Increasing Income is Only Part of the EquationMarch 16, 2018
Business 101 teaches us that raising income is only part of what makes the bottom line more profitable.
The very important other half is cutting expenses. When we go into a park to manage it, we immediately take a microscope to expenses. Here are just a few of the ways we have been able to shave, carve, or chop expenses:
- Install sub metering for electric-capturing electric costs that were formerly included in site nights
- Find water leaks in parks which have caused the water meter to tick away
- Renegotiate credit card processing fees to obtain a much lower rate
- Work with local janitorial supply houses to supply items free of charge
- Cancel ineffective and expensive ad campaigns for leaner and more productive digital advertising
- Install cost cutting technology for a greater guest experience and reduction in payroll hours
- Renegotiate Insurance policies, often times with greater coverage at lower rates
- Work with local communications vendors for better internet, tv, and phone service rates
Just a few of these measures can help ease pressure on the expense side of the P&L and make for a more profitable park. AOS will be addressing this and more in upcoming blogs and speaking engagements.