The problem with standard PBSA contracts is that they cover 40-45 weeks every year, leaving rooms empty for 7-12 weeks. That’s two to three months of zero revenue on your units. So how do you achieve lasting revenue growth by tapping into PBSA summer revenue opportunities?
In this Cloudfox blog post, we will look at your summer revenue options, how to make them work for you, and how to set up a tech stack to take the pain out of management.
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Let’s start with six ways to make your units work for you during those summer months.
Offering discounts for longer-term stays, early bookings for new semesters, or even referrals is an easy revenue opportunity for PBSAs; because it relies on your existing tenant database. It also encourages loyalty, helping you reach higher capacity in rooms over time.
The great thing about longer-term lets is that they need fewer clean-up services and less admin. Making a simple change to your processes here will help cut costs over the summer.
Whether you are increasing your unit rentals over the summer or closing down, it is always worth contacting your supplier for better package rates. So consider your card transaction fees, parking services or WiFi packages - What do you need, and what can you live without?
While Mum and Dad often get first refusal for picking up and dropping off during the first term at uni, students often need a helping hand as time goes on. A great way to increase revenue across the year is to provide student pick-up and drop-off services. This could include a shuttle service to and from the airport or train station, or moving services for those who are transferring away from units over the summer.
Language schools and summer course providers often have an influx of new students coming to the area for the first time. They don’t know anyone or have anywhere to stay. This is where PBSA’s can provide a valuable service.
Check out providers like Kaplan International Language School to see how you can collaborate.
Things like the Olympics might not come to the UK very often, but there are several opportunities that you can provide accommodation for if you are in the right location. We mentioned Edinburgh Fringe Festival in our recent PBSA rate-setting blog - did you know that 2.2 million tickets were sold in 2022 for an event that was woefully underrepresented with reliable and affordable accommodation? PBSAs units are perfect short-term let opportunities.
At this point, we hope we have got you thinking. Now it’s time to consider how to make these opportunities work.
Every new or upgraded revenue stream takes an amount of planning and prep. Here are a few reminders on how to make these opportunities work on building revenue over the long term.
Regardless of who manages these services, at the very least, you’ll need to set up your tech for new or increased revenue opportunities. Let’s take a look at what that might look like.
To make summer revenue easier to add to your workload, you should consider an online booking system that allows summer renters to check availability, view pricing, book accommodation and self-service support tickets.
You’ll also need to automate your comms, marketing and property management systems (PMS) early on so that your team isn’t worrying about filling new rooms while students leave from the ending semester.
Then there’s cash flow and revenue reporting because you’ll need to dig into those numbers as time passes.
We think an ideal tech stack might look something like this:
Need that tech stack building for you? Or maybe you’d like help with bookkeeping - Contact us today and let’s chat!