REVENUE MANAGEMENT FOR HOTELS

The right price at the right time for the right customer

In the hospitality business, the most commonly used definition for Revenue Management is: "Sell the right room, to the right customer, at the right time, at the right price, through the right distribution channel, with the best value for money".

 

This involves the use of revenue management tools, market intelligence, data and performance analysis.  All these elements will help your property to better anticipate consumer demand and other market changes. This will then allow you to make more precise pricing and distribution decisions to maximize revenues and, therefore, profits.

 

The best performing hoteliers are savvy operators who continually seek to improve their strategies and procedures in order to gain an advantage over the competition. However, only a small percentage of independent hoteliers use revenue management (or revenue management) strategies and therefore limit their potential to generate more revenue.