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Leaked Holiday Inn manual reveals strategies to boost breakfast spending

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Leaked Holiday Inn manual reveals strategies to boost breakfast spending
Research
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Gary Leff Chief Financial Officer | View from the Wing

IHG's Holiday Inn breakfast manual for managers has surfaced on the web, revealing strategies to enhance guest spending during breakfast. The document offers insights into guest preferences and tactics to increase morning revenue. According to the manual, 30% to 50% of Holiday Inn guests have breakfast on the property, with approximately 27 million breakfasts served annually.

Based on research from Kellogg's, guests are categorized into four groups:

- Breakfast skippers: Only visit the dining room if meeting someone.

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- Breakfast grabbers: Prefer quick, grab-and-go options.

- Ham ‘n Eggers: Opt for buffets or full meal options.

- Breakfast believers: Always start their day with breakfast but are cost-conscious.

Holiday Inn emphasizes four key service elements:

1. Orange juice first: Guests should be approached with a carafe of orange juice initially.

2. Coffee now: A thermos of coffee is offered, with mugs pre-set at the table.

3. Estimated time of service: Guests are informed about the approximate wait time for their order.

4. Departure cup and lid: Guests drinking coffee should receive a to-go cup.

The estimated service time is quoted plus three minutes to manage expectations effectively; for instance, a 10-minute delivery expectation would be quoted as 12-15 minutes.

The manual highlights that offering orange juice first can significantly boost sales due to its impulse-buy nature. Visual cues like a carafe in front of guests promote these purchases more effectively than other items like coffee, which most adults will order regardless.

Servers are instructed to take beverage orders before serving water automatically to avoid defaulting guests to water and missing out on juice sales. In addition, there are suggested scripts in "The Art of Suggesting" section aimed at promoting juice sales.

Regarding egg orders, whole eggs are used when ordered "up" or "over," while pasteurized liquid egg products are required for omelets and scrambled eggs. Thin-cut bacon is allowed on buffets; however, thick-cut bacon must be used for menu orders.

Servers have the authority to exercise the "Hospitality Promise" during breakfast without managerial approval, including waiving charges if necessary.

Holiday Inn advises franchisees against offering buffets due to potential cash theft by employees from cash buffet sales. They also provide 12 suggestions for managing buffet costs, such as eliminating juice and/or coffee from buffet offerings so hotels can charge separately for these items.

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