Exclusive rights

02 March 2000
Exclusive rights

All-inclusive and exclusive. These are the unique selling points of the Samling at Dovenest, a 10-bedroom property outside Windermere in the Lake District that claims to have found a niche in the market. It is hoping to discover that big profits can come from small niches.

The target market is certainly not big. It's mainly made up of small corporates, family and wedding parties who are willing to take the whole property for £2,370 per 24-hour period, including bed, breakfast, dinner, lunch and unlimited drinks.

Family gatherings

This breaks down into £275 per single occupancy or, in the case of family gatherings, £395 per couple. A minimum stay of two nights is always required at weekends and frequently during the week as well.

The pricing works on the premise that, even if groups overindulge in drink on the first night, they are unlikely to do the same on a second night, so the two evenings' alcohol consumption balances out.

For general manager Peter Lawton the challenge is to communicate to potential users what the Samling is all about. The concept may sound simple enough, but Lawton still has enquiries from people thinking that the Samling operates like a standard hotel and are disappointed when they are told that they can't just book a room.

And whereas house parties - where couples are able to book one room for the weekend - could be an option, Lawton has discovered that they bring their disadvantages. "We did try house parties in the beginning but found it rather hard work, as you have to constantly look after the needs of lots of different people," he confesses. "If you have a single group, you can liaise on all activities through the organiser."

The Samling was set up by Roger McKechnie, founder of snack company Phileas Fogg, five years ago. It was sold last July to Tom Maxfield, founder of Sage Computers, who also owns the Fisherman's Lodge and Treacle Moon restaurants in Newcastle and is in the process of developing an all-suite hotel in nearby Seaham.

New ownership should mean considerable scope for investment, with the aim of lifting the Samling from occupancy levels of 40%, "where we just about break even", to 50%. "If we achieve this we will be lighting cigars with £5 notes," says Lawton. Occupancy of 50% should result in a turnover of £700,000 - it currently stands at £600,000. The advertised rack rate is generally what is achieved, with an occasional bit of discounting or optional additional spend on fine wine.

It is hoped that increased occupancy will come through targeted marketing, although positioning is complex. "We can't join a consortium because we don't fit into the normal hotel mould," says Lawton. The Samling was at one stage a member of Virgin Ultimate, the consortium set up to market Richard Branson's exclusive-use Caribbean hideaway of Necker Island. Lawton joined largely because competitor Ackergill Tower, near Wick in the far north of Scotland, was also a member, but left after just one year.

"We didn't receive any bookings from it, so thought it wasn't worthwhile," says Lawton. A year later the consortium collapsed, once again leaving a gap for properties such as the Samling and Ackergill.

In the absence of a clear marketing path, Lawton is now putting his eggs into the public relations basket. So far, this has reaped dividends, with one huge PR coup: that of regular visits by Hollywood star couple Tom Cruise and Nicole Kidman.

It was through a contra deal with Vogue magazine - Lawton gave Vogue's management free use of the Samling in return for a page in Vogue - that Cruise and Kidman first came to know the Samling. The resulting press coverage put the Samling on the map, almost before Lawton knew it. "I didn't leak the story to the press but somehow they got to know about the Cruise and Kidman visit," says Lawton. "Both were fine about the publicity so we benefited from it." Other similar contra deals with World of Interiors, Brides, and Homes and Gardens followed.

But such high-powered visits are rare and cannot sustain a 12-month business. Over the coming year, Lawton has earmarked £50,000 for marketing, including hiring a pr agency to target the type of corporate business that would use a small venue such as the Samling. There are also plans to boost the wedding business which, at 20% of total revenue, is a profitable earner - about £7,000 for a wedding catering for 20 people.

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