Bad Service = Bad Decision

Well I really do not like the logistics part of this job at times.

Despite my older posting:

http://randombusinesstraveller.blogspot.com/2009/01/brussels-apartment.html

 

I have wound up with a "discussionette" with the company. This revolved around two areas. Firstly guess what, rental came up due for march and they had doubled their price :( Secondly as this followed a week where my room was downgraded, but I was not refunded (i.e. overcharged 100 Euro) the difference in room rates.

I have had a discussion both with the property manager as well as the company owner/CEO to which I got the Belgian equivalent to the Gallic shrug.

Now this type of behaviour in a service industry is bad business. During a global recession it may be close to suicidal, as customers do have the ability to go else where.

 

Guess what I can save money, by staying in a Hotel for four nights a week rather than paying for their apartment and this is exactly what I have done.

 

Not the outcome I wanted, as I liked the apartment (when I got the one I paid for), but not enough to pay well above the market rate.

 

Hotels, operate on a form of CVP costing. i.e. they have high fixed costs but once they have covered them the rest is pure profit. This is why the key measure in a hotel is its occupancy rate. So the apartment, could have done a deal with me and got a guaranteed contribution to their fixed costs for the next six months. They chose to follow the commodity pricing route, which if they are regularly going to have 100% occupancy rates is the right choice. However, I as someone who can read the reports on travel and tourism, think they just threw away guaranteed income against wishful thinking.

 

Oh well at least I saved some money!

 

 

Tell me what day it is and I will tell you where I am

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