Editorial Board   

Mr. Baker

Dennis M. Baker

President and Chief Executive Officer, Avendra, LLC

Dennis M. Baker is the president and chief executive officer of Avendra, LLC, the leading independent, business-to-business procurement company serving the hospitality industry. Prior to joining Avendra, Mr. Baker was the executive vice president and general manager of The Marketplace by Marriott, a division of Marriott International responsible for developing and implementing an innovative, new strategy for consolidating and streamlining the company's procurement activities. There, Mr. Baker was responsible for the division's overall operations, including strategic direction and business planning. Mr. Baker began his career at Marriott International in 1987. He joined Marriott Distribution Services in 1991 as their business began its push towards penetrating the external chain restaurant food distribution market. This division also housed Marriott's centralized food procurement functions.

Mr. Baker can be contacted at 301-825-0500 or Dennis.baker@avendra.com

Coming up in October 2019...

Revenue Management: Focus On Profit

Revenue Management is still a relatively new profession within hotel operations and as such, it continues to evolve. One significant trend in this area is a shift away from using revenue as the foundation to generate key performance indicators (KPIs) and to instead place the emphasis on profit. Traditionally, revenue managers have relied on total revenue per available room (TrevPAR) and revenue per available room (RevPAR) as the basis of their KPIs. Now, some revenue managers are using gross operating profit per available room (GOPPAR) as their primary KPI. This puts profit at the center of revenue management strategy, and managers are increasingly searching for new ways to increase the profitability of their hotels. Return on Investment is the objective of any hotel investment, so it is only logical that profitability and ROI will be emphasized going forward. Another trend is an expanded focus on direct hotel bookings. Revenue managers know that one way to increase profitability is to steer guests away from online travel agencies (OTAs) and book directly with the hotel. This tactic also reinforces brand identity and loyalty, and encourages repeat business. In addition, it provides a valuable platform to market the hotel directly to the customer, and to upsell room upgrades or other services to them. Another trend for revenue managers involves automation in their software programs. Revenue management systems with automation are far more desirable than those without it. Automating data entry and logistics increases efficiency, allowing managers to spend more time on formulating strategy. As a bonus, an automated system helps with aggregating and interpreting data. The October issue of the Hotel Business Review will address these developments and document how some leading hotels are executing their revenue management strategies.