Hotel Heaven: Independent Hoteliers Reveal Their Keys to Success

If you’ve ever seen Hotel Hell, the television show where Gordon Ramsey attempts to salvage failing hospitality businesses, you know that not all independent hotels were built to succeed. 

With the pressures of large hotels receiving more brand recognition and the other stressors of running a small business, such as staffing and overhead costs, independent hoteliers must get creative to not only stay alive but thrive and offer their guests a slice of heaven during their stay. 

There are plenty of thriving independents out there that make Hotel Heaven a reality for their clients. From offering authentic experiences to personalized guest services, independent hotels play an important role in the accommodations market. 

Here are what independent hoteliers told TMR are their biggest keys to success. 

Have a clear mission 
According to Kirsten Dixon, owner of Tutka Bay Lodge in Alaska, independent hotels must have a “believable, honest, and authentic mission” to be successful. 

“That’s where it starts, and from there everything can flow,” she told TMR. 

Tutka Bay Lodge, part of Within the Wild Alaska Adventure Company, has a mission to educate guests about nature and leave them feeling inspired by it. The hotel is committed to sustainability and protecting the environment, which impacts the entire guest experience, from interactions with hotel staff to the outdoor activities they offer. 

Similarly, at The Palms Hotel & Spa, the mission is “to create a vacation experience of total well-being, inspired by nature.” The 251-room hotel blends beachside luxury, sustainability, and wellness on the shores of Miami Beach. 

“This mission shapes all services and amenities of the hotel, from the décor to wellness experiences, food & beverage selections, sustainability programs and team management values,” Katja Janzon, vice president of marketing and co-owner of The Palms, told TMR. 

Hire the right employees 
Having a mission statement slapped on webpage is not enough, however. Independent hotels need to hire employees who can practice what they preach. This can be a challenge because some potential workers could be lost to bigger brands, but it is not impossible if you treat staff like family, hoteliers said. 

“The most important thing is the staff – the people who your guests encounter,” said Johannes Faessler, owner of Sonnenalp in Vail, Colorado, told TMR. “What our guests really like is not only that they can expect a high level of consistent service, but they meet people they know and are known by.” 

Sonnenalp is a small, family-owned boutique that’s been around for more than 40 years. The 130-room hotel includes restaurants, a pool, and a spa, and is centrally located in one of the country’s most popular ski towns. 

Janzon notes that having the same employees stay on board year after year makes the hotel feel like “home away from home” for return guests. 

“The Palms management team consists of a core team of highly qualified, committed and loyal managers, for whom their work team is like a second family,” she said. “We also employ a large number of long-term employees who are serving the hotel between 5-20 years, living and breathing the mission and values of the Palms brand.” 

Offer an authentic experience 
For guests, the appeal of staying at an independent hotel lies in the more local and authentic – less generic and corporate – experience that it offers. Therefore, independents are always striving to incorporate local influence in the food, decor, and other parts of guests’ stay, as well as collaborating with the community like any small business does.  

“When guests leave a great independent hotel, they should feel like they’ve tasted a slice of the neighborhood the hotel is in, whether it’s Kauai or West Hollywood or Chelsea,” said Ben Rafter, president and CEO of Springboard Hospitality, which operates 46 hotels in 13 states. 

Though the guestrooms are certainly important, some hoteliers feel strongly about investing in the common areas, which could attract locals and make the experience even more authentic for travelers. 

“The soul of a hotel is more in the other areas; the restaurants, the bars, the spa, the swimming pool are where you meet other people and have fun experiences where there’s music and all this type of stuff,” Faessler said. 

Set prices equal to value 
In order to thrive, independent hotels need to know their worth – and charge for it. If a hotel offers a unique, authentic experience that no other accommodation offers in that destination, the nightly rate should reflect that. 

“A lot of independents think price cutting is a good idea, but we think if we reduce the price that we’ll never recover that price,” Dixon said. “If we charge less now, [guests are] not going to want to go back to the higher price.” 

Dixon added that independent hotels need to continuously demonstrate their value to justify the price to guests. 

“Any independent hotelier should think, ‘Are we worthy enough for guests to travel across the world to come stay with us?'” she said. 

According to Faessler, maintaining value as an independent hotelier comes down to striking the right balance between incorporating new innovations that keep the business up to date and keeping things the same at the core so that repeat guests return to something familiar. 

Join a hotel group 
Though they’re independently owned and operated, independent hotels can join hotel groups that assist with challenges in their business such as vendor negotiations, marketing, and more. Larger hotel chains have the upper edge on independents in these areas, but hotel groups – such as Leading Hotels of the World, Preferred Hotels & Resorts, Curator Hotel & Resort Collection, Beyond Green, and others – offer many different benefits to independents. 

According to Janzon, The Palms’ affiliation with Preferred has allowed them to tap into the travel group’s global sales team, network with similar hotels, and offer a loyalty program to its guests. The Palms is also affiliated with Beyond Green, which offers them public relations and marketing assistance, an eco-certification, and more networking with other like-minded hoteliers. 

Jennifer Barnwell, president of Curator, told TMR that Curator offers a “wide array of program offerings to enhance their guest experience, improve employee engagement, and create value through cost-saving programs ranging from technology, operational systems, vendor partnerships, and additional revenue generating channels as well as media and marketing opportunities. This allows our member hotels to focus on the guest experience and continue showcasing what makes them stand out.” 

Stay independent 
Independent hotel owners love managing the day-to-day operations of running a hotel – when a problem arises, they can solve it quickly because there’s no corporate oversight. They can get feedback directly from their customers and act upon it. When done right, the business model allows for increased profitability because there are no fees for a management company, Janzon said. 

“Not being controlled by a third-party brand allows us to appoint our own management team, retaining full control over the hiring, training and management of employees, implementing sales and marketing strategies, managing budgets and finance, and ensuring the overall quality of the hotel,” she added. “It also allows maximum flexibility in making changes to our business model at any time, subject to fluctuating market conditions.” 

Plus, independents are constantly moving the needle in the industry by offering local flavor for guests who want that. Said Rafter, “Without independent hotels we lose deep connections to the community and the search for what’s new and interesting.”