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Bus 508 Business Plan

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Glamorz Bed and Breakfast
Daris Davis
Dr. Mensah-Dartey
Business Enterprise
June 6, 2010

Business Description Bed and Breakfast is an exciting new down home kind of business springing up all across the country. In 1975, there were only 400 bed and breakfast inns in the United States. That number is over 15,000 today. The professional association of Innkeepers International foresees a doubling of bed and breakfast inns in the next century (Stankus, 1997). To ensure many return customers, we are looking to create a home away from home which may be more beautiful than where they are coming from. The blissfulness of down town Albany has always drawn a significant number of tourists to the area. Tourists will want to explore the riches of Albany like; the Albany Symphony Orchestra, Chehaw Wild Animal Park, Putt-Putt Golf & Games, Albany Museum of Art, and Ambiance Day Spa and Salon to name a few. In addition to providing information about such locations, we plan to collaborate with tour agencies and businesses throughout the area by offering packages and special rates with in-kind incentives for the cooperating merchants, including tours originating from Glamorz. Guest will be welcomed at the front door by the Innkeepers, pampered with comfortable accommodations, enjoy luxurious amenities and local attractions during their vacation. Each suite will be equipped with a gas fireplace, private bathroom, European towel warmer, hair dryer, magnifying mirror, a Jacuzzi whirlpool for two, hypo- allergenic featherbed, Silk Petal soaps, luxurious bathrobes, flat screen TV/VCR/DVD, audio system and ipod, state-of-the-art air conditioning, high quality linens, a selection of books and magazines and a welcome tray with ice, bottled water, and a personal note from the innkeepers. Every morning a full breakfast will be delivered to the suite in and may be eaten on the beautiful dining table next to the fireplace or on an outdoor deck. The mission of Glamorz Bed and Breakfast is to become the best choice in Albany, Georgia for temporary boarding by having a tasteful and luxurious style that no other B&B in the state of Georgia has. Our guest will receive top notch services in a caring, upscale, and professional environment. We plan on having an environment that makes our guest feel like royalty without spending a commodious amount of money. The Glamorz Bed and Breakfast will be a partnership, equally owned by Daris Davis and Zana McFarland. Ms. Davis will reside on the property, managing and maintaining the business and satisfying Albany licenses requirements.

Industry and Market Analysis

The key elements of marketing are knowing the product and or service you are selling, identifying the market or target customer, and then promoting and advertising to that target customer so they will buy the product and or service. In this case the product and or service is the B&B. Glamorz, along with other short-term lodging in Albany, have been a substantial part of the tourism. Of the short-term lodgings in Albany, nine are categorized as inns, four as hotels/motels, and only two as B&Bs. Keeping track of the financial health of our business is essential to its long-term survival. We will begin by implementing a good record keeping system. There are many excellent small business record keeping software packages on the market. Using computer technology to manage the business finances will save a lot of time and money. However, keeping records by hand in a ledger will work just as well. A good system will help us keep up with our operating expenses, which begin the day that Glamorz open for business. These expenses include maintenance, utilities, office supplies, food and beverage, salary, wages and employee benefits, mortgage, licenses/permits, advertising/promotion, professional services, insurance, reservation service/travel agent fees, association dues, guest supplies, etc.

Competitive Analysis The bed and breakfast industry offers a unique lodging environment, which caters to an ever-increasing group of travelers. B&Bs create a climate of home, where guests become temporary members of a larger family. The B&B home opens itself to guests, allowing them to participate and share in the richness of a community, while still allowing whatever degree of privacy is preferred. Meals can be shared with the innkeepers and other travelers allowing new relationships to be created and old ones enriched. Or, meals can be taken in the privacy of the guest's room. A variety of settings available in the B&B are situated to enable individuals or small groups to locate the perfect setting for whatever mood or activity one is pursuing (reading, watching television, playing board games, etc.). In the B&B, a guest is a guest in one's home, not a customer. It becomes a place to return to: at the end of a day, or during the next vacation.

The goal of Glamorz Bed and Breakfast is to become the primary resort in Albany, Georgia by creating a unique and appealing experience. We plan on doing this with great personal service, the glamorous nature of the building, and its attractive location in downtown Albany. We also plan to create an environment of gratifying luxury that surpasses any other lodging facility. Glamorz will focus on quality, luxurious, yet affordable, lodging for vacationers interested in exploring Albany and the surrounding regions of the area. Our most important groups of potential customers are those who traditionally choose the bed and breakfast climate to the more traditional and sterile surroundings of hotels and motels. A modest projection for increased unit rental is 30% per year. Competitors in Albany have averaged 30% plus rental increases over the past three years, and the Best Western Albany Mall Inn & Suites is forecasting 50% increases for the next two years before hitting full capacity. This projection is without any significant increases in advertising or exposure, but is based on the general average increase in tourism.

Marketing Concepts Basically, bed and breakfast is a revamp of European hospitality, adapted and courtly to the American way of doing things. This growing trend services a type of customer who travels but wants a change of pace from the traditional hotel stay. It might be the corporate traveler, who may prefer the bed and breakfast inn to a hotel when it is convenient to their destination. For leisure travelers, the bed and breakfast inn may be the destination in and of itself when located near a popular or desirable vacation spot. Our two major customer segments are tourists from the north who traditionally prefer the cozy environment of B&Bs, and local patrons who need the facilities for various events. Subscriptions to various Web services will provide international exposure to potential customers for nominal annual fees. Similar to tourists who choose to stay in traditional hotels, customers who patronize B&Bs seek relaxation, fun and stress management while on vacation. However, this type of customer also prefers comfortable accommodations in a cozy, family environment. These people are more social, they love meeting new people while at the same time require enough privacy to enjoy their vacation. Glamorz has all the necessary facilities to attract such customers. Customer satisfaction will play an important role in the marketing concept because we will act on the belief that customer satisfaction is the top priority. Putting resources and efforts towards satisfying customers will be kept in mind at all times. The guest at Glamorz will have every need met to ensure his/her comfort. For special occasions, catered meals, chilled wine, etc. can be provided. During the weekends, guests will return to the B&B in the evening and find cheese, fruit, and wine for snacking before turning in.

Human Resource Requirement This will not be an absentee-owner operation. We plan to be directly involved in all key aspects of decision making and day-to-day operations of Glamorz. There will be no off-site control of the operation which would tend to minimize profits and minimize service. With that in mind, however, there will be a small need for peripheral personnel to help maintain the facility. Since we plan on performing most of the meal service operation ourselves, with assistance from a well-known chef and a minimal kitchen staff, costs will be controlled in this phase of operation, which has the largest variable cost control environment. In addition, we will also be able to directly supervise the front desk functions and night auditor functions to a limited degree. In addition, we plan to hire a full-time room cleaning person, a full-time kitchen assistant, and one to two part-time maintenance / handyman type positions. The total personnel requirement will be less than five employees at all time.

Reference

http://www.bplans.com/bed_and_breakfast_business_plan/market_analysis_summary_fc.cfm#ixzz0q8ehBMK4

http://www.entrepreneur.com/startingabusiness/businessideas/startupkits/article83704.html

http://www.powerhomebiz.com/BizIdeas/B&B.htm

Stankus, J. (1997). How to Open and Operate a Bed & Breakfast. Globe Pequot Pr.

Arduser, L., Brown, D. R., Fullen, S. L. (2004) How to Open a Financially Successful Bed & Breakfast or Small Hotel. Atlantic Publishing Group Inc.

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