RateTiger, a provider of online channel management technologies, has launched its revenue management tool RTStrategy to assist hoteliers with determining optimal rates for all distribution outlets to further automate channel management.
RTStrategy supports hoteliers by calculating the optimal room rates and/or position on a daily basis for all connected distribution channels. RateTiger promises RTStrategy will simplify yield and price management eliminating lengthy and complicated daily rate calculations. RTStrategy consolidates competitor rates and ranking information to recommend optimal rates with the help of previously selected revenue strategies. Hoteliers will have the ability to review automated rates with three options: a). automatically update all channels/room types with the recommend rates, or b). edit recommend rates/positions manually, or c). easily select another strategy to asses rate and market penetration impacts. Once hoteliers feel comfortable with proposed rates, the system will automatically manage distribution channel updates, sparing manual intervention.
RTStrategy has five unique strategy options available to provide maximum pricing flexibility: position, relative position, occupancy, parity and lowest rate guarantee (LRG). The strategies are built around the needs and requirements of hoteliers to meet daily business conditions.
The redesigned "Hot Date" feature, already part of other RateTiger products, is now allowing users to define different strategies for different date ranges dependent on high or low demand dates (e.g. trade shows, fairs, holidays, conventions). The user-friendly calendar acts as a dashboard alerting hoteliers to changes should they not have used the revenue management tool to assess optimal rates for a longer period of time.
RTStrategy will also include various other innovations for example an Allocation Pool to automatically position inventory to successful sales channels based on preset parameters.
Managing online sales:
Careful management of internet distribution sites such as Expedia and laterooms.com can help hoteliers maximize revenue from a point of sale that is yet to be fully explored and understood by the hospitality industry. While the internet may now be the place of choice for consumers to make their purchases, hoteliers are struggling to keep up with these new technologies and their ability to use the multiple websites on which they distribute their inventory to their full advantage.
A poor overview of their rates and availability across all their sites, a lack of competitor knowledge and inefficiency in the rate updating process are just some of the problems preventing hoteliers from feeling the benefit of selling rooms online.
Put yourself out there: The internet has become a fact of life so make sure your hotel features on the most popular distribution websites internationally as well as in your region. Check to make sure the channel is relevant to your guest demographic and is well catalogued by your sales partner.
Take advantage of opportunities: You may be cautious to implement new business practices, but innovation and investment is the key to securing long-term success. Keep your eye on the future and think beyond the next quarter! Having confidence in the next 12 months can give you greater control of current rates.
Cover your bases: While it is impossible to plan for every economic eventuality, your business strategy should cover a number of scenarios and be flexible to change. Understanding how rates are changing in the future will enable you to make more pragmatic rate decisions today.
Knowledge is power: Decisions made about your business should be based on facts and the speed at which you reach them needs to be immediate in order to react to an unpredictable market. Ensure you know what information you need and this is delivered to you on a daily or weekly basis.
Take control and help the business grow: Taking advantage of training opportunities will give your employees confidence to manage rates and inventory for the property. By expanding the number of staff who understands online sales and the technology involved will enable you to make more regular updates. With optimized structures, technology can help to reduce time spend tremendously.