The Hidden ROI of Outlet Marketing: How to Know if Your Hotel Outlet Deserves Its Own Strategy

Whether you’re marketing a convention hotel or a full-service resort, your outlets aren’t just nice-to-haves. They can be brand builders, local traffic drivers, and serious contributors to topline performance—if you know how to harness them.

On LinkedIn, Kimberly Erwin shared her perspective on unlocking hidden revenue through underutilized spaces. One of her key takeaways? Start with what you already have. This week, we’re expanding on that idea: what to do when you already have an outlet… but aren’t sure if it deserves its own marketing playbook.

Not Every Outlet Needs a Big Investment—But It Does Deserve a Plan

At Lotus, we get asked all the time: Should this outlet have its own campaign? Microsite? Paid media budget? The answer isn’t always yes. But ignoring your outlets completely? That’s a missed opportunity.

Your restaurant, bar, spa, or retail concept may not need a celebrity chef or a full brand identity to drive demand. Sometimes, you just need to align the space with your property goals—and market it accordingly.

If your team is stretched thin, or ownership is questioning the ROI of F&B, here’s where to begin.

Quick Audit: Is Your Outlet Ready for Its Own Strategy?

Ask yourself:

1. Does this outlet contribute (or have the potential to contribute) 20% or more of total hotel revenue? (F&B makes up nearly 23% of total revenue at full-service U.S. hotels according to CBRE.)

2. Is it conceptually distinct, or simply “the hotel restaurant”?

3. Can it attract non-guest traffic—locals, planners, event clients?

4. Does it have a unique story or signature experience worth spotlighting?

5. Can it support higher-margin business like events, group dining, or activations? 

If you answered: 

• 4–5 times: You’re ready to market it as a stand-alone brand
• 2–3 times: Start with high-impact in-house visibility and promotions
• 0–1 times: Focus on operational alignment and storytelling first

Three Mindset Shifts to Elevate Your Outlet Strategy

If your audit revealed potential, here are three ways to turn that opportunity into action. 

1. Don’t Bury the Outlet—Brand It: A signature restaurant with its own digital presence can become a local favorite, drive repeat business, and strengthen the hotel’s overall brand. Think dedicated microsites, not just a tab on the hotel page. Take Woven & Bound, at @MarriottMarquisChicago: located in a part of the city that’s underserved by destination dining, the hotel created a standalone website to attract both local and in-house guests. It’s a smart way to fill a market gap—and make the outlet discoverable beyond the hotel context.
2. Think Beyond Covers: Outlets aren’t just about occupancy. Start tracking spend per cover, event conversions, and flow-through to understand their true value. In 2024, the average U.S. hotel earned $71.57 in F&B revenue per occupied room—real dollars that move the needle on TRevPAR.
3. Plan Like You Mean It: Seasonal campaigns, pre-arrival dining offers, influencer events, and paid social—all of these tools should be part of your outlet’s marketing mix if you’re serious about results. For banquet and catering-focused properties, keep in mind that group banquet F&B revenue grew 8.9% year-over-year, while beverage revenue saw a 4.4% lift (Hospitality Net).

What Sets Winning Outlets Apart? Thoughtful Execution.

As Kim shared in her article, sometimes the most profitable spaces are the ones you already have. A late-night to-go menu, a pop-up concept during high-demand windows, a smart reimagining of a “dead zone”—these aren’t expensive overhauls. They’re intentional shifts that meet your guests where they are.

When outlets align experience with profitability, everyone wins.

The Takeaway

As hotel marketers, we’re no longer just driving heads in beds. Our responsibility is total revenue strategy. That includes the restaurant that locals love, the spa that books out pre-arrival, and the bar that books more events than the ballroom.

If your outlet has potential, it deserves strategy—and visibility.