The document discusses strategies for hotel operators and owners to maximize revenue through innovative products and services. It notes that while the industry initially focused on cost containment following the 2008 economic downturn, more attention needs to be paid to revenue maximization by taking ideas from other industries. The document provides examples of how companies like Apple and cable providers increased revenues through small additional products and fees. It argues hotels could do more to offer unique services guests are willing to pay for without feeling "nickel and dimed." The author offers to help hotels identify new products to increase rates and profits without compromising service.
Desde Health 2.0 Buenos Aires queremos difundir lo que sucede principalmente a nivel local en el entorno digital del sector salud y así facilitar las interacciones entre los actores del sector sanitario en Buenos Aires y alrededores. ¿Te interesa? Contáctanos.
Üniversitelerde ve STK'larda yaptığım #SatKendini sunumumu incelemek isteyenler için. Pazarlama ve psikolojiyi bir arada inceliyor, "Ne Satarsan Sat, Kendini Satarsın" diyoruz.
OrderMate's FREE e-Book helping you discover how our hospitality management system can assist your hospitality business. One solution that will completely run your business.
Agency from Scratch is a call to action for traditional advertising agencies to re-visit their business model and their way of working to get in shape for today's demands on the creative industry. It is not a program about values and missions and other fluffy stuff that's nice to discuss. It is a program about habits, designed to change behaviour rather than just written commitments which are - in a fundamentally opportunistic service industry - rather irrelevant in praxis.
Metanomics is a weekly Web-based show on the serious uses of virtual worlds. This transcript is from a past show.
For this and other videos, visit us at http://metanomics.net.
Karraker, Strand Digital Portfolio 2011GregKarraker
Our first website was for Microsoft, in 1996, when we developed both the print and online versions of their annual report. We\'ve greatly enjoyed digital work ever since.
Desde Health 2.0 Buenos Aires queremos difundir lo que sucede principalmente a nivel local en el entorno digital del sector salud y así facilitar las interacciones entre los actores del sector sanitario en Buenos Aires y alrededores. ¿Te interesa? Contáctanos.
Üniversitelerde ve STK'larda yaptığım #SatKendini sunumumu incelemek isteyenler için. Pazarlama ve psikolojiyi bir arada inceliyor, "Ne Satarsan Sat, Kendini Satarsın" diyoruz.
OrderMate's FREE e-Book helping you discover how our hospitality management system can assist your hospitality business. One solution that will completely run your business.
Agency from Scratch is a call to action for traditional advertising agencies to re-visit their business model and their way of working to get in shape for today's demands on the creative industry. It is not a program about values and missions and other fluffy stuff that's nice to discuss. It is a program about habits, designed to change behaviour rather than just written commitments which are - in a fundamentally opportunistic service industry - rather irrelevant in praxis.
Metanomics is a weekly Web-based show on the serious uses of virtual worlds. This transcript is from a past show.
For this and other videos, visit us at http://metanomics.net.
Karraker, Strand Digital Portfolio 2011GregKarraker
Our first website was for Microsoft, in 1996, when we developed both the print and online versions of their annual report. We\'ve greatly enjoyed digital work ever since.
Espresso is an integrated marketing agency that has been creating memorable online and offline experiences for clients like Samsung, Nike Bauer, Sprint, and the United Way for over a decade.
We call our “secret sauce” brand infiltration—a cost-effective blend of digital, social, experiential, and traditional marketing tactics designed to ignite conversations and fuel word-of-mouth and word-of-mouse.
Hi, it's nice to meet you.
http://brandinfiltration.com
Intergen's newsletter, Smarts, now available for online reading.
Intergen provides information technology solutions across Australia, New Zealand and the world based exclusively on Microsoft’s tools and technologies.
1. TheScoop
Relevant Insight for Hotel Operators and Owners
It’s Time to Think about Revenue Maximization
San Diego11/5/2013 - We’ve beenfocusedonRevenue Managementsince we startedtosee how well the airlines
yieldedthe pricingof theirseatsbackinthe 1980’s. Additionally,since the economicdownturnof 2008, operatorsand
ownershave beenobsessedwith“costcontainment”betterknownasexpense management. Slashingeverythingfrom
staffingtothe numberof ouncesina hamburgeronthe room service menu.
Quite simply,revenuemanagementhasbeenone of the best practicesthatthe industrycouldeverhave developed
thanksinlarge part to the airlinesSTRGlobal. First,we asan industryworktogether. Forthe most part,a majorityof
hotelsinall majormarketsparticipate andreporttheirdatainto STR. Andinturn, STR quicklyprocessesthe information
and distributesthe resultstotheirsubscribers. Asa competitive industry,we lovethe metricsthatthe weeklyand
monthlyreportsprovide. We love the rankings,the daybyday performance andof course,we love whenwe win. And
whenwe under- performwe are able toquicklyidentifyareasforimprovement.
My nextcommentsinnowaytakesaway anythingfromthe STR data andthe informationitprovides;however,if we do
not take a similarapproachrelative torevenuesof otherindustries,we will be unable toaddvalue toour assetsby
increasingvolume and we have aninability toincrease ourhigh-marginrevenues.
• Apple’sIPhone 5was introducedandfora few daysthe mediaandcustomers(includingmyself)were
all dismayedthatinorderto use the device withotherproductswe hadto spendanother$29.99 to purchase a
one inchby one inchadapter. Accordingtoindustrydata publishedinthe New YorkTimesandCNET,Apple sold
inexcessof 25 millionIPhone 5’sinthe 4th quarterof 2012. If only50% of those purchasersalsoboughtthe
adapter,Apple broughtinanother$375M inrevenues…..andI’dlike toknow the profitmarginoneachof those
little adapters.
• All the cable companiesare spendingcapitoltoincrease the recordingpowerof theirDVR’sinan effort
to attract newcustomerand increase additional monthlyfees. The advertisementbudgetshave skyrocketed
and thisnewertechnologyisemerginginmore andmore homeseachday withoutmuchadditional costin
productdevelopment.
But again,whathave we done. Yes,we were hithardin 2008 & 2009 and while we hadanobligationtoourownersand
investorstomanage ourexpenses,manyof usretreated;lowerrates,developedlowermargin-value addedpackages
that reducedprofits. Byreducingoreliminatingservicesmostof all we were notthinkingof innovation. Innovative
productsand servicesthatourguestswouldgladlypayforwithoutfeeling“nickel anddimed”-Afternearly3decadesin
thisbusinessInoticedthat,we are so fearful of ourguestsbeing“nickel anddimed”thatwe justdon’tcharge or worse
we eliminate the service fromourbusiness. I don’tknow aboutyou,but I get“nickel anddimed”everydayat most
placesI enjoyshoppingat.
2. Travelingacrossthe countryoverthe pastthree years,I noticedlongerlines,shorteroperatinghours,lesstowels. I’ve
alsonoticedthatI was receivingvaluable thingsthatIneededandwouldgladlypayforwithoutacharge. Whetheritis
complimentarybreakfasttointernetfeesbeingwaived,we have takenoureye off the ball…IncreasedRevenues.
(Ona side note,I waswalkingthroughthe meetingspace of ahotel thatwas busywitha group at around3pm, justas
the 700 attendeeswere takingtheirtraditional “afternooncoffee break”. Whatwason the skirtedtablestookme by
surprise. Waterpitchersfromthe early1990’s and plasticcups…..that’sit. There weren’tevenslicedlemonsinthe
water. No goodies,cookies,fruitandnotevencoffeeforthe endof the day pickme up.).
This,at a 4-Star/4DiamondResortwhosaidtheywere emergingfromthe “worst”of the recession. There’salotof
profitbetweenfreewaterand$18.00 coffee breaks.
If we lookat today’stravelers,fromgroupattendeestothe familyvacationer,theystill have moneytospend,butmany
of usare afraidto charge an extrafee sowe simplydonotofferthe productor service,thuslimitingourabilityto
maximize revenuesandprofits.
HLA will workwithyourteamsto identifynewproductsandservicesthatare unique toyourproperties. Whetherwe
workwithyour cateringteam,toincrease weddingpackagesordevelopingaunique approachto your IBT market,we
can helpyougainadditional rate without“tossing”incomplimentaryin-roomwirelessinternetservice.
We will lookatthe whatthe marketisdoingand suggestrational solutionsthatwill enable youtotake businessaway
fromyour competitors,become the rate leaderandincrease the overall performanceof yourdestination….youwill all
be playingona level playingfield,workingtomaximizerevenuesandimprove yourprofitmarginsatthe same time.
Located in San Diego, Larry Kaufman is the founder and managingpartner of Hospitality & Lodging Advisors,Inc. HLA provides
consultingservices to hotel owners, developers and operators, with a primary focus on sales,marketing, revenue management,
interactivemarketing and product positioning. With over 30 years’experience in the hotel business Kaufman has broad insigh tinto
branded and independent hotels with business planning,analysisand sales training.