Your rate doesn’t matter. Your ADR has feelings. The market doesn't.
Revenue management expert argues hotels should price based on market willingness to pay rather than internal costs or ego, using probability-weighted demand analysis.
Your rate doesn
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You want to change your commercial outcome? You need to change the way you think!
Here’s one of the hardest truths in revenue management:
It’s not about what you want to charge. It’s about what they’re willing to pay. This translates to: Your rate doesn’t matter.
Your positioning doesn’t matter. Your cost structure doesn’t matter. How hard your team worked doesn’t matter.
What matters is whether someone pulls out their credit card.
You can sit in a meeting and say: “We deserve 350.” “We’re premium.” “Our product is better.”
That’s cute. The market doesn’t reward what you deserve. It rewards what it values.
And value is not declared. It’s perceived.
The uncomfortable part
Sometimes you want to charge more. I get it: Owner pressure. Budget targets. ADR ambitions. GM Ego, You having a stick up your backside.
But the real question isn’t: “What do we want to charge?”
It’s: “What are they willing to pay ... right now ... in this context ... with these alternatives?”
Because here’s where it gets brutal: It’s not just willingness to pay. It’s willingness × probability.
If €350 sells at 20% and €320 sells at 60%
Which one actually wins? Exactly.
Revenue management is not ego pricing. It’s probability-weighted value perception.
Now let’s talk content (as you are reading this through LinkedIn)
Same disease. Different room.
You sit down and think: “I want to write about this.” “This is clever.” “This is advanced.”
Truth: Pretty much nobody wakes up hoping someone explains displacement modelling to them over coffee.
Yes, content works exactly like pricing. It’s not about what you fancy writing. It’s about what people feel tension around.
You can post something intellectually brilliant and get 12 likes.
Or you can touch a frustration, an insecurity, a commercial truth nobody wants to say out loud…and suddenly it moves.
Because value isn’t created by intention. It’s created by relevance.
The mirror moment
Hotels overprice because they fall in love with their effort.
Content creators underperform because they fall in love with their thoughts.
Both forget the same thing:
The decision is not happening in your head. It’s happening in theirs. Guests don’t pay for your budget. They pay for how your offer feels compared to alternatives.
Readers don’t engage with your expertise. They engage with what reflects, solves, or challenges them.
The market is not emotional about you. You are emotional about you. That’s the gap.
So what’s the play?
In revenue management:
- Understand willingness to pay
- Understand substitutes
- Understand timing
- Understand context
- Understand probability
In content:
- Understand pain points
- Understand curiosity
- Understand emotional triggers
- Understand what people think but don’t say
Same principle.
Value is not what you declare. It’s what they perceive and more importantly: act on.
Final thought
The market doesn’t reward what you want. It rewards what it values. Detach from ego in pricing. Detach from ego in content. Detach from ego in strategy.
Because whether it’s a hotel room or a LinkedIn post…it’s never about what you want to charge.
It’s about what they’re willing to pay.
Love,
Fabi
Bit about me: I’m Fabian Bartnick aka. Fabi – The Commercial Growth Leader. I’ve built and exited hospitality tech companies, trained thousands of leaders worldwide in sales, marketing and revenue management, and helped businesses in multiple industries align their commercial teams for measurable growth. If you’re ready to align your sales, marketing, and data into one unstoppable growth engine connect with me on LinkedIn.
TL;DR: I make people better and companies more money by changing the way they think!
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