As a consultant for Hotel Revenue Science I’ve had the opportunity to work with many Revenue Managers. I have interacted with RMs working in large brands, franchises and independents. My job has always been to bring them up to a sophisticated level of technical competence so that they have more confidence in decision making. I can attest that most Revenue Managers that I have met are eager to be better at their jobs and, in many cases, they are one Read more
Hotel Revenue Discovery Ideas
Revenue Managers have taken the Five Ps away from Marketers
Categories: Analytics, Data, Forecast, Guest Analytics, Hotel Analytics, Marketing, Pricing, Revenue Management, Spa, Total Revenue Management
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For years, we’ve all been reading about the need to coordinate the activities of Revenue Management and Marketing into one synergistic Revenue Generation process. In practice what is really happening in many hotel companies is that the activities of both departments are not merging, but they are instead becoming the domain of Revenue Management. That RM is “taking” away many of Marketing’s traditional roles makes sense. As marketing has become more digital, it has inevitably become more data driven, and in most Read more
3 Pace Report Metrics That Will Reveal Hidden Revenue
Categories: Revenue Management
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For many hotels, the time-honored Pace Report forms the heart and soul of their RM analysis. Pace Reports are usually designed to give the reader a quick snapshot of future rooms revenue versus the previous year. Since this type of report is typically widely distributed to many functions (i.e Sales, Marketing, Executives), the data tends to be aggregated to focus on total rooms performance by market. While this format may be useful for putting the current year’s performance in context, Read more
Revenue Managers are often tasked with deploying discounts and promotions in order to boost sales during low periods. The question that immediately follows these actions is whether the bookings would have been generated regardless of the special or promo. How to count whether or not the promotion was successful involves a little bit of math that we will not get into here, except to say that it’s not rocket science. What is more important is first, how you set up a Read more
The 5 Cs of Building a Data-Driven Hotel Company
Categories: Analytics, Big Data, Budget, Data, General Management, Hotel Analytics, Revenue Management
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It is hard to argue with the claim that Analytics is the hottest buzzword in the hotel business today. More specifically, the impact of Big Data is now a global topic of conversation in industry, government, and education. In the hospitality industry, every function from RM to Marketing to F&B is becoming more data driven. Unfortunately, behind every technology bandwagon there are a plethora of unproven software startups cashing in on the unceasing pressure placed on managers to find a Read more