From technology to pricing to direct communication, your team will face various obstacles. Hotels should prioritize channel optimization and increase direct bookings. Direct reservations save money and increase the lifetime value of each guest.
FREMONT, CA: Implementing a revenue strategy presents a distinct set of obstacles, on top of those already confronting hotels as a result of the pandemic's huge impact. Hotels must consider why they optimize each channel and how to direct bookings save money and result in a higher lifetime value for each visitor.
Here are the distinct sets of obstacles to overcome, along with some helpful hints.
Expanding one's skillset
Revenue management positions require a unique set of skills and knowledge. Developing and executing a successful strategy will be challenging without that broad skill set.
The first obstacle is acquiring the necessary abilities as an RM. You may already be an expert in your profession, having worked in it for ten years or more—or you may have recently transferred from another department and are still getting your bearings. Perhaps you need to brush up on your expertise after 14 months of much less activity.
In either case, training, upskilling, and updating your knowledge will provide you with the necessary basics and keep you current on industry best practices. This could include night classes, mentoring under a more experienced RM, or simply reading up on the subject.
It is more critical than ever to invest in the training necessary for effective revenue management. If you want to develop a successful revenue strategy, a strong foundation of knowledge and abilities is necessary.
Technology that is not always capable of coping with the proliferation of online channels
Technology—or the lack thereof—is a frequent roadblock for many revenue managers today, particularly those who work with smaller or independent properties.
Numerous independent hotels, even those with professional RMs, are confronted with significant and costly technical challenges in the effort to stay current.
The issues might range from having disparate technology systems that do not interact properly to not having the appropriate finances to invest in the technology your hotel needs.
RMs may find themselves staring down the barrel of hours of spreadsheets each day to stay current with their web channels without the appropriate technology. Without the proper instruments, the job might become excessively and unnecessarily manual.
Without a doubt, implementing a comprehensive revenue plan across many internet channels necessitates a technical investment. If you have difficulty locating the appropriate technology, this can obstruct your progress, and this is not the time to create further obstacles between you and potential bookers. Hoteliers must make the strongest case possible for locating and purchasing the appropriate technology for the hotel. They must approach it logically by documenting the amount of time spent on manual activities and demonstrating what other types of work could be performed if the manual admin tasks were not taking up as much time. Further, they must include work on price and inventory management by channel and extensive forecasts and segment analysis.