If you answer this question with (nearly) zero: wow, you are doing great! However, did your business also profit from your full occupancy at its best?
Airliners are doing it since as long as we can remember: pricing seats in close relation to the flight’s occupancy rate and time left to sell the seat in realtime. This allows the airliner to maximise occupancy rate and revenue per seat at the very same time. Which to me, seems absolutely logical. So why are only the big chains doing this when it comes to selling rooms?
The big chains are employing dedicated revenue managers and/or using elaborate algorithms to leverage dynamics in room pricing. These methods are typically out of reach for independent hoteliers. On the other hand, it’s clearly no rocket science. I believe that all independent hoteliers should easily be able to apply a pricing elasticity that continuously sets room rates that are ideal in relation to the time left to sell the room and rooms available for that day.
Imagine that rainy Sunday afternoon, when you realise half of your rooms are still unbooked for that day. Why would you hold on to normal rates, or worry about constantly adjusting rates manually? I bet you rather sell rooms discounted than ending up with empty rooms. And on the other hand, why won’t you increase the room rates for that day in 6 weeks from now that you’re almost fully booked already? Even if it is just on the more expensive OTA’s, or to compensate for the discount you are giving for the last-minutes.
RoomRaccoon continuously sets your perfect rates with the most precision, exactly according to your own preferred tiers and without having to worry about manually updating any rates. The extra charge? Zero. Try how much it will increase your RevPAR on the long run and find out why RoomRaccoon is the most complete, easiest to use and fastest growing PMS for independent hoteliers around the globe.
Tymen van Dyl