Here is why our competitors are so pissed
I have had some comments and e-mails from competitors, some are through the grapevine. They think we are undercharging for our services and give too much for free…
They also use underhand tactics to say we are too new to the market and it’s a risky bet to use our software. One competitor told our potential competitor that we would ruin their business and then signed them up on the spot to another 1 year contract using hard sales tactics. Shame.
Are we undercharging?
We can be from 10 to 50 cheaper than competitors, much of it depends on the hotel and its location.
Our pricing structure charges only 1% of online bookings, where most of our competitors charge for amount of rooms. So a quiet large hotel in Asia where average room price can be less than $20 per night we are crazy cheap in comparison.
We don’t think we are undercharging at all, and the market moves at a really fast pace. If you are going to charge the earth for software then it better really perform and be worth the money.
Do we give too much free?
Competitors are pissed, we give free setup, free website, free SSL/HTTPS certificate, free advice and other stuff for our great customers.
This is how our competitors make their money, the up-sell of a hotel website that costs $4000 and comes with a maintenance of $30 a month is great margin for them. Then on top of that they can charge for HTTPS and every change will cost you more $$$.
So do we give too much for free? No, we have built our product in such a way that to give a great hotel website with a choice of template can be built into the overall price point. Our free setup on the system and website takes all the work out of swapping to our system also.
We even provide a migration service for free where we will enter all the bookings in ready for a change of system.
How are we cheaper?
We have built the product in such a way that everything is automated with software, from billing to setup. This keeps our costs low and we can pass on this benefit to you the hotel or B&B.
Sorry Guys
You can keep your 15+ years of experience in the industry, the high prices, the pricy extras and your setup fees.
We don’t need swanky offices and expensive sales tricks, our costs are low and we run on the cloud. We are also aggressively priced to grab market share when hotels are on their quiet seasons.
Regards
Evan Davies, Founder of The Booking Factory
