IDeaS Helps Hoteliers Gain Confidence and Validate Pricing Strategies with Launch of Rate Optimization Service
New service optimizes hotel’s rate spectrums, improves revenue without change to existing business practices
IDeaS Revenue Optimization, the leading provider of pricing, forecasting and optimization solutions and services, today launched its IDeaS Rate Optimization Service which provides quick, optimized room rates and rate spectrums to hotels. Using IDeaS' proprietary analytics, the service allows hotels to take full advantage of their rate spectrum by proposing optimized rates for business segments that are not contracted or negotiated at room type level and estimating upfront the overall revenue impact upon implementing the optimized rates.
"We've designed the Rate Optimization Service to enable hotels to get answers fast," said Linda Hatfield, vice president of product management and marketing. "A critical input to any revenue management process is to determine the room rates and rate spectrums; this service allows hoteliers to accurately arrive at these room rates taking into account the price sensitivity of demand."
"Setting the right room rates and rate spectrums is very crucial to the success of our revenue management process." said Birgit Haake, director of revenue management, Maritim Hotels. "We found the results of IDeaS' Rate Optimization Service useful and important input for us to validate our pricing strategies and how we manage various business segments."
For Rate Optimization, IDeaS collects a minimum of 12 months of historical data from a hotel to evaluate the price sensitivity of demand. Optimized rates and rate spectrums are delivered to the hotel using a results report – an easy to understand and implement electronic report. Once the refined rate spectrum is deployed, an increase in hotel revenues across a defined rate period can be expected.
"We were chosen, due to our work with One Aldwych Hotel, as a test property for the IDeaS Rate Optimization Service and found the results very interesting," said Corin Burr, managing director, Bamboo Revenue. "The final results demonstrated that our normally uniform price differentials between room categories could be optimized much more efficiently, based on our actual performance. Additionally, we found that whilst we had prepared for the worst during the recession by increasing Best Available Rate (BAR) levels, the results showed this action was not necessary."
For more information on IDeaS' Rate Optimization Service visit IDeaS website: http://www.ideas.com/index.php/services/rate-optimization-service
To learn more about the benefits of rate optimization, please download IDeaS' latest whitepaper Rate Optimization: Enhancing Your Hotel's Pricing Strategy.
To speak face to face with an IDeaS Representative about our new Rate Optimization Service visit IDeaS at the World Travel Market 2009, Booth TT4075, November 9-12, ExCel - London, United Kingdom.
About IDeaS
IDeaS, a SAS company, is the world's leading revenue management software and services provider. Combining industry knowledge with innovative data analytics technology, IDeaS creates sophisticated yet simple ways to empower revenue leaders with precise, automated decisions they can trust. With 35 years of expertise serving hospitality, including hotel, event, and parking clients, IDeaS delivers revenue science to more than 30,000 properties in 158 countries around the world. Results delivered. Revenue transformed. Discover greater profitability at IDeaS.com.
Star Bazella
Marketing Manager
+1 952 698 4200
