For years, revenue management was the commercial heartbeat of hotels: optimizing room rates, forecasting demand, and filling beds efficiently. But the landscape has shifted. Relying solely on RevPAR is like saying you watched a movie after watching the trailer; you may know what it is about, but you miss the full plot. To thrive in a world of rising costs
Question for Our Revenue Management Expert Panel: Are hotels ready to effectively implement dynamic pricing for ancillary services? Are guests ready to accept fluctuating prices for ancillary services? (Question proposed by Pablo Torres) Our Revenue Management Expert Panel Pablo Torres - Hotel Consultant Tamie Matthews - Revenue, Sales & Marketing Consultant, RevenYou
Pre-arrival communication shapes the guest experience long before check-in, but are you measuring its real impact? Too often, hoteliers stop at vanity metrics like open rates and clicks. Those numbers may look good on paper, but they reveal little about guest satisfaction, loyalty, or revenue. The real opportunity lies in tracking the KPIs that show whether your messages are building
Is boosting ancillary revenue just one more thing on your already packed to-do list? It doesn’t have to be. If you’re already offering extras or promoting additional services, you're on the right track. And if you’ve started using automation tools to streamline upselling and improve guest spend, even better. Still, one key opportunity often goes overlooked: factoring ancillary revenue into
Hotels love a good win. Marketing celebrates record clicks, sales land big contracts, and revenue holds rates during slow seasons. Yet these surface victories don't always equal profit. They can hide weak margins and rising costs. True growth demands a shift in mindset. Instead of chasing numbers that look impressive but fail to strengthen the bottom line, hotels need a
EBITDAR is a financial metric that stands for earnings before interest, taxes, depreciation, amortization, and restructuring or rent costs. It is sometimes used by hospitality businesses to assess financial health. As a metric, EBITDAR is important because it helps to level the playing field when comparing businesses with different structures and rent costs. This allows financial assessments to focus on
’Tis the season: pumpkin spice lattes, cozy sofa-tea time, and the world turning shades of orange and red. Fall is upon us, and soon the pumpkins and Halloween decorations will be everywhere. And in hospitality? It means the budgeting and forecasting season. Only now you have less time than usual because September and October are no longer quiet months. They’re
In hospitality, revenue is only half the story: profitability is what truly matters. And to maximize profitability, finance analytics is the game-changer. Understanding the flow of revenue, cost structures, and operational efficiencies allows hoteliers to make smarter, data-driven decisions. With fixed costs dominating the industry, tracking the right financial metrics (like flow-through and GOPPAR) can mean the difference between thriving
Maximizing revenue is a top priority for hotel operators, and achieving this goal often requires the right pricing strategy at the right time. Making room rate adjustments based on demand, customer segmentation, and other factors can be the key to overall business success. In this article, we offer insight into 14 pricing strategies that hotels can adopt in their revenue
A hotel folio is a detailed financial document, breaking down the charges a guest has incurred during a stay. These itemized documents are now typically created and stored digitally, allowing for real-time changes. Hotel folios play an important role in providing transparency to guests and delivering accurate billing. Accuracy and transparency are key to a positive guest experience and the
Revenue management underpins six different main types of hotel room pricing. Called dynamic pricing or “price tags,” this article illustrates these various pricing approaches. As you adopt revenue management for your hotel, you’ll want to understand these concepts to interpret the phases of your property’s pricing path to maximize revenues or minimize damages. Quick menu: Hotel Dynamic Pricing Guide; Overview
Every day, in conversations with hoteliers like you, we hear the same revenue beliefs pop up. Old habits and assumptions that quietly drain profits, cost bookings, and steal the hours you'd rather spend delighting guests. It's time to change that. In this article, you'll learn seven of the most common misconceptions in revenue management and how to replace them with
What is revenue management, and why does it matter so much to hospitality brands? Essentially, it's a data-driven approach to anticipating demand and adjusting pricing and distribution in order to maximize earnings. Revenue management is crucial for hotels and similar businesses because they have fixed costs to contend with. When hotels are able to accurately forecast demand, they can take
The average revenue per account, or ARPA, is a KPI used in the hotel industry for revenue management. The metric tells hotel owners the amount of revenue generated, on average, per customer account. As a result, it is a good indicator of business performance. The metric is sometimes known as average revenue per user. Table of Contents: What Does ARPA
Question for Our Revenue Management Expert Panel: What are the most common challenges faced when implementing dynamic pricing strategies in hospitality and how can they be overcome? (Question proposed by Diego Fernández Pérez De Ponga) Our Revenue Management Expert Panel Tamie Matthews - Revenue, Sales & Marketing Consultant, RevenYou Kathryn Baker
In a world defined by uncertainty, data gaps, and increasingly complex demand patterns, one truth stands out: automation alone isn’t enough — nor is relying solely on manual processes. The future lies in a Hybrid Revenue Management Strategy, where intelligent systems handle the heavy lifting while human insight fine-tunes the results. Incorporating Local Knowledge Into the Algorithm: The Role of
What do hoteliers resist about revenue management? One common pushback is lowering prices below a certain psychological threshold. Yet, it's essential during low demand and pays off later. Some hoteliers believe: "I cannot sell below a certain figure because otherwise low-quality guests will arrive and lower the hotel's image; I prefer to stay empty and not sell." Yet, those who
Earnings before interest, taxes, depreciation, amortization, or EBITDA for short, is a KPI becoming increasingly prevalent in hotel management. Sometimes referred to as operating cash flow, the metric can be used to determine the operational profitability of a business, taking into account only its key daily running costs. In this article, you’ll learn what EBITDA means for hotels, how it