The pandemic era has highlighted the attention to cost optimization. Proper cost control has become crucial to survive
and succeed. Revenue Management is not only optimizing the revenue streams anymore but also driving profitability.
Every single decision of a revenue manager has, indeed, an impact on the bottom line.
21 July 2021 — This article lays out why it's important to differentiate distribution costs from customer acquisition costs (CAC). Distribution costs refer to commissions paid to travel agents, OTAs, discounts to tour operators, etc. Whereas customer acquisition costs include the distribution costs, website-related costs, sales & marketing department salaries (after all, they are here to acquire customers), social media costs, advertising, loyalty and brand-related expenses, channel manager fees, etc.