Do hotels actually make money off the honor bars in the rooms? I think I took something out of one maybe once in my 20 years of going to Vegas.
Okay, first, a definition of terms is in order.
In some hotels, an "honor" bar, a.k.a. "honesty" bar and "honor-system" bar, is one that's in the lobby or lounge or on an executive or concierge floor. It's unattended by staff, so guests help themselves to drinks and snacks and are on the honor system to leave an appropriate amount of cash in a lockbox (with or without stated charges), or pay via app, or make a note of what they consume to report to the front desk on checkout. Honor bars are typically found in more upscale and boutique hotels and are intended to make guests feel more at home; their use has become much more prevalent over the past decade or two.
Sometimes the mini-bars in hotel rooms are called honor bars, but that, at least to us, is a misnomer, or at least anachronistic. It used to be that hotels provided a menu with items and prices and you marked down what you consumed, again on the honor system. These days, however, no honesty is required in the use of most hotel-room mini-bars or stocked mini-fridges; in general, they either have electronic sensors that record when a drink or snack is removed from (or even moved around in) the mini-fridge or the housekeepers take inventory when they clean the rooms. Perhaps a bit of honor comes in when you buy an item, but don't have to shell out for it on the spot; still, you're sure as shootin' responsible for paying for it at the end of your stay.
Some hotel rooms have "honor bars" without mini-fridges, selling such countertop items as bottled water and chips, nuts, and candy bars.
In others, mini-fridges are stocked with beer, wine, mixers, and cold-food items for sale. Some have a combination: a stocked mini-fridge and a bar offering water and snacks, along, perhaps, with toiletries and sundry items that guests might have forgotten to bring or find they need during their stay.
Still others offer empty mini-fridges for the use of guests to preserve their own food. Sometimes these are included at no charge in every room; other times, you can rent one for a fee, generally $10-$20 per day.
We've found that the cost of drinks from the true honesty-system bars in lobbies and lounges is slightly less expensive than they would be from a staffed bar, since the hotel doesn't have to pay an employee. We can't say for sure if hotels make any money from these, though we suspect that it's not a high-priority line item on the profit-and-loss statement; some guests probably abuse the system, but the kind of hotel that offers an honesty bar no doubt makes its money in many other ways and can write off the occasional free drink.
On the other hand, stocked mini-bars in hotel rooms do, indeed, make money for the hotel. Have you seen the prices charged for a can of Coke and a small bag of salted peanuts?
Here's the mini-fridge menu from a hotel in Laguna Beach, California: snack mix/potato chips/mini-Snickers $12; gummy bears/chocolate almonds/chocolate bar $15; iced coffee/can of soda/tonic water $10; beer, wine, Champagne, and hard liquor $10-$190. A 22% "service charge" and sales tax are tacked on.
Also, you can request the mini-bar be removed from your room -- this hotel charges a mere $100, plus applicable fees and taxes.
Yes, Laguna Beach in Orange County is a pricey destination, so this menu is possibly an extreme version, but the markups for mini-fridge items are usually stiff and often equally as steep.
As for whether or not in-room honor bars/mini-fridges make money for hotels, we believe these prices speak for themselves. But who pays them?
It's certainly true that savvy travelers don't go near the mini-fridge items, but what about alcoholics? Or kids who don't know any better or those who try to sneak items, hoping against hope that their parents won't be facing a hefty bill on checkout? Or how about if the hotel is in the middle of nowhere and your choice is the mini-bar, or room service, or starvation? Or how about a traveler who weighs the "cost" of getting up, getting dressed, getting into the car, getting to a supermarket, then reversing the order, for a snack or drink and finds that the mini-bar pencils out? Or people who aren't really sure what something should cost and can't go anywhere else to compare prices? Or guests who are on vacation and the mini-bar convenience is a luxury they can afford at the time? Or just plain rich people who couldn't care less what something costs? Or business travelers on expense accounts? Or ... or ... or ...
Whoever consumes items from the mini-bars and why, the hotels definitely make money. Not only are the markups higher than normal retail prices, but a hotel like the MGM Grand, with 5,000 rooms, buys in such quantities (and has a default setting in general on "gouge") that the profits are no doubt substantial.
|
Kevin Lewis
Feb-18-2024
|
|
Bob
Feb-18-2024
|
|
Mike
Feb-18-2024
|
|
Kevin Rough
Feb-18-2024
|
|
Edso
Feb-18-2024
|
|
Jeffrey Small
Feb-18-2024
|
|
jay
Feb-18-2024
|
|
Packrat1
Feb-18-2024
|
|
David Miller
Feb-18-2024
|
|
Dan Vanminnen
Feb-18-2024
|
|
Kurt Wiesenbach
Feb-18-2024
|
|
O2bnVegas
Feb-18-2024
|
|
Debra Grimes
Feb-18-2024
|
|
steve crouse
Feb-18-2024
|
|
Gregory
Feb-18-2024
|
|
Lucky
Feb-19-2024
|