A very simple way to increase your ROI inside your STR

A very simple way to increase your ROI inside your STR

Garrett BrownPro Member
Rental Property Investor · Houston, TX · Member since 2024 · 505 posts · 551 votes

As everyone is getting for the holidays to ramp up and the new year to turn, I want to give some insight into a simple thing that me and my team have been doing to increase our ROI by about 10-15% each month. Some people already do this, but I chatted yesterday with someone who had not thought of this, so I wanted to give out one of my best ways to maximize your revenue and resources.

We upsell 3-to 4 simple packages that guests love; I have trained my cleaners to handle them (they make extra money), my VAs help schedule it with cleaners, and we still make a 50% profit margin on everything.

An example of one package we have is a Romantic Package - $199. 
12 Balloons (buy the helium tanks and keep balloons on site for your team or use a local shop)
Rose Petal Entry Way (bought off Amazon)
2 Dozen Roses (local grocery store for $10-15 each dozen)

Led Candle Display (bought off amazon and reusable)
I Heart U Signs (amazon and reusable)
Champagne (or wine if they want)

This equals around $60-70 each time and we pay our cleaner $40 to set up. Guests love this upsell for the experience provided, they are more likely to share on social media, you can use the decorations as marketing, build relationships with local vendors, and provide extra income for your team. 

We even (I still can't believe it) had a person stay in one of our units that is about $350 a night, who bought EVERY SINGLE PACKAGE (Romantic, Birthday, Breakfast, and Pizza/Smores Kit) and spent $1000 in packages alone. I definitely thought it was a scam but it was legit and easily one of my most profitable 1 night stays away from a pure revenue stand point. We sell about 5-6 of these a month per unit. Happy hosting and holidays my fellow STR friends!

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Andrew SteffensBusiness Member
Tampa, FL · Member since 2022 · 3k+ posts · 3k+ votes
1y

Great idea(s) depending on your market.  I take a slightly different approach and try to partner with local vendors and get commission/kick backs.  In my area (near the beach) its mostly families and they want cabanas, baby items, chairs, coolers etc that we do not provide but I have a local vendor that delivers and picks up these items and charges a few dollars per day for each item, and give me a 20% referral.  I am also looking at a new company called Noshable that does grocery delivery precheck in and gives kickbacks as well.

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  • Atlanta · Member since 2022 · 710 posts · 640 votes
    1y

    i think its very property and location specific. I have two 3 bedroom places, mostly families coming in so those romantic packages wouldnt be that popular. Great ideas, but the property has to match the package.

  • Garrett BrownPro Member
    OP
    Rental Property Investor · Houston, TX · Member since 2024 · 505 posts · 551 votes
    1y

    @Trent Reeve completely agree, but I'm hoping this helps some operators start thinking about what they could offer additionally to keep boosting their revenue. If it's a family cabin, we still sell our Breakfast Package (all things not cooked) and Birthday Package quite a lot. Nothing in the STR space is one size fits all, but the ideas can help others see the potential in their property.

  • Investor · Member since 2015 · 222 posts · 173 votes
    1y

    Garrett, these packages sound like they are a hit for your properties.  I'm always impressed with people's creative ideas!!!  

  • Garrett BrownPro Member
    OP
    Rental Property Investor · Houston, TX · Member since 2024 · 505 posts · 551 votes
    1y

    Thank you @James R. ! I have become almost obsessed with figuring out how to maximize the properties I do have currently before I keep adding even more. I'm really hoping to up my local partnerships with companies in 2025 to bring even more value. I just put Goat Yoga options as a new one at my bigger house properties with some land to try out with a local company lol. 

  • Andrew SteffensBusiness Member
    Tampa, FL · Member since 2022 · 3k+ posts · 3k+ votes
    1y

    Great idea(s) depending on your market.  I take a slightly different approach and try to partner with local vendors and get commission/kick backs.  In my area (near the beach) its mostly families and they want cabanas, baby items, chairs, coolers etc that we do not provide but I have a local vendor that delivers and picks up these items and charges a few dollars per day for each item, and give me a 20% referral.  I am also looking at a new company called Noshable that does grocery delivery precheck in and gives kickbacks as well.

  • Garrett BrownPro Member
    OP
    Rental Property Investor · Houston, TX · Member since 2024 · 505 posts · 551 votes
    1y

    Those are great ideas @Andrew Steffens. Your operations are always spot on. I haven't heard of Noshable but seems like a massive win-win all around. 

  • Rental Property Investor · Northern Virginia · Member since 2022 · 127 posts · 123 votes
    1y

    Thank you for the valuable post, @Garrett Brown! I'm inspired. Do you suggest adding a package to my digital guidebook or offering it differently? I only operate 1 house I bought this year, but I'm eager to stand out in the competition. Thanks again!

  • Garrett BrownPro Member
    OP
    Rental Property Investor · Houston, TX · Member since 2024 · 505 posts · 551 votes
    1y

    Great question @Shannon Strickland! Do you have a direct booking website? If so, you can add package upsells automatically through your property management software (e.g. Hospitable). For something like Airbnb only, I would just simply message the guest when they book that you are excited to have them and that you offer xyz packages if they are interested. I also sent another message 7 days before, just reminding them that we offer different packages if they haven't already gotten one. You can have the package list as a note on your phone or PMS and send it to them easily if they ask what is included. Nothing wrong with it in your guidebook as well though for a small page or section! 

  • Michael BaumPro Member
    Olympia, WA · Member since 2016 · 8k+ posts · 7k+ votes
    1y

    We don't do anything like this very often. We have a big place so it is families and groups.

    I do ask guests before booking if they are celebrating any special occasions and I will add some extra things to the welcome box that fits if I can.

  • Member since 2024 · 41 posts · 25 votes
    1y

    I absolutely love this idea! It's abiut touch and convenience = instant gratification and satisfaction.

  • Member since 2024 · 41 posts · 25 votes
    1y

    I absolutely love this idea! It's abiut touch and convenience = instant gratification and satisfaction.

  • Member since 2024 · 48 posts · 23 votes
    1y
    Quote from @Garrett Brown:

    As everyone is getting for the holidays to ramp up and the new year to turn, I want to give some insight into a simple thing that me and my team have been doing to increase our ROI by about 10-15% each month. Some people already do this, but I chatted yesterday with someone who had not thought of this, so I wanted to give out one of my best ways to maximize your revenue and resources.

    We upsell 3-to 4 simple packages that guests love; I have trained my cleaners to handle them (they make extra money), my VAs help schedule it with cleaners, and we still make a 50% profit margin on everything.

    An example of one package we have is a Romantic Package - $199. 
    12 Balloons (buy the helium tanks and keep balloons on site for your team or use a local shop)
    Rose Petal Entry Way (bought off Amazon)
    2 Dozen Roses (local grocery store for $10-15 each dozen)

    Led Candle Display (bought off amazon and reusable)
    I Heart U Signs (amazon and reusable)
    Champagne (or wine if they want)

    This equals around $60-70 each time and we pay our cleaner $40 to set up. Guests love this upsell for the experience provided, they are more likely to share on social media, you can use the decorations as marketing, build relationships with local vendors, and provide extra income for your team. 

    We even (I still can't believe it) had a person stay in one of our units that is about $350 a night, who bought EVERY SINGLE PACKAGE (Romantic, Birthday, Breakfast, and Pizza/Smores Kit) and spent $1000 in packages alone. I definitely thought it was a scam but it was legit and easily one of my most profitable 1 night stays away from a pure revenue stand point. We sell about 5-6 of these a month per unit. Happy hosting and holidays my fellow STR friends!


     Awesome ideas, thank you! 

  • Danae PitcherBusiness Member
    Realtor · Orlando, FL · Member since 2023 · 61 posts · 61 votes
    1y

    Great ideas @Garrett Brown!  I bet you were floored when the person ordered every package you had to offer!! Lol.  I would imagine things that are skewed towards whatever holiday is coming up would be big sellers too.  For instance - Easter baskets, Halloween candy, fun craft beers for St Patty’s Day, tons of options for Valentine’s Day, small tree and decor set up for Christmas, etc.  Endless options for sure.  

  • Investor · KY · Member since 2022 · 204 posts · 77 votes
    1y

    This an awesome idea. I have heard of cabin / mountain market STR operators doing some kind of hiking package, or way to connect a guest to a private tour guide for an "upcharge" which gives the hike tour guide an income and the STR operator a nice upcharge too.

  • Garrett BrownPro Member
    OP
    Rental Property Investor · Houston, TX · Member since 2024 · 505 posts · 551 votes
    1y
    Quote from @Zachary Cain Humphrey:

    This an awesome idea. I have heard of cabin / mountain market STR operators doing some kind of hiking package, or way to connect a guest to a private tour guide for an "upcharge" which gives the hike tour guide an income and the STR operator a nice upcharge too.


     Exactly! Anything to up your guest experience. Airbnb themselves are going all in on this and there is a reason for it. We connected with a jet ski and boat rental company near our lake for a discount and commission per booking at one property. 

  • Garrett BrownPro Member
    OP
    Rental Property Investor · Houston, TX · Member since 2024 · 505 posts · 551 votes
    1y
    Quote from @Danae Pitcher:

    Great ideas @Garrett Brown!  I bet you were floored when the person ordered every package you had to offer!! Lol.  I would imagine things that are skewed towards whatever holiday is coming up would be big sellers too.  For instance - Easter baskets, Halloween candy, fun craft beers for St Patty’s Day, tons of options for Valentine’s Day, small tree and decor set up for Christmas, etc.  Endless options for sure.  

    I didn't even think about the Easter/Halloween-specific ones! What a great idea. The options are truly endless. I tested out a lot before I landed on my favorite 4 for profitability and ease of putting together. I tried things like charcuterie boards from a local company, but there were too many variables. 
  • Garrett BrownPro Member
    OP
    Rental Property Investor · Houston, TX · Member since 2024 · 505 posts · 551 votes
    1y
    Quote from @Max Smetiouk:

    I absolutely love this idea! It's abiut touch and convenience = instant gratification and satisfaction.


    It's worked fantastically for the guest experience and the whole team.

  • Real Estate Agent · Long Island · Member since 2018 · 88 posts · 38 votes
    1y
    Quote from @Garrett Brown:

    Great question @Shannon Strickland! Do you have a direct booking website? If so, you can add package upsells automatically through your property management software (e.g. Hospitable). For something like Airbnb only, I would just simply message the guest when they book that you are excited to have them and that you offer xyz packages if they are interested. I also sent another message 7 days before, just reminding them that we offer different packages if they haven't already gotten one. You can have the package list as a note on your phone or PMS and send it to them easily if they ask what is included. Nothing wrong with it in your guidebook as well though for a small page or section! 


     Thank you!  You answered my question.  This seems like a great idea.  I just wasn't sure how you'd exactly bypass Airbnb or VRBO platforms.  It seems like offering this as a separate package once you secured the booking is a good idea. 

  • Real Estate Agent · Long Island · Member since 2018 · 88 posts · 38 votes
    1y

    Hi @Garrett Brown, I really love this idea.  Talk about taking hospitality to another level.  How does this work with alcohol though?  Are we technically serving alcohol?  If you are providing champagne or wine, would we need a license for that to do so?  This may seem like a dumb question.  I have just always wondered that when we go to a hotel and they give us bottle to celebrate an event.  I'd be curious to get your opinion or anybody else on the post. 

  • Rental Property Investor · Somewhere over the Rainbow · Member since 2021 · 1k+ posts · 1k+ votes
    1y

    Super cool idea I think - win-win for everyone, you make extra $, cleaner makes extra $, guest gets what they want and can have a unique memorable experience.

    Opens the door for lots of different "package" types 

    What's the downside? A bit more time and management? 

  • Investor · Humble, TX · Member since 2016 · 54 posts · 22 votes
    1y

    @Bryan Stengel, I think alcohol has been the tough one with the STRs, not sure about if you need license( hopefully someone will chip in ) , however there  always the liability part including but not limited to offering alcohol to people who are trying to quit etc.

  • Garrett BrownPro Member
    OP
    Rental Property Investor · Houston, TX · Member since 2024 · 505 posts · 551 votes
    1y
    Quote from @Bryan Stengel:

    Hi @Garrett Brown, I really love this idea.  Talk about taking hospitality to another level.  How does this work with alcohol though?  Are we technically serving alcohol?  If you are providing champagne or wine, would we need a license for that to do so?  This may seem like a dumb question.  I have just always wondered that when we go to a hotel and they give us bottle to celebrate an event.  I'd be curious to get your opinion or anybody else on the post. 


     Obviously, I'm not a lawyer and should consult with one before. I think the safest approach would be offering the package at a certain price and excluding the alcohol. You can then "gift" them the alcohol for staying with you. We take ID's for all guests (in a website called Chekin) so would have documentation the booking guest is above 21. This would be the safest approach but also, anyone that is worried or has extra strict oversight in their area could simply avoid anything alcohol related in their packages. You could even send it through Doordash to the guest.

  • Real Estate Agent · Long Island · Member since 2018 · 88 posts · 38 votes
    1y
    Quote from @Garrett Brown:
    Quote from @Bryan Stengel:

    Hi @Garrett Brown, I really love this idea.  Talk about taking hospitality to another level.  How does this work with alcohol though?  Are we technically serving alcohol?  If you are providing champagne or wine, would we need a license for that to do so?  This may seem like a dumb question.  I have just always wondered that when we go to a hotel and they give us bottle to celebrate an event.  I'd be curious to get your opinion or anybody else on the post. 


     Obviously, I'm not a lawyer and should consult with one before. I think the safest approach would be offering the package at a certain price and excluding the alcohol. You can then "gift" them the alcohol for staying with you. We take ID's for all guests (in a website called Chekin) so would have documentation the booking guest is above 21. This would be the safest approach but also, anyone that is worried or has extra strict oversight in their area could simply avoid anything alcohol related in their packages. You could even send it through Doordash to the guest.


     Thank you!

  • Member since 2018 · 6 posts · 2 votes
    1y
    Quote from @Kwame Koom-Dadzie:

    @Bryan Stengel, I think alcohol has been the tough one with the STRs, not sure about if you need license( hopefully someone will chip in ) , however there  always the liability part including but not limited to offering alcohol to people who are trying to quit etc.


  • Member since 2018 · 6 posts · 2 votes
    1y
    Quote from @Kwame Koom-Dadzie:

    @Bryan Stengel, I think alcohol has been the tough one with the STRs, not sure about if you need license( hopefully someone will chip in ) , however there  always the liability part including but not limited to offering alcohol to people who are trying to quit etc.


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