Recapping the HEDNA Revenue Management Webinar
On May 27, HEDNA convened a panel discussion of industry experts to discuss strategies on how best to best prepare for the recovery. The panelists included Trevor Stuart Hill, Founder and President of Revenue Matters, Dave Collier, General Manager of Americas at OTA Insights, Garth Peterson – Managing Director of Americas at IDeaS and was moderated by David Chestler, Senior Managing Director at Provision Partners. A recording of the session is available.
The panel of experts discussed current market conditions and the future of hospitality distribution as it relates to pricing, systems, operations, alternative lodging, inventory and length-of-stay planning for a post COVID-19 world. Key considerations relating to revenue management, pricing strategies and technology were considered to help hospitality professionals prepare to ramp up operations.
Key points as summarized by session moderator David Chestler:
- Some of what we are seeing in the market in the US over the Memorial Day Holiday weekend, and in Asia Pacific and China specifically, are encouraging signs of recovery. Each region and market will recover at its own unique pace and with a better mechanism in place to measure, track and execute than before. We are still in very delicate times.
- Some locations and segments will do well early on, but many are going to take longer to recover like luxury large scale hotels and meeting convention properties. As an industry we are resilient to market conditions and can work together to solve problems and make the traveling public feel comfortable again.
- Some of the research companies and predictors are correct, we are seeing leisure transient business leading the recovery. Panelists shared their belief once permitted the public will begin small, simple trips. And start our return.
- Are you prepared? Are you open? What costs more, to stay closed or remain open? The group discussed that now is the time to do the analysis and determine your strategy or you will get left behind. Revenue Management as a discipline is proven and here to stay. Even in unprecedented times having the revenue management discipline with technology, solid reporting including external data sources, enables intelligence for going forward with awareness and knowledge.
- The subject matter experts agreed that shorter term goals and planning versus the “weekly meetings” as the amount and velocity of data and change right now is a measure of your location and market readiness to succeed.
The presentation was rich with references and data points and each panelist shared the takeaways, contact and references.
Trevor Stuart Hill, Founder and President of Revenue Matters
Key Takeaways:
- Recovery will happen, and in some cases will probably recover more quickly than what is being forecasted
- Use this time wisely to reevaluate distribution content. Be certain to include marketing messaging that is in synch with your overall strategy.
- Guests are wanting to hear three things… That they can SAFELY enjoy your property, amenities and destination. Assurance that your property is CLEAN. And, that you will be FLEXIBLE should plans change.
- Ensure that the trifecta of S&M, Revenue Management and Operations are all in concert.
- Consider value-add, upsells etc. before discounting. If you do discount, provide a reason so as not to set guest expectations that the price they are paying is now what your property is worth post COVID-19.
Resources:
HERE is a link to the news page at Revenue Matters… there are a number of articles listed here that would be helpful for the Hedna audience.
Contact info: info@revenuematters.com
Dave Collier, General Manager of Americas at OTA Insights
- Review your data sources, we all know that historic data isn’t going to be useful in the short term, find the options that provide forward looking and predictive demand data sources
- Set short term goals relevant to the markets you are working in and develop appropriate KPI’s. We are seeing pricing stability return, but there are different trends and reactions in each market, it is important to be in tune with those trends
- Be data driven in paying attention to how the competition is reacting, it will take a while for predictable patterns to return. This is particularly important in markets that still have significant closures or markets that are highly dependent on first responder traffic.
- Everyone is being pushed to do more with less. Spend time with the partners you already have, there is a lot more you can get from them, find out how they can help beyond your conventional use cases.
Resources:
Contact info: marketing@otainsight.com
Garth Peterson – Managing Director of Americas at IDeaS=
Resources: https://go.rev.ideas.com/COVID-19-hospitality-hub
Contact Info: sara.maly@ideas.com
HEDNA’s mission is to simplify hospitality distribution through facilitating connections, education and insights required for success in the ever-changing hospitality industry. On June 16, HEDNA will host a virtual mini-conference called HEDNA @ Home. The event is open to all hospitality professionals.
For more information on HEDNA@Home and other HEDNA webinars, visit: https://www.hedna.org/events/. Be sure to follow HEDNA by subscribing at HEDNA.org and through LinkedIn. Recorded content can be viewed on the HEDNA TV.