Profit Optimization: It's Finally Time to Do Something About It
By Ravi Mehrotra President, Founder, Chief Scientist, IDeaS | October 2019
Over the last decade or so, the hotel industry has been murmuring about profit optimization. In the last five to seven years, that murmur has increased to a constant hum and within the last two years that hum has increased to an unavoidable buzz. I compare it to that song or jingle you can't get out of your head.
In this article, we will walk through key components of a paradigm shift in thinking and address the five areas hotel organizations need to focus on to make impactful profit optimization a reality.
To begin, we as hoteliers and hotel technology providers must answer two fundamental questions:
1. Why has profit optimization across a hotel been so hard to accomplish?
2. Why haven't we implemented anything that has truly given us the ability to achieve global profit optimization?
To make profit optimization a reality, we must radically change the paradigm of our thinking. While this may seem simple in principle, in reality, it requires a little more effort.