In the accommodation industry we have two very important pieces of information that can affect our business significantly, rates and allotments. Often managers and operators forget how important it is to constantly adjust their rates to maximize profitability. Large hotel chains and groups have teams of revenue managers who work full-time around the clock and adjust rates and monitor supply and demand. Unfortunately, this is just not realistic for small to medium hotels and apartment buildings – most managers are left guessing or not practicing yield management at all. Responding to high and low demand periods by adjusting rates for maximum profit and occupancy is now pretty much mandatory. So much so in fact, it can make or break an accommodation providers business in a competitive market online.
Yield Management for hotels and apartments: the practice of selling your product and service to the right customers, at the right time and at the right price.
Seems simple? Incorrect! There are many factors that are involved in accurately mastering yield management some of which include:
- Forecasting demand
- Analysing historical data
- Testing details E.g. length of stay or room type and added extras
- Setting limits
- The list goes on…
Typically, I would explain how to affectively implement this into your Hotel or management rights business, however, there isn’t much point at all… Here’s why:
Allotz.com has affectively developed an AUTOMATED yield management tool which takes these factors and a whole lot more into consideration, it even adjusts your rates in real-time based on “up to the second” demand. This leaves you free to attend to your guests experience and needs, possibly even having a well-deserved bit of you time. – The most significant game changer for independent accommodation providers is now a reality, thankfully you will never have to contemplate tackling the complex world of yielding rates again to compete and succeed.
Arrange for a complementary demo of Allotz Autopilot today, we can have you automatically adjusting rates in no time at all.