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Hi I fully agree with all the comments posted so far. I would add making sure you identify your target market and find out how much of the market share you are actually getting. Then, for instance, if you target market is bypassing your town because of a perceived expectation of lower quality, then at least three things can be done.
1 Make sure you price comparably with your nearest competition (this is not the nearest accommodation, but the nearest similar to your offering)
2 Educate. Let potential guests know about you local area and why it should be top of their list eg nearest to, on the way to, away from the hustle and bustle, more convenient etc.
3 Emphasis the unique features of your property and area and how staying with you will ensure a better experience