Since its introduction into the hotel industry close to 25 years ago, revenue management has led to a massive increase in revenue per available room (RevPAR) from around 3-5%. Revenue management is merely a process of issuing the best capacity to the right client, at the right time, and at an affordable price to generate maximum income. In the hotel industry, it involves finding a balance that accommodates all guests. This is a delicate process, but, through technology, hoteliers have found an innovative way of carrying out effective revenue management.
How? Well, they’ve learned of a successful revenue management system with the help of the airline industry. For example, almost 4 decades ago, The American Airlines introduced a revenue management strategy involving yield management strategies.
This approach was founded on the fundamental principle that all inventories (airline seats) had an expiration period and that customers don’t have equal needs. This strategy was primarily based on understanding, forecasting and then influencing customer behavior. Now, this technique is something which many hotels have started adopting to ‘defeat’ those low-cost charging hotels. So, thanks to the airline industry, they’ve identified new opportunities for increasing employee productivity and expanding their revenue through the use of technology.
As a hotel owner or hotel manager, understanding how to improve the revenue with technology.
In this book, We'll cover:
- What is importance of effective revenue in hotels?
- Find the best fit to maximize revenue
- Understand the needs of your guests & how to these with the help of technologies
Download it now to strategize and plan ahead your efforts to improve revenue with technology.