The revenue manager's shift from analyst to strategist
By Scott Roby
During the past decade and a half, the discipline of revenue management has grown from primarily a key-stroke function to a much more analytical one. This has served organizations well that embraced revenue management and has supported the record profits and hotel valuations we experienced in 2007 and 2008. During the past two years though, there have been some interesting questions thrown around. What does revenue management do in a down economy, when there is no reason to cap low-rated discounts or place minimum stay restrictions? Is revenue management to blame for the unprecedented drop in average daily rate during the past two years?