Revenue-management best practices have failed

The traditional revenue-management best practices have failed, leading processes to change from a static to nimble approach, according to panelists on a webinar hosted by the Hospitality Sales and Marketing Association International University

Tom Botts, executive VP and chief customer officer for Denihan Hospitality Group, said best-available-rate pricing often offers little value to customers but makes hoteliers “feel good.” Customers today are shopping based on price, he said.

Ash Kapur, VP of hospitality revenue management and distribution for Starwood Capital Group, said the guest experience doesn’t start when guests arrive at the hotel. It starts pre-arrival, when they begin to shop. Hoteliers should be mindful of that when it comes to their own booking processes, he said.

We as hoteliers are capping our own investment in technology and questioning (return on investment), but we are happy paying commissions to intermediaries who instead are using those commissions to improve technology

It’s important hoteliers don’t abandon distribution channels because that would be shutting off some demand, Kapur said.

Read more

By: Alicia Hoisington
The above is an extract of the original article available at: HotelNewsNow

 

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About RezNext

RezNext is the world’s only true Real-Time Distribution Management Solution provider. It empowers hotels to adopt a distribution strategy that simplifies the complex global distribution environment and makes it understandable and manageable. It is integrated with revenue management, operating intelligence and powered with reputation management insights. RezNext’s portfolio of offerings include Rate & Channel Manager, Revenue Management, Online Reputation Management, Website Designing and Web Booking Engine, Mobile solutions, Central Reservation System, Business Intelligence, Property Management System (PMS) two-way connect, GDS and OTA Interface and Loyalty & Feedback Management. Our growing range of solutions can be access by hospitality properties across market segment and size, such as independent hotels, chain hotels, business hotels, resorts, clubs, service and limited service apartments, spas, restaurants and others.
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