All posts in Pricing

14
Jan

3 Hotel Freebies That Destroy Profit

Categories: Food and Beverage, Pricing, Restaurant, Revenue Management, Total Revenue Management
Comments Off on 3 Hotel Freebies That Destroy Profit
by Robert Hernandez

Many hotel marketing and promotional ideas sound like they should work when being thrown about in strategy meetings, but when the PMS/POS data is actually analyzed intelligently you find that they do more harm than good. Based on my work with resorts over the past eight years, I can safely say that these three common freebies simply won’t deliver any value to most properties. Free Alcohol.  This is the easiest way to give away profit inadvertently.  At the last resort where Read more

14
Jul

Revenue Managers have taken the Five Ps away from Marketers

Categories: Analytics, Data, Forecast, Guest Analytics, Hotel Analytics, Marketing, Pricing, Revenue Management, Spa, Total Revenue Management
Tags:
Comments Off on Revenue Managers have taken the Five Ps away from Marketers
by Robert Hernandez

For years, we’ve all been reading about the need to coordinate the activities of Revenue Management and Marketing into one synergistic Revenue Generation process. In practice what is really happening in many hotel companies is that the activities of both departments are not merging, but they are instead becoming the domain of Revenue Management. That RM is “taking” away many of Marketing’s traditional roles makes sense. As marketing has become more digital, it has inevitably become more data driven, and in most Read more

14
Jan

The Three RM Terms That Revenue Managers Misuse the Most

Categories: Analytics, Pricing, Revenue Management
Comments Off on The Three RM Terms That Revenue Managers Misuse the Most
by Robert Hernandez

I have had the good fortune to engage with hundreds of Hotel Revenue Managers from every corner of the hospitality industry. With no reservation I can honestly say that the vast majority are dedicated professionals who want nothing less than the best for their employers.  They care about their personal performance and the value they create.  Despite all that, it is hard to argue with the reality that the career trajectory of most hotel RMs has left a lot of holes Read more

14
Sep

Taking On the Epidemic of Overconfidence in Hotel Revenue Management

Categories: Analytics, Data, Pricing, Revenue Management
Comments Off on Taking On the Epidemic of Overconfidence in Hotel Revenue Management
by Robert Hernandez

From time to time one of our clients asks me to sit in on a vendor presentation for some Revenue Management or Business Intelligence software.  At the end of these demos the salesperson usually summarizes the value of the system by saying some derivative of “it allows you to make more confident decisions.” That is exactly the opposite of what the sales pitch should be.  You see, in the hotel business there is no confidence problem.  Managers across all departments Read more

Your Courses