Experts explain an EBITDA impact model that looks at changes in OTA and non-OTA production. The groundswell of support for “book direct” initiatives is squarely aimed at reducing reliance on online-travel-agency production. Blindly following a course of action to simply reduce OTA transaction mix by an arbitrary percentage may not yield the best financial results.
Projections for 2017 and beyond by STR, CBRE and PKF all call for anemic occupancy growth at best, notwithstanding record occupancy levels for the U.S. hospitality industry. With Revenue Per Available Room (RevPAR) growth projections at inflationary levels (2.5 - 3.5 percent, or so), it is clear that expectations call for Average Daily Rate (ADR)
There is no one right way to be a revenue management practitioner, and the trick is to find what approach fits best. Attracting and retaining top revenue management talent can be a challenge these days. Owners and general managers often ask me what appears on the surface to be a very straightforward question: “What makes
Pricing for any type of product or service, let alone lodging, is nothing new. Any “Marketing 101” textbook will tell you that Price along with Product, Place and Promotion make up the “4-P’s of the marketing mix.” Pricing too has been in place far longer than the practice of Revenue Management, which, among many other
El VII Congreso Nacional de Hoteleros de Chile, es un encuentro de negocios, perfeccionamiento y camaradería, dirigido a la industria hotelera chilena. Organizado por la Asociación de Hoteleros de Chile A.G se realizará en la ciudad de Iquique, los días 1 y 2 de octubre de 2015. El evento tendrá lugar en el Hotel Gavina.
A 10-year study of 4,000 hotels in Europe found price positioning is a better indicator of RevPAR than is occupancy. By Keith Loria HNN contributor GLOBAL REPORT—Price positioning plays a larger role in driving revenue per available room than does occupancy for European hotels, according to a recent study titled “Competitive hotel pricing in Europe:
A Historical Perspective The airlines are credited for developing the foundational science behind revenue management. Almost since the beginning of commercial flight, airlines had attempted to maximize their revenues by focusing on filling as many seats as possible on every flight. This meant predicting how many booked passengers would show up for a flight and
The first of its kind, this book was written to address the emerging course in Hospitality focused on revenue management. Based on the authors’ years of industry experience, this book includes a model for understanding the revenue management process and reveals four basic building blocks to revenue management success. With chapters dedicated to consumer behavior,
The hotel industry, in virtually every global market, has recovered from the sharp downturn of 2008 and 2009. In the US market, during the first half of 2014, room demand was up 4.2% and room revenue was up 8.6%. Randy Smith of Smith Travel Research (STR) states, “The surge in demand we witnessed during the