HIS is instrumental in helping many hoteliers realize the full potential of their businesses by identifying revenue streams previously left untapped. In fact, the market is currently ripe for HIS’s services since a staggering 85 percent of hotels worldwide do not have a revenue management system in place, and independent hoteliers are even less likely to have implemented one. As more hoteliers turn to HIS, it remains confident to help hotels—from elegant boutique hotels to award-winning resorts—thrive in an ever-changing business landscape.
Like other contemporaries, HIS’s revenue management services focus on driving top-line revenue by raising the revenue per available room (RevPAR). But its approach doesn’t stay restricted to that alone. Its holistic revenue management approach stands out by taking into account all revenue streams within a hotel, like golf courses, restaurants, and banquet facilities, instead of just room rates.
Many hotels outsource their revenue management to big hotel chains. However, the challenge with outsourcing is that clients may have a revenue manager handling 30 hotels without a clear understanding of each property’s unique needs. They may quickly review reports and send them to the property without providing specific recommendations for pricing changes. HIS overcomes these limitations by taking a more nuanced approach. It makes weekly calls with each property to discuss revenue management reports in detail, considers historical data, and provides specific direction on pricing changes. With insights from managing various hotels and observing market trends across different regions, and the expertise of revenue managers who possess extensive knowledge of specific revenue segments, HIS ensures every reservation and group contributes to the hotel’s overall revenue.
“Properties managed by us exhibit high occupancy rates, impressive average daily rates, and strong RevPAR,” says Tawnya Johnson, senior vice president of sales and marketing at HIS.
Customer onboarding at HIS typically involves understanding a client’s existing software programs and historical data before making recommendations for change or system implementation to drive higher gains and returns. It relies on its data analysis tools and spreadsheets when a client doesn’t have access to revenue management software programs. For branded hotels, HIS integrates its methods to complement their existing revenue management software. This hybrid approach considers internal and external data to gain a better understanding of market dynamics and factors that may affect a hotel’s revenue.
Forging long-term partnerships is at the core of our philosophy. We focus on creating mutually beneficial relationships with clients by helping them grow their assets while fostering a supportive and collaborative environment
The COVID-19 pandemic significantly impacted the hotel industry in the last few years, making it challenging to rely on historical data for revenue management. Quick to anticipate this trend, HIS provided valuable assistance to many seasonal properties in Michigan and helped them implement effective revenue management systems and policies just before the pandemic hit. Despite the difficult circumstances that followed, the properties could substantially grow the RevPAR by boosting occupancy rates and demand.
“Forging long-term partnerships is at the core of our philosophy. We focus on creating mutually beneficial relationships with clients by helping them grow their assets while fostering a supportive and collaborative environment,” says Johnson. To ensure clients receive a customized and high-touch service, HIS intentionally limits its size. By remaining a small company, it believes it can better address their individual needs and provide personalized solutions.
HIS holds many certifications to manage properties for major hotel brands like IHG, Marriott, and Hilton. It also offers revenue management services for independent hotels, which require a deep understanding of the property and customized high-touch support, which is where its expertise lies.
With these unique attributes and a commitment to excellence, HIS is well-positioned to continue supporting hoteliers in optimizing pricing strategies and maximizing overall revenue streams, even in the face of challenging circumstances.
