Channel Management in 2012: The Top Five Mistakes by Hotels
By James Filsinger Chief Executive Officer, EZYield | February 19, 2012
The global hotel market is at a tipping point. Booking windows have shrunk from weeks to days, and the increase in mobile bookings is leaving hotels behind who are trying to stick with the old ways of managing distribution channels.
It is almost impossible for any hospitality professional - using their own intuition and hard work - to accurately and consistently manage all hotel booking platforms for their property over the long term. There are simply too many channels available to make manual processes feasible. Despite the wealth of available research and data that shows how automated channel management systems can improve a hotel's Revenue Per Available Room (RevPAR), some hoteliers still continue to use manual processes to try and manage their bookings, limiting them to yield across a small number of online sites.
In short, if hoteliers are not using the right tools and techniques to maximize bookings across all available platforms, they are risking a fate of continually playing catch-up to those hoteliers who have embraced channel management technology and the advantages that these systems bring.
To help hoteliers on the road to a successful channel management program, here are the top five mistakes that are commonly made in this field, and how to avoid them:
1. Not seeing beyond the "Big 5" OTAs
While more and more consumers are booking their hotels and holidays through online travel agencies (OTAs), there are still some hotels that are reluctant to fully embrace the benefits that OTAs can bring. And, if they do, they often limit their focus to the "Big 5" OTA players, rather than increasing the number and breadth of OTA relationships they have.