Several decades ago, the science of hotel revenue management was in its infancy and viewed with some skepticism by long-time hoteliers. Today, the Revenue Manager has become an integral piece of any hotel’s business operations. However, forward thinking hospitality companies are moving beyond merely managing the revenue generated by each individual room of their hotel properties.
Real-time pricing and optimization is the future of hotel revenue management. Data science offers hoteliers nearly infinite data points to be applied to the revenue management equation. The hotel data scientist of today now finds himself or herself in the position revenue managers found themselves in decades past.
Cloud-Based Revenue Management Optimization
Data science, in the form of state-of-the-art revenue management optimization, offers hoteliers nearly infinite data points to be applied to the revenue management equation. These revenue optimization tools are designed for the ever-changing challenges faced by 21st century hoteliers. A tool that provides big data; which is gathered, delivered, and analyzed in real time. Solutions that present hospitality Revenue Managers the information needed to offer hotel inventory at the most optimal rate possible at any given moment.
The revenue model of today is no longer built upon the single room as a unit, but giving each guest a unique value to the hotel. Revenue optimization is determining the individual value of the guest, and then adding that data into the equation along with internal and external price forces as well. The goal being to reach a differentiated price for each room pleasing to each hotel guest, while maximized for hoteliers.
Inline Revenue Management®
The Above Property Inline Revenue Management® module allows real-time pricing and availability adjustments based on occupancy, seasonal trends, forecast, weather, booking pace and competitive data. Each transaction is processed in real-time through the Above Property proprietary pricing engine. Maximizing your revenue through careful management of forecasting, availability controls, groups, and distribution is crucial in today’s hospitality marketplace. The Above Property Inline Revenue Management® system gives you all the tools necessary to put your revenue management techniques and strategies to work. Operating in a fully distributed cloud environment, the Above Property Inline Revenue Management module can integrate with existing systems as well as take advantage of the full suite of complementary modules within the Above Property Travel Platform.
In the last part of this series we will cover how data science can create and deliver a customized hotel experience to each hotel guest.