The importance of revenue optimisation or revenue management in the hotel industry cannot be overstated due to its critical importance to the Hotel bottom line. Basically, revenue optimisation is being able to sell the right room to the right guest, at the right price and at the right time. It requires plenty of actionable information in a timely manner, which is so often unattainable.
These are the lifestyle trends that will be shaping the hospitality industry in the next 12 months, according to Muriel Muirden, a renowned hotel designer and trend forecaster.
Online Travel Agencies (OTAs) such as Expedia, Agoda or Booking.com have become a crucial source of hotel revenue. Independent hotels are particularly dependent on OTAs for their revenue. While this is not necessarily a negative trend, hoteliers should avoid relying too much on this channel for it may hurt the hotels’ profitability. OTAs usually demand around 10-20% in direct commissions. Additionally, the rate parity agreement with OTAs limits the hotels’ pricing options.
The Hospitality industry increasingly appreciates the significance of personalisation in improving customer satisfaction and loyalty. As guests today are getting bombarded with information and offers from both hotels and online travel agencies (OTAs), personalised services could well be the ultimate goal that every Hotel aims to achieve. This is a long and challenging journey; but hoteliers can start by understanding the fundamental principles and practices, as well as associated legal and ethical implications of hospitality personalisation.
Technology is still developing at a fast-moving pace, some has positively changed the way hospitality operates. However, it’s challenging for Hotels, service providers and hospitality-related services to keep up with these rapid changes and innovation. If you don’t want to be an outsider to these technology changes impacting the hospitality industry, then read these top 5 technology inventions:
Identifying the trends of our own industry in the year to come is very important. Technological trends that will significantly influence the industry are shaping the industry and forcing companies either to adopt the changes or be left behind. The hospitality industry is no exception, the top 3 technology trends you need to watch out for in 2016 are:
The hospitality industry is a multi-billion dollar industry that typically relies on the availability of people’s leisure time as well as their disposable income. This industry – which includes, hotels, pension houses, restaurants, theme parks and others – usually thrives when there are enough people who are capable of spending money as well as willing to use them to pay for leisure services and facilities.
Infor Ming.le, is a new comprehensive platform for social collaboration, business process improvement and contextual analytics. This most innovative social media concept enables an employee to work more effectively as it brings social communication together with business processes. The core difference between Infor Ming.le and other information sharing technologies is Ming.le is fully embedded with the organisations main systems for example ERP and SunSystems.
As discussed in the latest blog, 3 ways to increase profits in hospitality management were matching staffing levels to demand; utilising the value of your inventories and understanding ROI of Marketing. Now let’s uncover part 3, which is the last one of the series 9 ways to increase your hotel profits.