Rethinking Happy Hour: A Better Way to Increase Revenue

Almost every resort hotel has one.

A happy hour.

Two-for-one cocktails.
Discounted beer.
A crowded bar for an hour before dinner.

At first glance, it sounds like a great idea. More guests at the bar, more activity and a lively atmosphere.

But what if your happy hour is happening at exactly the wrong time?

Guests are already coming

Many hotels place happy hour between 5 and 6 pm.

The problem?

This is often when guests naturally leave the pool, shower, and start gathering before dinner. In other words, many of them would probably have bought a drink anyway.

Instead of creating additional sales, the hotel simply gives a discount on purchases that would likely have happened regardless.

Discounts are easy. Creating new demand is harder.

The real question is not:

"How do we sell more drinks between 5 and 6?"

It is:

"When during the day are guests not buying anything?"

That is where the opportunity often lies.

Move the moment

Imagine moving the activity to 3 pm instead.

The pool is full.
Families are relaxing.
Many guests are starting to feel thirsty, but few have decided to visit the bar.

Now the hotel creates a reason to buy.

Instead of discounting existing demand, it stimulates new demand.

Even better, it spreads sales more evenly throughout the day and reduces pressure during the busiest pre-dinner period.

Make it an experience

The best hotels don't simply sell cheaper drinks.

They create a small event.

Perhaps a bartender walks around the pool with small tasting samples. When people arrive he can remind of Happy Hour staring 1/2 an hour later etc. 

Maybe today's local cocktail is introduced with a short story.

Or perhaps guests vote for tomorrow's drink of the day.

The experience becomes something guests talk about—not because the drink was cheaper, but because it was memorable.

Every hotel is different

There is no universal "best" time.

A family resort, an adults-only hotel and a city hotel all have different guest rhythms.

That is why hotels should observe where guests naturally move throughout the day before deciding when and how to create special moments.

Sometimes the answer is moving happy hour.

Sometimes it is replacing it entirely.

The opportunity

At We Help Hotels, we spend time observing guest behaviour before suggesting changes.

Sometimes the biggest improvement is not introducing something new.

Sometimes it is simply moving an existing idea to a better moment.