The second Revenue Management Revolution: Meetings & Events
During the previous decade hotel revenue management has seen Revolution, Capital R intended.
I remember booking my first holiday 10 years ago to Sicily with my 3 best friends. Having worked a student job at Pizzahut the 11 months prior to save for this trip it was safe to say: I was on a budget. We found a hotel in the lovely town of Acitrezza and discovered on the hotel website that their rate strategy was as basic as their facilities. If we skipped the last week of school, we could even still benefit from the low-season rate which would save us about €70 each. The four of us faked a cough and jumped on a plane to “La dolce vita”!
Fast forward 10 years and even at this small hotel in Italy rate strategy has become so much more than a different rate for low- and high-season. At hotels being serious about revenue management we now see room rates change as much as every hour with help of automated pricing systems like Atomize and Hotel Analytics Platforms like Juyo that would even make NASA proud. This is just another great example of how hotels can see a drastic positive impact on room revenue when incorporating technology.
There is one department, however, that didn’t join the first revolution and where things quietly kept going the way they had been going: Meetings, Events and Group Business.
Why? I’m not sure.
What I do know is that a lot of potential revenue is left on the table. For many hotels Meetings, Events and Group Business makes up to about 50% of the total revenue. It therefor makes absolute sense to approach sales / revenue management here with the same professionalism as transient rooms, right? Yet we often still see a first come first serve approach when it comes to sales, decisions based on gut-feeling and fixed rates for meeting room rental or meeting packages.
That’s why I call for a second Revenue Management Revolution, this time unchaining the potential in Meetings, Events and Group Business. At Get Into MoRe we help our growing base of customers to be leaders in this revolution by arming them with all data and analytics needed to be strategic masterminds and increase revenue.
The good news: you can join the revolution! All you need is a “yes we can” and “ready to start” mentality.
Who is with me?