Loading...

Revenue Management Blog

Revenue Management Blog2020-07-08T20:21:27+02:00

Tools of the Trade: Why Revenue Managers Need to Be Active Software Reviewers

A comprehensive approach to revenue management traditionally includes a number of different solutions from PMS, CRS, RMS, rate shopper, and business intelligence tools. But at a time when occupancy levels remain aberrantly low, what other tools, if any, should a revenue manager be aware of that can help increase revenue? The Future of Revenue Management: Total Profit Management This article reflects a conversation between Paul Peddrick of ROOMDEX and Oliver Geldner, CTO & Partner of

Why Revenue Management Systems Will Never Replace Human Revenue Managers

When the desktop computer came along, it needed human input. It's no different with an RMS (revenue management system.) Even an AI-enabled RMS can't think independently (and that's a good thing!) You've probably heard plenty about AI (artificial intelligence) chatbots that learn from biased human language and "deep fakes," which are the 21st c. version of Photoshop. These are just a few real-life concerns in today's emerging AI. Yet, as hoteliers and a society, we

What Would You Tell Hotel Personnel Choosing A Tech Stack?

Question for Our Hotel Marketing Expert Panel What would you tell hotel personnel choosing a tech stack? Our Marketing Expert Panel Peter Ricci - Clinical Professor and Director of Hospitality & Tourism Management Program at Florida Atlantic University (FAU) Max Starkov - Adjunct Professor Hospitality Technology, New York University Kaylie Holley - Hospitality and Tourism Marketing Professional Matthias Dybing - Co-Founder & Director at Nuvho Thom de Graaf

What is Yield Management?

Yield Management Yield management is a strategic pricing method focused on maximizing revenue. It involves analyzing consumer behavior and adjusting prices based on various factors like timing, demand, and inventory availability. This approach is important as it helps businesses, especially in hospitality and travel, optimize income by selling the right product to the right customer at the right time. Key Takeaways Yield Management Defined: It's a strategy focusing on selling the right product (like a

What is RevPAR?

What is RevPAR? RevPAR, or Revenue Per Available Room, is a key performance metric in the hospitality industry. It measures a hotel's ability to fill its available rooms optimally. Crucial for evaluating operational efficiency, RevPAR combines occupancy rate and average daily rate, providing insights into revenue generation effectiveness. Key Takeaways RevPAR Overview: RevPAR, a vital KPI in the hotel industry, assesses financial and business performance by focusing on room revenue and occupancy rate. Calculation Methods:

What is Revenue Management?

What is Revenue Management? Revenue management is a strategic approach to pricing and selling products or services to maximize revenue. Businesses need to understand market demand, customer behavior, and pricing strategies to enhance profitability, especially in hospitality and airlines. Key Takeaways Maximizing Revenue: Focuses on strategies for pricing and selling services to optimize revenue based on market demand and customer behavior. Data-Driven Decisions: Emphasizes using performance data and analytics for predicting demand and optimizing pricing

What does GOPPAR stand for?

What is GOPPAR? GOPPAR stands for Gross Operating Profit Per Available Room, a key performance indicator in the hospitality industry. It measures a hotel's profitability by accounting for both revenue and operational expenses. This metric is crucial because it provides a comprehensive view of a hotel's financial health, considering both income and costs, offering deeper insights into operational efficiency than revenue-based metrics alone. Understanding GOPPAR helps hoteliers make informed decisions to improve profitability and operational

What is an Occupancy Rate?

Occupancy Rate Occupancy rate is a vital performance metric in the hospitality industry, measuring the percentage of available rooms that are occupied over a specific period. It's essential for understanding a hotel's operational efficiency, gauging demand, and informing pricing and marketing strategies. High occupancy rates indicate strong demand and operational

Hotel KPIs explained: ADR, REVPAR and GOPPAR

ADR, REVPAR and GOPPAR ADR (Average Daily Rate), RevPAR (Revenue per Available Room), and GOPPAR (Gross Operating Profit per Available Room) are key performance indicators in the hospitality industry. ADR tracks average room revenue, RevPAR combines occupancy and ADR for overall revenue efficiency, and GOPPAR measures overall profitability. These metrics

What is an Average Daily Rate (ADR)?

What is an Average Daily Rate (ADR)? The average daily rate (ADR) is a key performance indicator in the hospitality industry. It represents the average revenue earned per rented room in a given period. ADR is crucial for gauging a hotel's operational performance and pricing strategy effectiveness, helping to optimize

What Advice Would You Offer to Hotels Choosing Their Tech-Stack?

Question for Our Revenue Management Expert Panel: What advice would you offer to hotels choosing their tech-stack? For example, best practices, features, potential pitfalls, and how to "future-proof". Our Revenue Management Expert Panel Dermot Herlihy - Commercial Director, DUKES LONDON Mariska van Heemskerk -

6 Ways Your Hotel Might be Missing Revenue Opportunities

You'll probably agree that seizing revenue opportunities is more important now than ever - especially with costs increasing in every area of hotel operations and demand only recovering. Otherwise, your property's profitability could take a severe hit, and its long-term business success may be at risk. Luckily, there are many

3 Ways to Streamline Upselling Across Your Entire Hotel Chain

Once it’s in place, an automated upselling system brings countless advantages, like a more personalised guest experience, increased revenue and a more efficient workflow. Achieving these results at a single property may feel relatively straightforward. But how can you replicate them at all hotels across your chain or brand? 1.

Go to Top