• 6 quarts apple cider
• 2 tablespoons allspice
• 2 tablespoons cinnamon
• 4 lbs. brown sugar
• 2 tablespoons ground cloves
Core and quarter apples, but do not peel. Boil apples in the cider until soft.
Remove apples and force through a sieve back into the cider.
Add spices and brown sugar. Stir constantly and continue to cook until the mixture reaches a thick consistency.
Bottle, store, and serve like jam.
4
Using