Times Have Changed
July 24th, 2024
When I first embarked upon my adventure working with the family campground industry over four decades ago, most campgrounds were owned and operated by a mom and pop. In many instances, either their last name or a combination of their first names also served as the name of their campground. They provided a highly personalized, but likely less than profitable, service to their guests. It was literally a labor of love. They knew the names of every camper who stayed at their park, even the transients who were there for their first of what would turn out to be many weekends. It was the owners themselves who sat behind the registration desk, mowed the grass, collected the trash, cleaned the restrooms, answered the phone (yes, just one landline phone), and took reservations that were secured with the equivalent of a handshake. Larger parks had the owners’ sons and daughters helping out on weekends and during summer school vacations. Reservations came in the mail as often as over the telephone, and they were typically written with erasable markers on a big white board behind the desk. They provided the kind of quiet, relaxed experience that many people nostalgically recall today, when kids were satisfied with catching frogs in a pond and their parents were content with breathing clean country air and sleeping under star-filled skies.
Times have changed. The campground business now calls itself the outdoor hospitality industry, and mom and pop have either passed away, turned the keys over to their sons and daughters, or sold to new owners with more modern business ideas. Just think of some of the things that seem so essential to running a campground today that did not exist 40 years ago: cell phones, WiFi, websites, Google, sponsored search advertising, social media, campground management and online reservation software, credit card processing, reputation management, water attractions, jumping pillows, dog parks, 50 amp electric hookups, mining sluices, hot tubs, karaoke, slide-outs, glamping, and playgrounds that consist of more than a swing set, teeter-totter, and maybe a merry-go-round … not to mention buyers coming out of the woodwork and people telling you that your business needs a presence on TikTok!
I have made no secret of the fact that I disapprove of many of the changes that have taken place in the campground industry in recent years. In particular, I believe that the trend toward corporate ownership and real estate investment trusts is bad for the industry and bad for the future of camping. I have written in the past about the parallels between what is happening in the campground industry today and what has taken place in the ski industry (where I actually started my business in 1980, prior to embracing the campground industry in 1982). I am still an avid skier, and I appreciate the senior flex lift passes (on RFID cards these days, of course) at my local ski areas, at a time when the bulk of the world’s ski resorts have been bought up by a handful of conglomerates that have priced skiing out of the reach of most families.
Near the price pinnacle during the 2023-24 ski season, a season pass at Aspen Snowmass would set you back at $3,314.00 per person, a weekday adult ticket was $244.00, and a weekday child’s ticket was $179.00. The Aspen Snowmass parent, privately owned Alterra Mountain Company, owns 17 ski resorts through a series of acquisitions in the United States and Canada, essentially fixing prices through its Ikon Pass. Vail Resorts, valued at $6.25 billion in 2021, owns 43 ski resorts throughout the United States, Canada, Australia and Switzerland, essentially fixing prices through its Epic Pass. Each of these companies has also partnered with additional resorts in South America, New Zealand, and Japan to extend their reach even further. Even if they can afford to pay the price, with limited ticket sales in effect at most ski resorts these days, skiers are essentially locked out of what used to be their favorite mountains unless they purchase the respective season pass. There are smaller multi-resort passes, with a more limited reach from Mountain Collective and Indy Pass … but – stop the presses! – Ikon, Epic and Mountain Collective have recently announced a merger that will introduce the new “THE Ski Pass” at $4,079.41, according to the conSKIerge website.
It doesn’t take a rocket scientist, and I do not claim powers of clairvoyance, to see where things are headed in the outdoor hospitality industry today. At a time when ski resorts are now charging you to park your car or check your boot bag, campgrounds are introducing fees for everything from locking in a specific campsite (following in the footsteps of the airlines charging you to select a seat) or using a credit card for payment. If the trends continue, it will not be long before the families who cannot afford to ski will no longer be able to afford camping. Until recently, the campground industry represented a camaraderie, where park owners supported one another, supported long-time vendors who supported their industry, and supported the associations that supported their interests. That is changing. Membership in associations is declining, and ownership groups are attempting to reduce costs through self-insurance, direct buying, and other means of circumventing the established distribution channels of essential products and services. This, in turn, is leading to an aggressively more competitive environment among suppliers. Does the industry really need 25 or more online reservation service providers? In my own business, I recently caught a competitor (rhymes with “big pig encyclopedia”) whose husband-and-wife sales team was directly contacting my clients with a sales pitch that pushed the ethical boundaries. This never would have occurred years ago. Mom and pop are turning over in their graves.
This post was written by Peter Pelland
Posted in Business Ethics, Consumer Trends, Small Business |
Getting a Grip on Your Google Business Profile
February 17th, 2024
Many people are confused by what they see when they perform a Google Search, particularly when they are looking for their own business and think that it is missing from the search results. Scam operators capitalize upon this confusion and offer so-called search engine optimization (SEO) services that generally accomplish little more than obtaining your credit card number. To protect yourself from falling prey to these scammers, it is helpful to understand how Google search results are presented.
Combined, Google and Bing dominate well over 90% of the global search market share. Although Google’s market share has slipped slightly while Bing’s market share has correspondingly increased, Google still maintains nearly 85% of the total. The remainder goes to minor players such as Yahoo, DuckDuckGo, and the heavily censored Yandex and Baidu search engines that are used in Russia and China. Although Bing should not be ignored (and will be explored in a future column), the bulk of your search presence is coming from Google.
Just as cable, satellite, subscription and streaming services might all be thought of as “television” today, many people think that everything that appears on Google is part of the same “search” results. That may have been the case years ago, when most searches were performed on computers, and the results consisted of organic search results (the results based upon SEO) preceded by paid “Sponsored Search” results. Today, two thirds of searches are performed on phones, and many of us search for “(type of business) near me”. We don’t even type in those searches with the same frequency as we did a few years ago, now that we can simply tap the little microphone icon in the search box then search using spoken words.
Google Business Profile
Due to the way that those searches are performed, along with Google’s “mobile first” indexing, the first search results seen are the Google Places results that are accompanied by a Google Map with business markers. These results are based upon your Google Business Profile and your location in relation to the search, such as “campgrounds near me” or, for example, “campgrounds near Paducah KY”. The results should show three campgrounds that are closest to that downtown location upon which the map is centered. In this case, there are three campgrounds that appear in the initial view, and a fourth park – a KOA that is slightly more distant from downtown Paducah – only appears, along with several other properties, if you click on the “More Places” link or drag the map. This is despite the fact that the same KOA appears first in the actual organic search results.
That situation can be frustrating when you think of your business as being “near” a particular city, town, or landmark. It gets even more confusing when you consider that “near” is a relative term, where over 50 miles might be “near” in Montana or North Dakota, while less than 5 miles might be “near” in Connecticut or New Jersey. Most importantly, if you have not created a Google Business Profile, you are essentially not near anything! Drop what you are doing and check to see if you have a GBP by doing a Google search for your business by name. If you do not see that profile to the right of the search results on a computer or at the top of the search results on a mobile device, it is time to create that profile. Alternately, if you see a GBP that contains a link that says “Own this business?”, it is time to take control and complete the profile that has been auto-generated. To understand the importance of this, bear in mind that many people do not scroll beyond these Google Places to see the actual Google Search results!
If you do not see a Google Business Profile – which will frequently be the case with a new business – go to https://www.google.com/business/ to get started. It is free to create this profile, you should do it yourself, and – most importantly – you do not need to pay anybody to provide this service. As the page says, “Take charge of your first impression”. When you manage your profile, the first thing you want to do is to check for and add any missing information, such as your website URL, phone number, correct address, and most appropriate business category. You will next be able to add your logo, photos, and attributes – such as your business being veteran-owned, if that is the case. Once this has been done, it is time to use your GBP to truly interact with potential customers. Post special offers, publicize events, respond to Google Reviews, send and receive direct messages, and create a set of frequently asked questions and answers.
Get Verified
If you do not see a green check mark next to the name of your business on your GBP, click on the “Get verified” link that should appear in its place. If your business has a Google Search Console profile, you will qualify for instant verification. More likely, you will have to utilize one of the standard verification methods, typically a phone call, text, or an email. Less commonly, you will have to use mail verification, where your code will arrive on a postcard within about 7 days or so and must then be entered before it expires in 30 days. Whichever method is being used in your instance, do not edit any of your business information until after the 5-digit verification code has been received and entered. All of this is easier than it may sound, if you just follow the instructions step by step. As I have warned, there are scam companies out there that will also offer fee-based “GBP optimization” services, but beware of those alleged services just like the fee-based SEO outfits. Claiming and verifying your Google Business Profile is something that must be done, and you can easily do it yourself!
This post was written by Peter Pelland
Tags: Google, Google Business Profile, SEO Posted in Google Resources, SEO & Organic Search, Site Submission Resources, Small Business |
Understanding and Capitalizing Upon Churn
April 1st, 2023
It is well-known among businesses of all sizes and across all industries that it is far easier to get an existing customer to renew their business relationship with a company than it is to find and build new customers from scratch, the difference between customer retention and customer acquisition. For a campground, the existing customer base consists of seasonal campers and transient guests who have stayed at your park within the past one to three years and who enjoyed their stay. Statistics indicate that there is up to a 70% likelihood of getting an existing customer to return, while getting a new prospect to turn into an actual customer only occurs from 5% to 20% of the time. The rate of success is contingent upon the quality and volume of your marketing efforts, and acquiring those new customers can incur a cost of up to 7X more than the cost of getting an existing customer to stay with your business, according to research by Bain & Company published in Forbes. Considering those acquisition costs, it should be pretty clear that even a small increase in customer retention can increase overall profits by a substantial margin. Why is it then that most businesses spend more time and money on acquiring new business than focusing on retaining their existing customers? It just doesn’t make sense.
The loss of customers for various reasons is referred to as “churn” or attrition. The term originated with the process for making butter by agitating milk and cream. Without agitation, those ingredients will never turn to butter. It is easy to surmise the importance of preemptively knowing if there are any factors that are agitating your existing customer base, which I have noted consists of guests “who enjoyed their stay.” Your office and registration desk can be very busy at the time of your guests’ arrival, particularly on weekends; however, departures are usually far less hectic. Take advantage of that opportunity to avoid self-checkouts and to try to engage each guest with a brief exit interview. If a stop in your office is not required, catch those guests at your exit gate, asking them if they enjoyed their stay and if there is anything that could have been done to make their stay more enjoyable. If nothing else, they will appreciate that you took the time to ask. Keep track of this feedback, along with any comments that make their way onto online review sites, and take corrective measures if necessary.
Some businesses have notoriously high rates of churn, while others have high levels of customer loyalty. For example, with the exception of users of customer loyalty cards, most people have no loyalty to one brand of gasoline over another, generally accepting that 87 octane unleaded regular is the same just about everywhere, making buying decisions primarily based upon price and how close their tanks are to being empty. Even businesses with historically high rates of customer loyalty can see that situation change overnight when a monkey wrench gets thrown into the works.
Nobody Likes Change
In the outdoor hospitality industry today there is an unprecedented drop in customer loyalty that is accompanying changes in ownership. If a nearby campground has changed hands, particularly if it has evolved from family-owned to corporate ownership, customer dissatisfaction is almost a certainty. Rate increases, newly added fees, and indifferent management all present the milk and cream that you can churn into butter. In many instances, the new owners are obsessed with making infrastructure improvements that rationalize rate increases when the customers they inherited were quite satisfied with the status quo. In other instances, they will literally force out seasonal campers in favor of more profitable transient campsites. If you have the capacity to fill seasonal sites, turn on a “welcome” sign while your competitor is showing those customers the exit.
When management is separate from ownership, there is usually little incentive to work toward long-term success. Management is unlikely to be performing the exit interviews that you should be conducting, and it may be turning a blind eye to online reviews and complaints. Your knowledge of the specific dissatisfactions will allow you to significantly boost the new customer acquisition rate well above the 5% to 20% norm. Just because campers are unhappy with management and new policies down the road does not mean that they are ready to give up on camping. They simply need to know that you are better prepared to respond to their needs, while offering proximity to the same amenities and nearby attractions that they have grown to appreciate.
Although you will no doubt hear word of mouth, go online and search for “(name of campground) complaints” or “(name of campground) reviews” to get a snapshot of major points of dissatisfaction. Look for complaints on campground review sites but also on Yelp, TripAdvisor, and the Better Business Bureau. If there is a preponderance of negative reviews, you can easily identify your opportunities to expand your customer base. Here are excerpts of actual reviews of various parks that recently changed hands:
“Been coming here for 5 years, I used to think this place was the best for family fun but like all things usually do service and accommodations are getting worse and worse. To start with I reserved a premium pull through spot in February for this weekend. I had to pay $50 just to assure I have the spot I reserved. What’s the point of a reservation if you have to pay extra to reserve the spot you selected? Golf cart rentals are higher than average now and if you want to play mini golf you have to pay, when it used to be free.”
“We have been coming here for years, and never had the experience we did this last visit. The campground has gone downhill. Staff is no longer friendly and welcoming as they used to be. This place was once a great relaxing place to vacation but that it no longer the case. We spoke with some folks at the pool that live there, and was told they are also having issues with new management and was sad to hear it was happening to visitors also. Needless to say that was my last trip there!”
“I booked a reservation today, where during the process you pick your site. Once I booked it, the system came up with an extra $100 fee to lock your site. I did not think anything of it and continued. When I printed my reservation confirmation the number of my site was missing. I then called to find out and was informed that you get whatever site is available unless you pay the additional $100 fee. I then asked to cancel the reservation and got everything back except for a $20 cancellation fee. I asked for a supervisor, and the lady said she was a supervisor and would not refund me fully even though I just made the reservation less than 90 minutes earlier. This just left a horrible feeling. Makes me think all they are interested in is money and not good customer service. It is a shame because it was going to be a group of us, but I called the other 4 couples and told them not to book. We will go to another campground.”
“My husband (now deceased) and I purchased a park model at a campground that this company now owns in June of 2020. We paid a premium price (well over its value) for this particular park model because its location in the campground. The park was then bought out by the new owners at the end of last year. Yesterday we received a letter via email informing us that not only are they eliminating our site from even being a possible location for a park model/seasonal lease, but we would have to sell it through the park’s RV sales lot, will have to pay to move it to that lot, and any likely buyer will have no chance of being able to use it anywhere within the park. We will likely lose at least $20,000 when all is said and done.”
There are patterns in those complaints, mostly involving increased fees and indifferent management. Times are changing, but not necessarily for the better. As always, change can present opportunities for well-informed business owners. Now is perhaps the best time in years to churn some butter!
This post was written by Peter Pelland
Tags: customer loyalty Posted in Guerrilla Marketing, Marketing Strategies, Small Business |
Do Some Math, Then Get Real
November 17th, 2022
My company builds websites
for the campground industry. A few years ago I reached out to the manager of a
campground in a Northern state whose website would appear to be in desperate
need of replacement. Its 14 year old website (nearly a century in either
website or dog years!) was not mobile-friendly, had zero in terms of SEO
(search engine optimization), was not ADA compliant (really an unknown issue at
that time), had nothing but a phone number to call for reservations, did not
even list the campground’s address, and had not been updated since it was built
(still promoting that the park was the “newest” in its area.) After being asked
to quote on a new website, the manager responded that my company’s services
were “to rich” (sic) for his campground that was only open for a 5 month
season.
I explained that most
campgrounds in the Northern states were only open from late spring through
early fall, hardly an operating calendar that was unique to his park. Based
upon the weekly rates that are published on his website, if a new
professionally designed website brought in only 15 new campers who would not
have otherwise chosen to stay at his campground, he would have fully recovered
his investment during a single season. That investment recovery would not even
include the additional income generated by those guests’ purchases in his
store, laundromat, game room, or fee-based added services. I went on to ask if
his park was at full occupancy throughout its 5 month season, pointing out how the
satellite image on Google Earth showed that his park had 48 sites – 35
pull-thrus and 13 back-ins – only 16 of which were occupied at the moment when
that most recent image was captured.
I am referencing this
campground’s website as simply an example of short-sighted thinking. The
campground manager could have been dismissing the cost of Wi-Fi service,
reservation software, upgraded electrical service, energy efficiency upgrades,
a new line of store merchandise, a new dumping station or honey wagon, new
rental boats, cabin or park model rentals, yurts or teepees, branded apparel, or
replacements for the worn out and inefficient washers and dryers in his
laundromat. Translated from the original Latin, the adage that “you have to
spend money to make money” is nothing new, originally credited to the Roman
playwright Titus Maccius Plautus a little over two millennia ago.
I can understand a short
season factoring into a decision to purchase a motorcycle, snowmobile,
speedboat, convertible automobile, or any other consumer good that represents
an emotional want rather than a physical need. Those decisions all involve the
purchase of personal goods, whereas an entirely different set of standards
should apply when making well-informed business decisions.
I have always found it
useful to make business decisions based upon the measurement of projected
return on investment. This can apply to almost any purchase. Let me use Wi-Fi
as an example, along with a few rounded numbers to simplify calculations. Let’s
presume that you run a campground with 100 sites, that your average nightly
site fee is $50.00, that the average guest stays two nights, you have an
average occupancy rate of 50%, your season runs 150 days, and that 50% of your
prospective campers demand Wi-Fi and will not stay at a park that does not
offer high-speed Internet at sites. Let’s also presume that the cost of a new
Wi-Fi installation at this small- to medium-sized park would be $7,500.00
(admittedly on the high side.) Although some parks charge for the service, and
others offer tiered service levels, let’s presume that your park is going to
treat Wi-Fi service as a utility that will be provided to its guests at no
added charge as part of its overnight fee.
If the added service
increases occupancy from 50% to just 60%, that means filling 10 otherwise empty
campsites at $50.00 per night. Over the course of a 150 day season, this
represents $7,500.00 in income, fully recovering the investment in the new
Wi-Fi system, or an investment that is recouped in a single season. If your
park is in a competitive market that allows it to charge for Wi-Fi service, the
payback period may be even shorter. The same sort of calculations can be
applied to an investment in upgraded electrical services, when your prospective
guests are seeking out reliable 50-amp service when most of your sites are
providing 20- or 30-amp service through rusty power pedestals with circuit
breakers that trip open on a regular basis. In fact, when it comes to park
utilities, problems with Wi-Fi, electrical service, roadways, water pressure
and sewerage are just as likely to lead to an abbreviated stay as an obnoxious
camper or barking dog on an adjacent site. The same claim may be made for
restrooms or playgrounds in dire need of upgrades, a store with too many empty
shelves, or a game room with too many “out of order” signs. Weaknesses in these
areas can actually be driving away business, as well as inflicting harm on
review sites.
When it comes to less
tangible services such as a park’s website, reservation software, planned
activities and advertising, it is still quite easy to calculate return on
investment and to make informed decisions. In fact, these represent some of the
best ways to spread the word about that new Wi-Fi or electrical service,
essentially speeding the return on investment on those infrastructural
improvements.
Think twice – and
perform some calculations – prior to dismissing a business investment out of
hand. That “too costly” investment may be both easily recovered and the key to
running your business more profitably than ever.
This post was written by Peter Pelland
Posted in Marketing Strategies, Small Business, Website Development |
Adapt to Changing Times
August 27th, 2020
If there is one thing that
is certain with respect to the COVID-19 pandemic, it is that it has almost
universally inflicted a negative impact upon small businesses, campgrounds
included. It has been a wild and bumpy ride that is far from over as I pen this
column in late June of 2020. In most instances, the timing of the pandemic
could not have been worse, delaying openings and leading to a wave of
cancellations at the start of the season.
Campgrounds that were forced
to delay their openings longer than those in most other states, understandably upset
that their ability to generate income had been severely hindered, may end up faring
better in the long run compared to parks in states that jumped the gun at
reopening. With several Northeastern states – particularly New York, New
Jersey, Connecticut and Massachusetts – representing early hot spots for the
virus, some of the less densely populated states may be hitting their peaks at
the height of the summer camping season – a situation that could end up being
far worse than a delayed opening.
Wherever you fit in the
continually evolving map, there is no question that you are going to have to
get creative in order to at least partially offset an overall loss of
anticipated income.
Reach
Out to Non-Campers
Despite the fact that the
airlines and the hotel industry are making serious attempts to persuade the
public that they have made changes to safeguard the health and well-being of
their passengers and guests, some of the last things that most people want to
do at this time would be to take a non-essential flight and stay in a big
hotel. There is even less desire to take a cruise (if the cruise lines were
open) or to be a part of a large indoor event (if most of them were not
cancelled out of respect for both common sense and the public welfare.) The
hotel industry is adapting what are called enhanced cleaning protocols to
sanitize guest rooms, common areas, and key touch points. For the time being,
guests should not expect breakfast buffets, welcome drinks or mini bars, and
nobody wants to ride on a crowded elevator with a man who is not wearing a mask
and who just sneezed.
With all of the hesitancies
that are challenging the hotel industry, campgrounds are rightly perceived as a
much safer lodging alternative, particularly those that offer full-service
cabins and other accommodations that appeal to people who have been
non-campers. Of course, you need to practice those same enhanced cleaning
protocols that apply to hotel rooms; however, you should embrace the
opportunity to be able to reach out to a new category of guests who are new to
the camping experience. This might mean stepping up your offerings of services
and amenities that might have been expected in a more conventional setting,
many of which offer new opportunities for added income. For example, just as
hotel guests might rely on room service to order meals, you might offer
deliveries of things like ice, firewood, and even pizza. You might also want to
consider advance check-ins, express check-outs, escorting new guests to their
sites, and adding branded face masks and sanitizer products to your store
inventory.
Consider
Extending Your Season
Although experts within the
medical and infectious disease communities are currently predicting a 75%
likelihood of a second wave of outbreaks in the fall (based upon previous
pandemics in 1918 and 1957), should this not occur, you might want to consider
extending your camping season beyond its usual closing date. This represents
another means of compensating for some of your likely losses both at the start
and at the height of your season. The interest in camping is less likely to
wane at the end of the summer as may have been the case in past years. Schools
may or may not be reopening, and spectator sports like NCAA and NFL football
are likely to either be cancelled or have restricted attendance. In normal
years, unless your park was located in close proximity to an NCAA college
campus or sports stadium, the seasonal interest in these events tended to divert
a portion of your guests away from camping. Those guests might now be quite
willing to continue their camping seasons, particularly after getting off to a
late start.
Recruit
Seasonal Campers
There has always been
somewhat of a quandary between whether a park should have a greater number of
seasonal or transient campers. When occupancy rates are high, there is no
question that transient sites generate more income than seasonal sites. On the
other hand, seasonal sites represent stable income that is as safe and secure
as money in the bank. In 2020, with phased business re-openings in most states,
there is no question that predominantly seasonal or all-seasonal parks fared
far better than parks that cater primarily to overnight guests. In particular,
parks that rely upon their proximity to major nearby attractions have been hurt
badly while many of those attractions have remained closed. Hurt even worse
have been parks that cater to a highly mobile clientele, located midway along a
highway connecting two major attractions.
Now might be the right time
to consider converting a number of your park’s overnight sites into seasonal
sites. With that same desire for safety and security, many campers are showing
a first-time interest in becoming seasonals. Promote the availability of these
new sites on your website and social media, not only for 2021 but offering
pro-rated opportunities for the current season to your existing guests. If you
have transient guests who are returning for multiple stays, reach out to them
personally to offer them one or more incentives to become seasonals. Sometimes
it is simply a matter of asking them what it would take on your part to persuade
them to make the decision.
When it is necessary to
adapt to changing times, it is important to be flexible and to think of
innovative ways to safeguard your income, profitability, and your ultimate
business survival.
This post was written by Peter Pelland
Tags: COVID-19 Posted in Marketing Strategies, Small Business |
What Is Normal?
July 27th, 2020
We hear a lot of talk about
the “new normal” and a “return to normal”, but what exactly is normal? I will
admit to being a lover of language and linguistics. The dictionary defines
normal as “conforming to a standard; usual, typical, or expected.” We can also
get into some more statistical definitions involving standard deviation from
the mean, along with more technical definitions in fields such as geometry,
medicine and sociology. Allow me to offer a general definition for normalcy or
normality (two synonyms with identical meanings as the more awkward and far
less frequently used word “normalness”) as a condition that meets currently
conventional cultural expectations. “Current” because what is normal changes
over time, and “cultural” because what is normal varies among different social
environments. Cricket is fairly unique to the British, bullfighting is fairly
unique to the Spanish and football only begins to make sense to Americans, but
they are all considered normal in their own environments.
In general, humans are not
that interested in what is average, more likely considering it to be either
boring or mundane. What we want is something that appeals to us individually
and that falls within our own comfort zones. That is part of the big appeal of
camping, and that is the reason for such a wide range of choices when it comes
to campgrounds. Unless a person suffers from agoraphobia, there is a campground
and its accompanying social experience that represents a perfect and easily
accessible escape to the comfort of what constitutes that person’s “normal”.
A
“Comfort Zone” or a “Twilight Zone”?
The COVID-19 pandemic has
certainly thrown us all for a loop. Travel restrictions, social distancing, and
the wearing of masks have certainly erected barriers to normal social
experiences. As we cautiously evolve toward a state of normalcy – either old or
new – comfort zones will vary from one person to another. In the opening
narration of the first season of The Twilight Zone, host Rod Serling defined
what he called that fifth dimension: “It is the middle ground between light and
shadow, between science and superstition, and it lies between the
pit of man’s fears and the summit of
his knowledge.” We are in that
Twilight Zone right now!
For example, as I am writing
in early June of 2020, there is no way that I am ready to sit in a movie
theater, attend a music festival, sit in a sports stadium, join a peaceful
demonstration, take a seat on an airliner, and even think about attending a
convention. I have written more than once in the past about my concerns over
the lack of sanitation and cleanliness in hotels, and I am not yet assured that
the hotel industry is up to meeting the new challenges. I already had no
intention of ever taking a cruise again in my lifetime. Maybe I have always
been more aware of sanitary standards than the average person, and a compromised
immune system makes me ever more cautious; however, until each business
category and individual businesses within each of those categories can put me
into my comfort zone, those businesses will remain in their own twilight zones.
Campgrounds are in a much
more persuasive position when it comes to meeting people in their comfort
zones, as well as not worrying about contributing toward a spike in infections.
Once interstate travel restrictions are eased, most people realize that staying
in their own RV is just as safe as staying at home. Whether under state mandate
or an abundance of precaution, it is up to individual campgrounds to offer the
assurances that they have implemented measures to ensure the safety of their
guests and employees. Some things will need to change, at least for the time
being.
Shared
Facilities and Group Activities
It is unfortunate that it
sometimes takes a pandemic to open our eyes, but change is nothing new,
especially when it comes to public health concerns. Two generations ago, who
would have thought twice about people sitting around a swimming pool or
involved in a group activity while smoking cigarettes? Even a decade ago,
nobody would have given any thought to picking up their dog’s waste at the side
of a roadway or trail. I am willing to venture a guess that there is nobody who
yearns for the days when they could take a leisurely walk and accidentally step
in a pile of dog waste.
As we exit from the current
crisis, just as important as it is to outline your expectations for your guests’ behavior, it is necessary for
you to outline what you are doing to alter your
own business practices in the interest of your guests’ wellbeing. These are
the assurances that will take those guests – both new and returning – from
their twilight zones into their comfort zones, helping your business to recover
from what has most assuredly been an economic disaster.
You will want to reassess
standards in your shared facilities. This might include spacing out seating
areas in pavilions, ensuring that separate employees in your store or snack bar
are handling food and financial transactions, actively maintaining a
housekeeping checklist in your rental units and restrooms, installing soap
dispensers and hand dryers if they are lacking in your restrooms, and
installing and maintaining hand sanitizer stations in frequent use areas. You
will also want to reassess some of your planned activities and events. This
might not be the best time to engage in shared food events such as potluck
dinners, barbecues, or make-your-own sundaes. It is probably also not a good
time to schedule events that involve close personal contact such as
arm-wrestling contests or three-legged races. Your playground should be cleaned
on a regular basis, and the clubs and balls on your mini-golf course should be
sanitized when returned at the end of a game. A lot of this can be thought of
as more of the “new common sense” rather than the new normal.
We will get over
this. Thinking over the concept of what is normal will help you to financially
recover all that much sooner.
This post was written by Peter Pelland
Tags: Coronavirus, COVID-19 Posted in Marketing Strategies, Small Business |
Your Small Business Short-Term Survival Guide
April 2nd, 2020
This morning, as the sun
rose on a new day, outside my window I could hear birds singing and see trees
budding. We are just short of seeing the first blooms of spring breaking
through ground that was covered by a fresh blanket of snow just a week ago.
Outside of humanity’s limited perspective, life is going on as usual. For those
of us who are sheltering in place and seeing our livelihoods disappear like a
magician’s grand illusion, life is anything but normal. None of us can predict
where we will be a month from now or beyond. Will we have personally contracted
the Coronavirus, and will we be added to the numbers of survivors or the
growing numbers of victims? About all we can do is pray for the best and do
everything possible to ensure our personal survival. This includes the survival
of your small business.
We hear the news reports
each day about the massive layoffs of employees in the hotel, restaurant,
airline, and retail service industries. Massive retailers such as Macy’s, Kohl’s, Best Buy, JCPenney, and Gap
have furloughed hundreds of thousands of employees. When shopping malls and
retail stores are closed, it is difficult to keep sales associates on the
payroll.
Your Small Business
The big companies and the
big industries dominate the news because of their impacts upon larger numbers
of people; however, there are some 45 million small businesses in the United
States today, ranging from sole proprietorships with a single employee to
somewhat larger businesses with fewer than 500 employees. Family campgrounds,
as well as the vast majority of suppliers to the industry, fall into this small
business “mom and pop” category. If you run a campground, albeit on a smaller
scale, you are hurting just as badly as the airlines, hotels, and cruise ship
companies. Nobody needs to tell you that your phone is not ringing off the hook
with reservation requests.
Absolutely nobody asked for
the COVID-19 pandemic, but we are all being impacted. As you probably know, the
United States Congress passed the Coronavirus Aid, Relief, and Economic
Security (CARES) Act in late March. Several of the provisions of this economic
stimulus package are designed specifically to provide assistance to businesses
like yours. You simply need to file the applications, and to file them quickly.
As I have mentioned, there are some 45 million small businesses in America, and
probably 99% of them have been seriously impacted; however, the funds that have
been allocated under this massive stimulus package will only cover
approximately 1 million claims.
You
Are Entitled to Assistance
The first component that is now available is the COVID-19 Economic Injury Disaster Loan assistance program that is administered by the U.S. Small Business Administration (SBA). This program involves a simple, five-page online application that will entitle you to receive a one-time $10,000 non-taxable, forgivable loan payment. It is essentially a grant that will be issued directly by the SBA and deposited directly into your bank account, designed to help your small business to weather the storm and be ready to welcome guests again when all of this is behind us. It is important for your business to survive and to return to its role as a productive component of our country’s economy, and these funds are intended to help to make that happen. Go here to apply now: https://covid19relief.sba.gov/#/
The second component that
directly applies to your business is the Paycheck
Protection Program. This applies to you even if you are the only employee
at your campground, but it is particularly helpful for campgrounds with a
number of employees, particularly full-time year-round employees who are
essential to the operation of your business. I understand that many mid-sized
and larger campgrounds have put their hiring of seasonal employees on hold, but
you cannot be expected to find, hire, and train replacements for your
management and supervisory staff at a moment’s notice. You need to do
everything possible to keep these people on your payroll (and off of your state’s
unemployment compensation rolls.)
The Paycheck Protection Program consists of calculated loans that will be forgiven and converted to non-taxable grants as long as the funds are used as intended. The amount of the loan is determined by your documented payroll expenses (including independent contractors who are provided with 1099’s rather than W-2’s) and a simple formula. The general idea is for these funds to be used to help you to keep as many employees as possible on your payroll for 8 weeks, even if they are unable to perform their usual responsibilities. These loans will be distributed through the SBA through local banks. The applications will be available online starting on Friday, April 3, 2020. They will be found here: https://www.sba.gov/funding-programs/loans/paycheck-protection-program
In the meantime, contact the
bank (credit union, or other lending institution) where you conduct your usual
business, to determine whether or not it will be participating in this program.
(It is likely that it will be participating, since it will earn fees for
processing these loans.) You will otherwise be directed to another nearby bank.
The Bottom Line
As we have heard it said from the many recent White House briefings, “America wants to return to work.” The only way for this to happen is if businesses, both large and small, can survive this current crisis and be ready to open their doors to their customers once again. There was a fight to include small business assistance in what could have otherwise been nothing more than a massive corporate bail-out. It is your responsibility to apply to receive your fair share of assistance. The federal government wants you to return to being a productive taxpayer, your state wants you to keep employees on your payroll and off the unemployment lines, and your campers are eagerly waiting for the time when you can welcome them to a fully operational park.
This post was written by Peter Pelland
Tags: Coronavirus, COVID-19, Economic Injury Disaster Loan, Paycheck Protection Program, SBA, Small Business Association Posted in Small Business |
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