Spend or Save - that is the dilemma!
by Dan R-B - 10:21 on 15 November 2008
In recent weeks I have been “mulling” over the planned refurbishment that we were looking to do and deciding whether in the current economic climate it was warranted to spend money when maybe the squirrel in me should be storing my nuts….not in a bank I hasten to add, well at least not more than 50,000 nuts.
I have come to the same conclusion as many that we are now in recession as a country and that the bottom of it has not been seen. 2009 will prove to be a very tough year and I will be managing in a climate not previously experienced by my generation. Some tough decisions lie ahead and I am sure some unfavourable ones but I have decided it is best to manage the situation in front of me as I see i unfolding. Being a seasonal hotel we have already cut overheads by releasing seasonal staff, closing on a Monday and Tuesday as we do annually and focusing on our purchases. I do however feel some what helpless when it comes to rising energy and food costs. I am very big beleiver in networking and asking for others opinion so that I can better understand a situation to enable me to make the right decision. Needless to say there are plenty of daily conversations going on at the moment.
The other areas to focus on are maintenance and capital investment as well as marketing. I do firmly believe that is ill advised to cut marketing budgets at a time when we need to try and get the attention of as many guests as possible to influence their decision when booking a holiday. I will be visiting the US in January as usual to see the Texans, the only place that continues to have money, and see if I can encourage them to visit Scotland and of course Torridon, especially now that the dollar rate is back to 1.50…….they cannot refuse! We are also exploring great online visibility to try and maximise the product.
Refurbishment is the final area and earlier in the year we had planned to refurbish the kitchen, Rooms 20,7 and 5, new dining room curtains and chairs as well as the Torridon Inn bar and restaurant. Well we have had to scale back our plans and mothball a number of projects until the spring or later. The kitchen will be fully refitted in January and the Torridon Inn is to receive a facelift and changes, some of which are well under way.
Why you may ask? Not least because it is needed but ultimately that there will be an end to this doom and gloom and I would like to see The Torridon well placed to benefit from a change in circumstances and positioned to lead the way out offering greater value for money and a unique experience. I cannot afford to stand still and cannot imagine letting things slip so spend it is, in a more limited way than first planned, and store some of my nuts in a safe place in case this gloom continues longer than expected. I hope we are talking more positively this time next year.
Why you may ask? Not least because it is needed but ultimately that there will be an end to this doom and gloom and I would like to see The Torridon well placed to benefit from a change in circumstances and positioned to lead the way out offering greater value for money and a unique experience. I cannot afford to stand still and cannot imagine letting things slip so spend it is, in a more limited way than first planned, and store some of my nuts in a safe place in case this gloom continues longer than expected. I hope we are talking more positively this time next year.
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