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Success stories / 3 min read

A view from the ocean: Profitroom strikes again!

Introduction

Ocean View House was built 30 years ago and continues to be an oasis of peace and serenity. It is located on Cape Town's Atlantic Coast and is close to the legendary Camps Bay, with its bars, restaurants, and beautiful beaches.

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The Challenge

The hotel landscape has changed rapidly in a short space of time, accelerated by Covid 19. Less than a decade ago, bespoke hotels like Ocean View House could run an advertisement in glossy magazines and get a good return on the investment. Now, as a recent Google study shows, 74% of travellers plan their trips online and more than 45% of online users use smartphones to plan their vacations.

A significant part of Ocean View House's response to the Covid resurgence was to enhance their service offerings and simplify communication with existing and potential guests while staying on top of market changes and industry demands.

Having tried several different booking engines and other automated and digital solutions, they found each of them unable to deliver a comprehensive solution that would convert enquiries into direct bookings and attempt independence from OTA bookings. 

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The Solution

Since adopting Profitroom’s innovative Booking Engine 360 and Channel Manager in December 2022, Ocean View House has been able to increase revenue, direct bookings, and their average daily rate (both direct and OTA) within weeks of going live. 

The Results

Since partnering with Profitroom, Ocean View House has seen:

  • An increase of 150% in Online Booking Engine revenue in Q1 compared to the same period in 2019 (pre Covid19). 
  • The amount of Online Booking Engine Reservations has increased by 283% compared to 2019.
  • The average daily rate between a direct reservation and those from popular OTAs is on average R1300 higher than before. 
  • During Q1 of 2023 online searches in their Booking Engine showed demand for 28 299 bed nights up until the end January 2024. 
  • 98% of abandoned carts were recovered (Only one lost booking in three months!).
  • They created a new revenue stream by selling additional extra’s up front. 
  • 76% of forward bookings are booked 90+ days in advance. 
  • Generated over R1 million in booking revenue within the first five weeks through direct bookings on the Profitroom platform. 
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Their Journey

Being an owner-run, independent property can often be overwhelming when competing in such a popular destination against big and popular hotel chains. One of the best parts about joining forces with Profitroom has been the support, from the first day of onboarding to the start of their growth journey with their Customer Success Manager. Profitroom really understands bespoke properties and have geared their efforts towards elevating automation to assist small businesses to cope with the time constraints on management and a handful of expertly trained multitaskers to perform a multitude of duties normally dealt with by several separate departments.

“This booking engine has helped us continue to provide unforgettable experiences. After using four different ones over 15-years at Ocean View House this has got to be the best one. The run-up to going live happened over Christmas in 2022 yet I have never felt as much support as Profitroom gave me.” says Katrin Ludik, owner of Ocean View House and seasoned hotelier. 
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