Do you want to maintain a positive cash flow and ultimately grow your hotel business? If YES, here are 50 best hotel revenue management strategies for 2021.

Irrespective of the kind of hotel or the number of rooms your hotel has, establishing a strong and effective hotel revenue management strategy is very crucial to its success. To keep up with competition in the industry, hotel operators need to always search for ways to grow hotel revenue while also offering competitive hotel room rates.

Note that all hotels, irrespective of its location and the success of its destination, is subject to the seasonal ebbs and flows of the tourism industry. Having an effective revenue management strategy can provide a hotel with the needed vibes to drive bookings during the slow season while capitalizing on high demand during the busy season.

Although the utmost priority of any revenue management strategy is to establish competitive hotel pricing and increase hotel revenue, there also are other benefits to implementing a hotel revenue management strategy.

For example, a concrete hotel revenue management strategy can help hoteliers take care of their resources, making sure they are not paying too many staff members during a slow time of the year, while also verifying that they have adequate staff on hand during the busiest time periods.

Have it in mind that the best hotel revenue management strategies understand that hotel pricing is fluid, and can change from one day to the next. This is why it is important that a hotelier creates a revenue management strategy that is adaptable to its current conditions.

Also note that its very necessary that hotel operators, managers and owners utilize a software solution that can implement any revenue management strategy at any given time. Revenue management when carried out correctly can be extremely effective, helping companies to significantly boost their profit margins. Below are 50 revenue management tips and strategies for a hotel.

50 Best Hotel Revenue Management Strategies for 2021

1. Establish a Revenue Management Culture

The very first strategy is to establish a revenue management culture within your hotel. This simply means that revenue management is not something that should be left entirely to the major decision makers; it is something everyone should be aware of.

By establishing an awareness of what revenue management is and why it is important to your hotel, you can encourage positive behaviour from all staff members. When they realize why it is very important, they are more likely to take care when recording data and more likely to utilize that data in making good, knowledge-based decisions.

2. Focus on Selling Value

Another revenue management tip is to think in terms of offering value as much as possible. Have it in mind that part of price optimization is knowing when you don’t have to compromise on your prices. Indeed, delivering greater value for the same price is one way to achieve this.

Note that by offering value-added extras such as discounts on additional nights and even, when demand is low enough, a free additional night, you can afford to be braver with your prices, which will in turn grow your revenue.

3. Change From Revenue Management to Revenue Strategy

Revenue management involves simply tracking inventory and pricing rooms. If you turn your focus from revenue management to data-driven strategies, you can influence revenue across all departments, including sales, marketing, e-commerce, distribution and loyalty.

Establishing strategies where these major players fuse together and have access to the same data sets will allow you to make decisions that drive the bottom-line. By turning away from top-line revenue, you can aim to optimize your net revenue, which takes into account the ever-increasing cost of customer acquisition.

4. Keep Consistent, Relevant Records

In this age, data collection is at the very engine of the revenue management process and the data your hotel gathers will become the basis for almost all of your decision-making. But then, some hotels collect too much data, which serves only to confuse matters. This is why it is very important that records are relevant and consistent.

Start by identifying exactly what information needs to be gathered, and how that data should be recorded. Then to make the job easier for the people who have to use it, a set of standard practices should be introduced, ensuring that everyone involved in the collection of that data uses consistent methods.

5. Analyse the booking behaviour patterns of your guests

In the hospitality industry, time and place where the business is conducted are of essence. You need to understand that every of your target audience has their own preferences on when and how they prefer to book with you. Leisure groups usually book few months in advance, some few weeks in advance, some even at the last minute. Understanding this too will help in planning the revenue management strategies for your hotel to fill the holes.

Note that in the bookings made at your hotel, you may understand a pattern which will indicate your high and low occupancy seasons. This can be very helpful when it comes to forecasting the rates you put up at such times and how much inventory you keep open. Knowing all these kinds of patterns and taking appropriate action will definitely increase your revenue.

6. Give Incentives for Direct Booking

Without doubt, distribution partners can be very helpful and it is far preferable to direct bookings. But this method is the most likely to produce customer loyalty, giving guests a lifetime value to your business, rather than a one-off value. Since most direct bookings are made online, your website should be well-maintained.

In this current millennium where prices can be compared on third-party websites in a few minutes if not seconds, the trick to attracting direct bookings is to offer value incentives. For instance, loyalty programmes offer the chance to get a lower price in exchange for repeat business, while other ideas include offering food discounts or free Wi-Fi to direct bookers etc.

7. Test and measure

When planning your hotel revenue management strategies, it’s advisable that you analyse each of your promotions and pricing strategies. This will tell you what worked, and what didn’t. As the travel market keeps on changing, it becomes impossible to answer or bring a solution to pricing. However, the internet is perfect for testing, so keep experimenting. Continuously try new ideas and offers, but make sure you measure the results.

8. Be Conscious of Changing Customer Habits

A good percentage of a successful revenue management practice involves using historical data to make decisions in the present and for the future. However, historical data can sometimes be relied upon too heavily and hotel owners or managers can miss important changes that have occurred more recently.

Within a few years, you are likely to see changes to your customer base. Note that these changes may be things like the average age of a guest, but they may be more subtle. For instance, you may notice a shift in the way the average customer books a room. Try to keep your finger on the pulse as much as possible and be aware of changing habits.

9. Optimize Rates for Your Unique Rooms

Indeed rooms still make up the lion share of profits in a hotel. In a large chain property, most rooms are similar and guests probably aren’t willing to pay more for one on a higher floor with a slightly better view. This isn’t always the case with smaller, boutique hotels.

Experts believe that with independents, there’s often corner suites or room types that really have specialty features in them, so understanding what the demand is and optimizing the price points is very important in the hospitality business. You need to take inventory of your unique rooms and compare them to direct competitors in your market.

10. Use a Demand Calendar

Note that a demand calendar is the first step before budgeting, and it will also help you choose informed pricing decisions based on solid data and statistics. This is a yearly roadmap to build your revenue management strategy. It demonstrates historical demand patterns matching them with future events. Start first by finding out all events that impact your demand.

Positive or negative demand generators must be recognized. Once updated, a demand calendar should not sleep. It should be updated every time you identify an event impacting your demand. The demand calendar will help to evaluate how much revenue each event can generate. But don’t forget to take into consideration demand exceptions. Have it in mind that an exception applies to the behaviour of one segment which is not normal.

11. Only Use Automation in the Right Places

A lot of hotels depend solely on automation and it can seem like godsend. But, at times, automation can also be the enemy of effective revenue management. No doubt, there is still a key part for automation within a revenue management strategy.

After all, modern software is able to cope with fairly complicated decision-trees and you do not want staff to be bogged down by data entry. But you don’t have to forget that every revenue management also needs human decisions, thinking outside of the box and the occasional risk.

12. Use an Open Pricing Strategy

Giving your hotel different price points means that guests can choose your brand based on the price they prefer. Note that an open pricing strategy allows hotels to maximize profit by making precise pricing decisions that reflect each location’s demands. There are a few considerations to take into account with an open pricing strategy:

  • Room type: This involves pricing rooms based on demand, rather than using fixed modifiers to differentiate room prices
  • Discounts: Instead of providing a static percentage off your Best Available Rate (BAR), you can set more flexible discounts.
  • Using a predictive analytics platform: They can help you establish a better open pricing plan to land more bookings for your properties.

13. Forecast and Map Demand

Just like it was stated above, anticipating demand is one of the most crucial parts of any revenue management strategy. It is also important to forecast things like the availability of rooms and market share. However, you should also take steps to try and map where demand comes from.

Indeed hotels have access to excellent information about their guests, especially in terms of where they are from. By making use of this information, it should be possible to identify areas where demand is growing and other associated trends, potentially leading to increased business from those regions in the future.

14. Prioritise Mobile Optimisation

If you have not already done so, it is absolutely necessary that you make the necessary changes to your website, so that the user experience on mobile would be as simple as it is on a desktop or laptop. Mobile is now one of the single most important revenue streams.

Google recently revealed that mobile web searches are now outnumbering searches originating from desktop, while research from Net Affinity shows that mobile transactions on hotel websites increased by 32 percent in a 12 month period from 2015 to 2016.

15. Modernize Your F&B Offerings

You need to understand that food tastes are changing—travelers find exotic flavours, local delicacies and foods produced sustainably and responsibly exciting. Experts believe that you can’t just run a hotel restaurant with one salmon dish, one chicken dish and one beef dish anymore. People are really looking for craft beverages and specialty food items in hotels. Especially in bigger cities, hotels have a wide variety of local, specialty foods that are far higher quality than your typical vending machine fare.

16. Leverage hotel forecast tools

Forecasts are not perfect. It is a strategic management tool. A basic Forecast is better than none. It is the path to market and customer knowledge. It reinforces your pro-activeness in terms of inventory and rate management. Have it in mind that your forecast module can help to forecast the double occupancy, the number of arrivals and departures: useful for the front-desk and housekeeping.

Forcasting helps housekeeping to forecast their costs, and the restaurant to know the number of breakfasts to prepare. The forecast can help you to prevent and identify challenges in reaching your objectives: it gives time to adapt strategies or work out additional actions.

17. Create Market Segments

No doubt, your hotels may attract different types of guests, depending on where they’re based. But instead of trying to appeal to everyone, you should consider dividing your market into more specific sub-markets or “market segments”.

If one property is near a theme park or tourist attraction, your main audience may be families and young adults who are visiting for leisure purposes. If another property is located in the same city as a major annual business convention, your focus will be geared towards business travellers.

For each market, consider which amenities would be most appealing and which keywords prospective customers might use when searching for accommodations. Experts believe that these factors will help you establish more targeted online ads and email campaigns to direct your prospects to the location that’s most suited to their interests.

18. Upgrade your online inventory distribution strategies

The mode of distributing your inventory on OTAs and GDS doesn’t work as expected these days. In this age you need to gear up and put up appropriate and attractive content to describe your hotel, location, and services; offer different packages and run promotions regularly to get more bookings, and have more OTA connections for your hotel to witness your revenue rise.

19. Use hotel booking curves

For you to make concrete decisions without any doubts, it is advisable to convert the data from your pick-up reports into graphs. A booking curve graph will help you visualize the booking pace of your hotel. Hotel revenue management is about data driven decisions. Your selling strategy affects your forecast; therefore every time you make a rate change, you should analyse the impact on your forecast.

20. Infuse Lost-Business Data into Your Revenue Strategy

You will be looking at only half the picture if you are only looking at the information you acquire from guests. You should consider visitors to your website that don’t make a booking. Did they leave because your properties were full on the nights they wanted?

Or were the prices too high? By tracking visitors who visit your website without booking a room, you provide yourself with a better view of your hotel chain’s true demand. Through your hotel website’s analytics, the data you collect can help you test new rates and other promotions.

21. Share Metrics With the Right People

Have it in mind that your hotel metrics cover a lot more than just revenue. They can bring to light what actually makes your properties successful, whether it’s your occupancy rate, number of guests who stay multiple nights or number of returning patrons. Note that your revenue team will be able to accurately understand and forecast performance when they have access to your entire portfolio.

Ensure that you share reports of all your properties with relevant decision makers, including your general managers and both property-specific and regional Directors of Revenue Management (DORM). With access to real-time data, your team can take a more strategic and productive approach to maximizing revenue.

22. Position Your Property in the Right Channels With Software

Have it in mind that effective revenue management requires technology. In this age there are a lot of businesses that help hotels review their revenue management practices to identify areas for optimization, and they are all likely to ask if the software is set up correctly?

Experts believe that it’s really important that the systems are set up correctly to be able to optimize things. Each system is different, but two best practices can ensure you’re getting the most out of the revenue management software:

23. Move the Minibar to the Table top

A growing trend is revitalizing the standard minibar by providing local, long-lasting treats on the counter or table top instead of the stodgy mini-fridge. Locally sourced vegan and gluten-free options can hit all the right notes for the lucrative Millennial segment, who tend to spend more on hotel-related expenses than other groups. Hoteliers in this age are offering items that last to maximize their spend.

24. Choose a working price positioning strategy

Reflect your positioning on a matrix. Does your positioning make sense? How often are you more or less expensive than your competitors? Do you take into account your positioning and value offer when deciding of your daily rates? One more element to consider is your hotel revenue management plan. Have it in mind that choosing a clear price positioning strategy for your base rate will help strengthen your value perception to consumers. There are several strategies you can follow;

  • penetration pricing strategy
  • equal pricing strategy
  • surrounding pricing strategy
  • skimming pricing strategy

25. Form Profitable Partnerships with Local Businesses

After rooms and F&B, activities make up the next largest revenue source for hotels. Local partnerships can expand your revenue streams and provide authentic experiences for your guests. According to hospitality experts, a hotel team should first ask themselves the question of why guests are choosing their market, and that will help them discover what’s trending or interesting to their guests.

A local winery could offer a tour and tasting for your guests. Local businesses around your property are likely to be open to some kind of partnership to encourage business. You just have to reach out.

If direct bookings deliver significant profits for your hotel, offer a deal where guests receive a reduced cost for the activity or some kind of exclusive offer for booking direct at your hotel. The keys to a smart partnership are clear goals for each company and a viable plan that delivers value.

26. Move the Room Service Menu to the Tablet

Another smart revenue trend in this business is making paper room service menu go digital. The world has seen the rise of technology in hotels by way of smart locks, check-in kiosks and more. So why not engage guests on platforms they’re already on?

Note that it adds a level of convenience for travellers, and gives you a look into their spending behaviour. First rethink your F&B offerings—consider a locally-sourced minibar and using tablets for room service—to add convenience for guests, produce useful data and maximize revenue.

27. Think Convenience and Stay on Trends to Boost Revenue

You need to ask yourself: What is the guest really looking for? What trends are popular with my type of guest? How can we monetize that? Surveys, training front desk staff to make note of details during informal conversations and effective hotel CRM use are ways you can identify potential revenue streams. As you increasingly provide guests with an authentic connection to your area, a well-configured hotel revenue system can help you maximize these strategies and boost revenue streams.

28. Stay controls or Restrictions

Also you should have the knowledge of the number of one night stays, two nights stays, three nights stays, etc. How? Refer to your Guest In House list. Check the patterns on your future on the books. Which hotel stay restrictions can you apply and where?

  • MLOS / minimum length of stay
  • Maximum length of stay
  • Min / Max length of stay combination
  • Understand
  • CTA / closed to arrival
  • CTD / closed to departure
  • Stay through restriction

29. Knowledge yourself with market segments

Apart from creating market segments you have to define your hotel’s relevant target audience. It is a very necessary step towards more control over your business. Note that immediately you analyse your market segment, it will let you set up appropriate rates for the right inventory in order to maximize revenue from various areas of business.

Also you need to constantly make sure that your budget is used in the most logical method to track your business performance and success. Start by finding out which category of guests you mostly cater to, what is their buying behaviour, why are they booking with you and how’re they doing it. All of this will enable you to apply valid and targeted actions to your business and measure your profits from time to time.

Relevant market segments will differ for each hotel, but they will surely deliver the advantage of being able to drive more business and monitor your performance regardless of where your hotel is located and which type of hotel it is. This is where the actual hotel revenue management starts, which will gradually take your hotel business to new heights of recognition and success.

30. Always think supply and demand

Especially in hotel revenue management strategies, supply and demand is a principle that should be cleverly implemented. Knowing and monitoring the supply and demand of your hotel rooms is also one of the tactics you should employ when it comes to boosting your revenue growth.

We all know that prices tend to rise when demand exceeds supply, which is why effective rate management is the most practical way to increase revenue. It’s simple, you just need to focus on high-profit bookings instead of high volume bookings. So by increasing bookings on low-demand days and by selling rooms at higher room rates on high-demand days, you can increase its profitability.

31. Analyse your hotel’s past data

Data is very crucial and spending a considerable amount of time in analysing your past and present statistics can help you in channelizing your marketing efforts. Have it in mind that the hotel software that you’ve invested in should give you detailed reports that include the revenue you earned, your best selling factors, your ADR, and everything else which can help you form important decisions for your business. This data will help you extract ideas and come up with better hotel revenue management strategies for increasing your hotel’s revenue.

32. Work Closely With Other Departments

You need to understand how important it is to achieve close collaboration between the various different hotel departments, such as sales and marketing, in order to ensure that your revenue management strategies and their individual departmental strategies are in alignment with one another, so that you can address challenges collectively.

Find out major departmental decision makers and bring them on board. Work with them to make adjustments to your revenue management strategies, rather than imposing your will, which might be met with resistance. Close collaboration will also help to ensure that you are always presenting consistent messages to customers and clients.

33. Price Promotion strategy

Price promotions gives companies the opportunity to sell higher volumes by temporarily discounting the price of their products. Revenue management strategies measure customer responsiveness to promotions in order to strike a balance between volume growth and profitability.

An effective promotion helps maximize revenue when there is uncertainty about customers willingness to pay. For instance, if your products are sold in the form of long-term commitments such as telephone services, promotions aid attract customers who will then hopefully commit to contracts and produce revenue over the long term.

If this happens, you will have to decide when to begin increasing the contract fees and by what percentage in order to avoid losing those customers. Revenue management optimisation proves useful in balancing promotion roll-off variables in order to maximize revenue while minimising churn.

34. Make use of Search Engine Optimisation

In this age and with the advent of technology, search engines offer one of the single largest opportunities for those operating in the hotel industry to attract customers, which makes search engine optimisation an important part of a robust revenue management strategy. Through SEO, you can greatly improve the visibility of your website on search engine results pages.

Indeed, you can improve the chances of attracting business from customers who are not specifically searching for your hotel, but who are searching for a hotel in your location. To do this successfully, you need to operate a solid content marketing strategy, and make sure your website’s design is optimized for SEO purposes.

35. Benchmarking

How do the clients compare your hotel to other hotels? You have to develop knowledge not only on their selling rates but also on the value they offer. Actually when is the last time you stayed at a competitor’s hotel? Benchmarking is a key topic in revenue management.

Benchmarking your competitors means benchmarking on the following criteria: prices, product, level of service, location, distribution channels etc. A competitor may be competing only on few segments and at different time (i.e. weekends).

36. Choose the Right Pricing Strategy

In this business, there are a lot of pricing strategies, and no one strategy will guarantee success. Instead, those in the hospitality industry need to consider the best strategy for their particular hotel, based on what they have to offer, who they are trying to attract and what strategy their competitors are employing.

For instance, a competitive pricing strategy, where prices are set based on other hotels prices, puts your business in direct competition and is good when your hotel has more to offer than your rivals do. But, in slow seasons, a discount strategy might be best, because a low-paying customer is better than an empty room.

37. Know your product and make the most of it

You may have a great product and perhaps all your competitors do too; how do you stack up? Start by creating a grid of all key drivers for your target markets e.g. free water in bedrooms, parking included, free Wi-Fi; for leisure something different. Research (from a customer perspective – online) how you are positioned vs your competition.

Also room types & descriptions are important; for example, there is little point in “including” a key driver (breakfast, business lounge etc.) if you don’t tell your customers until they are 95% of the way through the booking process. If you have to re-position your offer to add a key driver that will make you more competitive, then do the cost benefit analysis.

38. Perpetual Revenue Management Improvement

A culture of revenue management improvement establishes focus and negates the threat of complacency. If a focus on hotel revenue management is pervasive through your organisation, it leads to awareness of its importance. This in turn leads to more thoughtful business decisions and behaviour, which ultimately drives revenue.

39. Use different channels

Differ channels may represent customers with different price sensitivities. For example, customers who shop online are usually more price sensitive than customers who shop on the high streets. Have it in mind that different channels often have different costs and margins associated with those channels.

When faced with multiple channels to retailers and distributors, revenue management strategies can calculate appropriate levels of discounts for companies to offer without losing integrity with respect to the public perception of quality.

40. Maintain Organised Records of Key data

Like we already stated, data is key to your revenue management efforts. But the data must be pertinent. Some hotels collect a lot of extraneous data. This impedes rather than helps business decisions. Focus your hotel on the most essential – on quality over quantity, and on how it will be recorded and used. Not only will it be easier to store and interpret the data, but it will be faster and it will lead to more relevant insights. These insights will drive your entire revenue management approach.

41. Integration

To achieve success in hotel revenue management goes beyond which particular brand of property management system, channel manager or booking engine you have deployed at your hotel business. The ability for these key transaction systems to streamline the labour-intensive elements of your daily workflow is a key benefit from tightly integrated systems.

Manually re-keying online bookings into your PMS, updating multiple online travel agencies (OTAs) extranets with your availability and rates for the next 60-90 days are daily tasks for many hotels which beg to be streamlined for greater efficiency.

Apart from these key transaction systems, online reputation management and rate shopping systems offer valuable data analytics that provide visibility into a particular area of a hotel’s position or performance in the market, relative to their competitors or the entire market. Effective revenue management is certainly based on integrated systems to make sure hotels can react quickly when they need to.

As a minimum, a revenue management system should be integrated with the property management system and online distribution platform (CRS or channel manager). Integration with demand sources such as local events, destination demand, weather, foreign exchange rates and flight schedules will provide more insight into market demand and lead to more reliable recommendations.

42. Review of Reservations

It’s advisable that you always review the reservations booked from yesterday. Look through them to answer some of these questions. Which market segments it came from? The reservations made what rate did they come in at? Was it high or was it low? Do you spot a trend? How far out the reservations were booked?

43. Unconstrained Demand

The unconstrained demand of a hotel is your total demand for a particular date irrespective of your capacity. Its very important that hotels should identify when unconstrained demand is above the capacity of the hotel. The unconstrained demand will help you calculate your Last Room Value for certain dates, and possible length of stay restrictions that may apply.

Historical data capture will help to calculate potential unconstrained demand. It is possible to develop manual tools which would help to identify those periods, such as with excel.

It’s advisable that you record your denials for individuals but also for group bookings: by length of stay, by market segments, with total value for groups. What is your group unconstrained demand? Develop your denial and regrets reasons:

44. Inventory Control

Balance inventory to sell the appropriate product. Check if there are any days where inventory imbalance is creating an availability issue, if yes, resolve it. This is also a good time to resolve oversell issues in any room types. Check for sold out dates too. Decide on the oversell limit based on expected wash and lead time.

45. Visibility

The challenges for revenue management start with the increased room supply in the destination. Room supply from vacation rental properties is dynamic and can be seasonal, rather than a fixed amount of apartments per market. Pricing becomes a more complex evaluation when the same consumers consider a hotel or private apartment as an option for their next business or leisure stay.

It’s clear that today’s consumer can book a hotel, villa or apartment just as easily across brand websites or online travel agent sites, which stresses the point that hoteliers need to take more action. Don’t forget how important it is for hoteliers to widen their view by including appropriate vacation rental product comparisons and ensure their pricing strategy is aligned with market demand.

46. Pricing Analysis

Performing weekly pricing adjustments is very common in hotels but based on your business but make sure you are priced appropriately for high activity days or days where you are not seeing enough activity.

47. Same Day Inventory Check

You have to decide whether you want the hotel to sell more rooms or you think the hotel is right where you want it. Talk to the FOM (Front Office Manager) let them know what you are planning to do if you are in an oversell situation. Keep them included in this, they will appreciate it.

48. Alignment

Immediately system integration has been optimized and the right type of data is included to measure the true market demand for your hotel destination, it’s very necessary for hotel management teams to be aligned on the long-term strategic plan as well as short-term tactical campaigns.

Communication within the sales, marketing and revenue management team members of a hotel should go beyond a weekly or monthly revenue meeting. Armed with reports such as forecasts and booking pace, it’s the collaboration among team members that is important for sustained success.

49. Know your competitors

You must already have a competitor that you benchmark against; in some cases critical pricing and strategy decisions are based on how your hotel performance compares to these hotels and so, periodically, it’s good to question “is it still the right fit?” Note that your major competitors may not be entirely obvious.

They could be out of your immediate locale (particularly for large event hotels or resorts), may be different for different seasons and could also vary mid-week vs weekend. Be open to having several competitor sets. In addition to using the standard metrics of brand strength, house count, facilities, star rating etc.; stress test the validity of your competitor set by thinking and booking like a customer.

50. Think & book like a customer

Agreed, you may possess a strong and rational pricing but if your customers can’t find you, can’t book you, can’t understand what is on offer and can’t make a comparison then you are far less likely to convert potential customers. Have it in mind that there are plenty of tools that will provide you with rate shopping but this does not truly give you the customer perspective, which is why you have to understand how your revenue management strategy is “seen” and “bought” from the outside in.

In conclusion, with a lot of hotel owners still scratching their heads when it comes to revenue management, larger segments of the industry like SMEs are still not wholly convinced of its value. Almost every industry out there follows some form of revenue management – some call it business analytics or pricing strategies, but the goal is the same. But when it comes to hospitality businesses however, there are three factors that make revenue management a lot more relevant –

  • Limited inventory: There are a fixed amount of rooms for sale
  • Perishable resources: Unsold rooms perish every single night
  • Customer demand: Guests are willing to pay different prices

Revenue management is the process through which a hotel adjusts its inventory pricing based on sales trends, historical data and other forecasts. This allows properties to boost their bottom-line by deriving maximal value from every sale. But the ever-changing dynamics of hospitality means that revenue management today is a lot more complex and analytical.

Joy Nwokoro