Do we need a new revenue management toolkit for 2021?
— 18 experts shared their view
It is no longer news that the hotel industry has suffered the worst decline in history. The resulting business failures are starting to make the news and most industry experts agree that it will be several years until the industry returns to anywhere near the health it had in 2019. While the global picture is still very gloomy, we are starting to see isolated upticks in reservations. However, whether it is traveler's slowly adjusting to the "new normal", or just pent up leisure demand, the booking patterns are different than ever before. And just like the periods following previous disruptions, the most aggressive and innovative hotels will gobble up all of this trickle of new travelers, leaving most hotels still staring at the horizon, looking for signs of life. Although there will be few winners and mostly losers during the early stages of the recovery, most hoteliers are still working with the exact same set of tools they had, pre-pandemic, including over half of the industry that uses no dedicated revenue optimization technology whatsoever.
So, we ask our panel experts: 1) For a hotel just getting started implementing a revenue optimization process, what technology and services are most essential, and how should they be selected? or 2) For a hotel with an established revenue optimization culture, what new tools have emerged that could be game-changers?
Corporate Director Revenue Management Palladium Hotel Group
Scenario 1 - In the first steps of implementing a revenue management structure i think you need to focus on the basics with a clear goal in your mind … try to eliminate manual processes.
Per example, try to incorporate a Shopper Software which helps you avoiding this manual process to see your competitors Rate, this is probably the best technology (apart for the RMS) who help you save time.
Try to incorporate an RMS solution or an RMS Assistant who helps you in having all the important information together and if you don't have the budget enough to afford an RMS, at least try to build something on your own with a BI platform like Power BI in order to collet and show your data in a simple way.
Another very affordable platform would be a benchmarking tool, so this is also a mandatory system if you want to start a revenue management plan.
With that tools ... you have controlled two main aspects of your revenue strategy, your data, and your competitor data so the rest it would be easier.
Scenario 2 - If you are in a hotel with a revenue management department fully established I would recommend a new cool tool who can provide you big and smart data from the destination where you are in.
They are called big data for Smart Destinations and I would recommend because never like now we must have information about our guest but also about our markets, source ond origin ones.
These new tools give you the opportunity to reach information about the destination like air travel capacity, air tickets prices and so on … this information is pure gold and you can have per origin market or source.
This could be a game changer tool for you and your company