Revenue Management the right way | Founded 2 companies that optimize hotel & restaurant/bar profits through software, consulting & coaching | 50,000+ took my Revenue Management training
The Buzzword Killer: Understanding the Real Speed to Market in Decision Making In the world of revenue management, "Speed to Market" is tossed around like it's the solution to everything. But what does it really (?!?!?!) mean and why does it matter? Imagine your hotel is facing a sudden drop in bookings. You come up with a new promotional strategy, but it takes weeks to implement. Is that too slow? What about a month? Before you start panicking, consider this: If implementing your strategy within a day secures an additional 150 bookings, your overall revenue and market presence increase, even if you had to rush and incur extra costs. The key takeaway: Speed to Market isn’t just about rushing decisions or actions. It’s about timing and efficiency, in rooms, F&B, or any other department. In scenarios like sudden dips in occupancy, swift decision-making can be a strategic move to boost your bottom line. Acting quickly can be the difference between capitalizing on opportunities and missing out. In scenarios where you want to fundamentally change your business mix you might argue to take your time to "weigh all the options" but in reality you are losing time to experiment. Fabi advice: Forget the buzzwords. Focus on strategy. Understand when to leverage rapid decision-making for greater revenue and profit, even if it means higher initial efforts. That's real revenue management. Think of it this way: Perfect is the enemy of good! Screw perfect! #revenuemanagement #success #leadership
Keep on inspiring Fabi
Susanne Williams
5mo
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Revenue Performance Director
5moI completely agree with you. The key is strategic rate setting. I always try to build the setup so that if the worst comes to the worst, I just set and open the appropriate plans with discounts.