How To Use LED to Cut Your Fixed Operating CostsSomali Deb
Most hotel owners complain about labor costs, utilities, and maintenance expenses which impact their net profits every month. There are ways to reduce these costs and increase your profit even when your occupancy remains the same. Here is a few of these cost saving measures in this post on utilities:
How much does utilities account in total operating cost? Answer: approximately 6%
In this post our focus is utilities because we feel we can have maximum impact with minimum out of pocket costs.
1. Consider buying new thermostat with occupancy sensors.
According to California Statewide Utility Codes and Standards Program, smart occupancy processing in hotel rooms can save between 12% to 24% in heating and cooling energy, based on a 5-degree setback when the room is vacant.
2. Convert your current inefficient lights to LED lighting.
LED lighting is one of the most energy-efficient and cost effective technologies. According to energy.gov states LED bulbs use at least 75% less energy and has a 25 times longer life than incandescent bulbs. Take a look our ROI calculator to see costs vs return.
3. Encourage guests to reuse their towels.
Having small signs or placards in bathroom of the guest-rooms to encourage guests to reuse their towels can also be very effective energy saving measure with minimal cost to you. The American Hotel and Lodging Association estimates that this simple request from guests can reduce the number of loads of laundry to clean towels as well as the related water, sewer, electricity, and labor costs by up to 17 percent. The association also commented that this initiative help increase the lifespan of the towels and linens thus reducing replacement costs as well.. Hoteliers generally save up to $6.50 a day per occupied room with such programs (source: Association for Linen Management).
If you’ve already implemented a towel reuse program but are not noticing much participation, consider updating and refining your messaging. Research shows that guests would more often comply with signs that promote descriptive norms rather than one that simply encourages guests to help save the environment. Consider a variation of the following message:
“Join your fellow guests in helping to save the environment! Almost 75% of our guests participate in our resource savings initiative by using their towels more than once. You can join your fellow guests to help save the environment by reusing your towels during your stay.”