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.
"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.
Phone: +1 952 698 4200
Fax: +1 952 698 4299
With more than one million rooms priced daily on its advanced systems, IDeaS Revenue Solutions leads the industry with the latest revenue management software solutions and advisory services. Powered by SAS® and more than 27 years of experience, IDeaS proudly supports more than 8,700 clients in 106 countries and is relentless about providing hoteliers more insightful ways to manage the data behind hotel pricing.
IDeaS empowers its clients to build and maintain revenue management cultures—from single entities to world-renowned estates—by focusing on a simple promise: Driving Better Revenue.
IDeaS has the knowledge, expertise and maturity to build upon proven revenue management principles with next-generation analytics for more user-friendly, insightful and profitable revenue opportunities—not just for rooms, but across the entire hotel enterprise.
For more information, visit www.ideas.com.