Podcast – How Hoteliers Are Rethinking the Revenue Metric Dilemma

August 21, 2023

In this episode the second of a mini-series on revenue management and pricing strategies, we speak with Radisson, Preferred Hotels and IDeaS RMS about the hotel performance metrics and how they are changing.

In a recent survey between IDeaS RMS and The Caterer, responses show that independent and regional hoteliers look at hotel revenue and commercial metrics differently. Key insights include:

  • Despite over 7 in 10 (70.9%) claiming they have an integrated revenue strategy – also known as Total Revenue which incorporates all hotel departments – RevPAR (30.6%), Occupancy (22.2%) and ADR (17.6%) remain the dominant metrics for measuring business success.

  • Profit, a better reflection of a hotel’s overall business performance, is used by 16.7% of respondents, with TRevPAR used by just 4.6%.

  • For branded hotels, RevPAR is preferred by 42.4% of hoteliers while occupancy (28.3% in rural, coastal and beach hotels) is the prominent metric for independent regional hotels.

We are joined by Michael McCartan, IDeaS, Area VP EMEA, Raimund Notz, Director, Hotel Revenue Optimization – Central & Eastern Europe, Preferred Hotels and Dario Artiola, Senior Director Revenue Performance, Radisson Hotels Group to discuss:

  • What is an integrated revenue management strategy

  • Role of F&B and ancillaries in profit optimisation

  • How to have the right strategy

  • Focusing the team on the right approach

  • Using technology

Listen to the podcast here.

About Haynes MarComs

 


Haynes MarComs supports businesses with strategic brand marcomms and digital and PR campaigns by taking an holistic approach to sales, marketing and customer delivery. Our aim is to make your business more efficient and productive in your go-to-market strategy to secure the confidence from the market that drives lead generation to meet your commercial goals.

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