“Key Performance Indicators” are the DNA of Reservation-Providers!
By Richard B. Evans, President of Revenue Report Card LLC & Author of “the Definitive Study of Vacation Rentals”
What are Key Performance Indicators (hereafter "KPI's")?
"KPI's" are the DNA of each "reservation-vendor".
Drill down and you will find a unique mix of attributes that define each reservation-vendor (hereafter "vendors"). The key, however, is to find common ground with other "vendors" in creating meaningful "KPI'" groups (also called CHANNELS). "KPI's" can be as common as commissions charged or as obscure as using currency exchange advantage as a booking driver.
It's important to keep in mind that "vendors" can have more than one "KPI" and that means that they can be listed in multiple revenue channels. Unlike the strict parameters of hotel accounting (where vendors are typically grouped through rules set by sales segmentation standards) revenue analysis must be a petri-dish of alternative "KPI's" that explore many attributes. This allows hotels to consider multiple "reservation-drivers"; booking advantage can come in many forms. See a few possible variations on the On-line Travel Agent channel, below in Exhibit "A". Hoteliers are only limited by their intellectual imaginations in creating new channels driven by "KPI's"!
By correctly defining your Property Management System SEARCH CRITERIA, with the goal of filling "pieces of the puzzle" that require attention, "KPI's are the answer.
The following, is a list of common Key Performance Indicators. Revenue Report Card TM has created over 100 variations!
Historic Fill Patterns
Based on the "fill periods" shown above, which Key Performance Indicators might you consider to bring more parity over the week in filling need days of each type of hotel?
Richard B Evans
President of Revenue Report Card LLC
Phone: (954) 290 - 3567