With the pause ending, here are five things operators should ensure their revenue managers are focused on to take advantage of the incoming pent-up demand and maximise RevPAR:
- Short-term positioning: Shop daily rates to ensure appropriate price positioning within the market. With occupancy returning, push rate to maximise overall revenue flow through; COVID discounts are a thing of the past. Maintain higher rates in the intermediate term and monitor how the future extension of the booking window affects longer lead pricing.
- Spring/Summer strategies: Focus on creating packages to drive bookings that provide guests with true value add enhancements. Review options to get creative with package offerings in addition to the old standards (free breakfast and cocktail hours).
- Review segmentation and latest day-of-week trends: Don’t be so quick to accept the return of the low-rated corporate demand that was perceived as critical pre-COVID, especially as leisure has grown in importance.
- Increase your digital budgets: Review daily budget allocations, keyword bids and website performance metrics to make sure there is an appropriate ROI and the spend aligns with the overall direct strategy. Focus on boosting spend targeting shorter lead time bookings.
- Monitor international travel: Lastly, track inbound demand trends as international travel picks up with borders re-opening. Explore re-deploying marketing dollars towards specific high-producing countries (geo-targeting campaigns) and offering promotions for longer length-of-stay guests.
This insight was brought to you by Bombay Hospitality Company {BHC}.Your partner in all things related to upscaling Hotels, CDR,FDR and Events business.Write to us on: bombayhospitalityconsulting@gmail.com
