A Post-Crisis Top-3 Revenue Management Action Plan
— 14 experts shared their view
The global hospitality industry has been through every perceivable calamity over the past decades: earthquakes, tsunamis, tornados, major floods, terrorist attracts like 9/11, SARS, global recessions, epidemics and pandemics like SARS, MERSA, ZIKA, swine flu and now COVID-19.
After each crisis the industry came roaring back and I believe it will recover very quickly after the current COVID-19 crisis and prosper like never before.
Naturally, each region and destination has had and will have its own decline and rebound curves as far as hotel occupancy, ADRs and RevPARs are concerned. Recovery post COVID-19 will also be unique to each region, destination and property and will greatly depend on a) the underlying economic conditions in each region and destination, b) the preparedness of each property for the post-crisis period, and c) the lingering impact of short term tactics employed in each market during the crisis.
This down time of low hotel occupancies or property closures is the perfect time for POST-CRISIS planning, revenue optimization action plan development, product and marketing campaign ideations.
The question to the Revenue Management community is, which specific action-items SHOULD be included in a hotelier's Post-Crisis Top Three Revenue Management Action Plan? In addition, please suggest one creative, OUTSIDE-THE BOX idea... something we may not have seen yet in revenue management. Just an idea... big or small.
Founder/CEO at The Revenue Company
This post-crisis plan needs to be very asset-specific. It will be critical to determine what works to your advantage.
- Fully audit all your marketing assets, determine what can still be used post-crisis and what needs to be added. Become hypersensitive to sub-segmenting your market data. Define which markets and industries will recover the quickest, for example, assets in drive markets should recover the quickest. Assets that are group dependent should continue to be in contact with their clients, developing goodwill, so that those customers are ready to return to doing business.
- Help alleviate any fear of travel for those who are still wary to travel and make them feel more safe and healthy. You must discreetly address this issue in your messaging and execute it. This virus may permanently all some people's definition of how important clean is.
- While the crisis is going on, become a leader in your community for the right reasons. Donate, offer food delivery services, this will be remembered post-crisis.