High Touch, High Tech and the Upselling to Increase Hotel Revenues
By Klaus Kohlmayr Chief Evangelist, IDeaS Revenue Solutions | October 04, 2015
Technology is having a huge impact on how revenue managers generate and optimize revenues at hotels. At the same time, it's clearer than ever that the "human touch" is indispensable: Without capable front desk, sales and revenue professionals at the helm, the possibility for generating meaningful ancillary revenue is limited. Equally, with an increasingly demanding and diverse generation of travelers coming to market, it's critical to be able to match the right kinds of accommodations with the right guests. This article examines the intersection of technology and human interaction in ancillary revenue generation at hotels today – with an eye not only toward enhancing revenues, but building guest experience and satisfaction as well. It pays special attention to the role of upselling, as a central piece to this puzzle.
The complexity surrounding the hotel business has exploded before our very eyes.
From AirBnB to OTAs to sophisticated new models of guest check in, check out, and service while on property, it's clear that technology is driving much of the change.
In fact, the complexity is at its highest where the possibilities opened by new technologies meet the ever-increasing sophistication of millennial travelers, and guests from all parts of the world.
It is no longer enough to check in guests efficiently and give them a comfortable room and a good night's sleep. Today, the guests at your hotel in Minneapolis may be a couple from China meeting another couple from Brazil, and expecting the level of service they just experienced at a five-star hotel in Mexico City. And all that must be accomplished in ways that optimize revenue within the context of an effective revenue management strategy.
It is a complicated package to deliver.