5 Top Tips in Revenue Management
Revenue Management – “Selling the right space at the right time to the right customer at the right price”
5 Top Tips
The hotel market is an increasingly competitive market. To ensure success, it is vital for owners and managers to help their properties thrive and survive by creating revenue management strategies, driving sales and more importantly profit.
1 – Are you collecting the right information?
One of the most important points of revenue management is the collection of the right data. You should collect historical data for booking dates, arrival dates, room types, rates, commissions, market segment etc. You can then analyse this information and use it to make more informed business decisions.
2 – Do you really know your customers?
Do you know your customers? How old are they, how much do they earn, are they married, employed, what do they like to do socially, do they eat out, where do they live? If you can work out who they are, how they behave and what they would like from their stay then you can provide packages and rates that can be marketed to that type of customer.
3 – Do you stand out from your competitors?
In periods of low demand you need to be creative, you can’t just rely on reducing your prices! Know what makes you stand out from your competitors, what’s different, unique and then use this information to attract customers.
4 – Are you practicing Total Revenue Management?
Total revenue management means that you should be ensuring all revenue streams are being incorporated in your sales and marketing plans. (Rooms, conference rooms, bar, restaurant, golf tee times, leisure club membership, coffee shop)
5 – Is Revenue Management a team effort?
Make sure that revenue managers aren’t the only people in your business following these strategies. Communicate with and develop all your team members so they can contribute to your overall aims.
Hotel Consultant based in the Lake District supporting independent hotels and hospitality business’s in Cumbria, Lancashire and Yorkshire. Get in touch for just the cost of a call or a cuppa.