Sixty percent of my corporate nights come from one channel
I have six furnished doors now and I pulled the source of every placement since I started. Four of six units filled last year through the same corporate housing marketplace, which takes 12 percent of gross and pays net 45 from the end of the month the guest checks out. On a $3,100 unit that is $372 a month gone and a receivable that sits out past ten weeks on a short stay. The other two units came from two direct employer contacts, a regional construction firm and a hospital system credentialing office, both of which pay in ten days and both of which found me by accident.
The direct accounts are obviously better per dollar. They are also two phone numbers, and one of them is a single person who could change jobs in March and take the relationship with her. The marketplace never changes jobs. It sends me inquiries in weeks when I have done nothing at all, which is exactly what I am paying 12 percent for.
So the question is where the next hundred hours of my effort goes. Deepen the channel that already works, meaning better photos, faster response times, more units listed, accept the 12 percent as a cost of doing business. Or spend that time on direct outreach to HR and project managers, which is slow, has a terrible hit rate, and might produce two accounts in a year that then pay full freight for five years.
I have also watched two operators in my market go direct, lose the marketplace ranking that came from consistent bookings, and struggle to get it back when the direct pipeline dried up. That risk is what stops me from picking.
Where do the next hundred hours go?
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