We had to go to Kalispell....
to attend a funeral. Planned to arrive 5 Aug, leave 7 August. Every campground close to town that I called was fully booked, no sites available. EXCEPT the relatively new RV Park right on the edge...
Forum Discussion
Lantley wrote:mikestock wrote:
The first rule in business: Charge too much and you won't make money, charge too little and you won't make money. The best rate to charge is the one that maximizes profit. Unless this campground is full when all others in the area are full he needs to adjust accordingly or learn the hard way.
While there is a sweet spot. "Chick Filet" Capacity does not equate to success. Ruth Chris does not want to set their prices such that they have a line wrapping around the building like a McDonalds.
There are profit margins. Capacity alone does not = profitablity.
You can be just as profitable at 50% capacity as you can with 100% capacity if your rates are set at a profitable level.
Low rates are not necessarily the key to success/profitabilty.
Not to say there are no other variables. There are many, of course. Free gov't money as your competition for workers is hard to predict.
