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5 Simple Tips To Ensure High Profitability For Your Hotel

Boost your hotel’s profitability with these 5 simple revenue management tips

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Page 1: Boost your hotel’s profitability with these 5 simple revenue management tips

5 Simple Tips To Ensure High Profitability For Your Hotel

Page 2: Boost your hotel’s profitability with these 5 simple revenue management tips

With guest trends varying so much and digital technology making the booking process a two minute job, the importance of revenue management has become paramount for hotels to capitalize on unexpected spurts in demand. Here are some simple steps to optimize your hotel’s revenue management strategy.

Revenue management is the key to a successful, long-term business model

Page 3: Boost your hotel’s profitability with these 5 simple revenue management tips

Contrary to popular belief, lowering prices compared to competitive properties is not a good way to improve revenue. In fact, according to a 10-year study of over 4,000 hotels, increasing rates improves revenue! However, make sure that your property offers more value so you can justify the increase in pricing.

Offer better value to guests

Page 4: Boost your hotel’s profitability with these 5 simple revenue management tips

Social media is one of the most powerful marketing tools available but merely having a presence on these channels isn’t enough – make sure that your social media profiles are constantly engaging the audience. Encourage guests to share pictures and interact through contests, this is free brand-building!

Focus On Social Media

Page 5: Boost your hotel’s profitability with these 5 simple revenue management tips

While OTAs are powerful distribution portals that expose your hotel to guests from around the world, listing on too many can be a bad thing as you’ll end up paying too many commissions – avoid OTAs that are strong in local areas where your hotel is well established, and evaluate each channel’s commission charges, marketing activities and reach before deciding.

Utilize The Right Channels

Page 6: Boost your hotel’s profitability with these 5 simple revenue management tips

Your own brand website must be the priority – this is the most important revenue channel for your hotel as bookings made here are commission-free. Invest in your website and ensure that the page design, loading speed and the all-important booking engine are well-optimized. Internet users aren’t the most patient!

Build A High Quality Site

Page 7: Boost your hotel’s profitability with these 5 simple revenue management tips

Hospitality is a constantly changing industry and guest trends as well as supplier technology is evolving break-neck speed- nothing stays the same for too long here. Hotels that respond the quickest to new emerging trends are the first to capitalize on new segments in the market and in order to ensure that your hotel stays on top of its game, you need to stay on top of yours!

Keep Yourself Educated

Page 8: Boost your hotel’s profitability with these 5 simple revenue management tips

Revenue management practices will have a significant, positive impact on your bottom-line – but that doesn’t mean you can expect overnight results of course. A stable strategy takes some time to run through all stages of the process and show results, and within a few months, your hotel will be reaping the rewards!

Have Patience

Page 9: Boost your hotel’s profitability with these 5 simple revenue management tips

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