The pandemic has been a great equalizer. Regardless of the size of the business, every full-service concept is struggling to rebuild guest traffic, fill positions, and manage inventory and labor costs at the unit level. In this article we provide a few effective tactics of successful independent restaurateurs who are driving sales and reining in costs with agility, creativity, and a losing-is-not-an-option mindset. READ MORE
HOTEL BUSINESS REVIEW
October FOCUS: Revenue Management
What a difference a year makes! A year ago, at this time our industry was at rock bottom due to the impact of the Corona virus. As we make our way out of our darkest times some segments of our business are flourishing while others are a little slower to turn around. Is there a way that Hoteliers can leverage these segments to drive more revenue? Let's take a look. READ MORE
Whirlwind, staggering, unprecedented, historic, once-in-a century-we still haven't run out of descriptors for what the pandemic has wrought. Still, like other disciplines of hospitality, revenue managers rose to the occasion with equal measures of well-honed skills and adaptability, working in harmony with the full hospitality team. Now, we consider how our experiences my help us shape our revenue management strategies in the coming year. READ MORE
After months of travel hesitancy, historically low occupancy rates, a remote workforce, and gale-force challenges, calmer skies are on the horizon for the hospitality and travel industries. While this economic distribution tested even our most veteran industry leaders, we've weathered the storm ready to innovate, improve and change the ways we do business. Necessity, after all, is the mother of invention. READ MORE
Good revenue management defines a property's bottom line. A profit management strategy determines a property's net revenue. Revenue management in hotels is a practice that has evolved significantly in its relatively short history, demonstrated great success using inventory, capacity and pricing to 'manage' revenue and probability, although hotel revenue management doesn't evolve fast, strategies aimed at improving it develop in tandem with modern business and technological trends. READ MORE
This article focuses on the trends regarding hotel revenue management in the current lodging workplace. Creation of value and the skill set needed to be successful in revenue management will also be discussed. Finally, the career pathways in the lodging industry for revenue management analysts and managers and they operationalize revenue management as decision-making tools will be discussed. READ MORE
The COVID-19 pandemic unleashed a wave of uncertainty, leaving hotel properties in operational limbo and making forecasts borderline useless as the delta variant continues to disrupt the global economy. As payroll costs and overhead continue to squeeze already-thin margins, carefully curating big data to aid revenue management can help hotels stay in the black. READ MORE
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Your property's bottom line is defined and measured for success if you as the property revenue manager implement a good revenue management strategy with the help of other departments in your property. The strategy of implementing good revenue management has been tried and approved of success is true through the regular revenue management measurement, but there is another and more efficient way to influence your property's yields. We call the strategy profit management which determines a property's net revenue after taking into consideration the costs of acquisition by channel, opportunity costs, and target audiences. READ MORE
Profit maximizing is the goal of the hotel owner; however, incentives or lack of information may lead the revenue manager to revenue-maximize instead. This paper examines a theoretical model of the differences in the approaches and suggests a simple statistical model to estimate the outer bounds of premia or discounts that should be applied to the revenue-maximizing ADR to achieve profit-maximizing. The model is applied to hotel statements, and I find that the amount charged in extended stay and limited-service hotels should be higher, full-service somewhat higher, and resort hotels the same or lower to maximize profit. READ MORE
