Proving ROI for switching to a new system can be a challenge, especially when it comes to implementing new revenue management technology. Investing money and resources, not to mention time, can be difficult to justify when the results are either too small or too opaque to quantify. Even when your current software is sub-optimal, sometimes the devil you know is better than a new system that could be more trouble than it’s worth. However, upgrading to revenue management software that’s been equipped with business intelligence (BI) solutions is overwhelmingly beneficial to your operations and your bottom line.
It’s easy to see how BI will transform operations for those directly involved with a hotel’s finances. The great news is that BI is tremendously useful for all of your property’s departments. This article will explore the ways in which BI will improve the revenue management process for your hotel across teams.
REVENUE MANAGERS: NAVIGATING TRENDS WITH DATA
The most obvious group to benefit from BI is the revenue management team. Revenue managers spend their days parsing data to understand and project market trends. Their goal is to use data to ask the right questions for the right answers. BI optimizes their process by providing the highest quality data in the most efficient and accurate way. Software that’s enabled with BI drills down into granular details and delivers relevant information on your property with pinpoint accuracy in record time. If forecasted trends aren’t heading in the right direction, BI will allow your revenue managers to determine the precise issue and take corrective actions.
SALES TEAMS: THE BEST OFFERS FOR THE BEST GUESTS
Your sales team is acutely aware of the importance of accurate pricing data, especially for business and group travelers. Studies have shown that over half of a hotel’s revenue is comprised of group business, and over half of potential groups book with the first offer they receive. Speed obviously matters, but your sales team must have the best rate to appease the group and deliver profits if they’re going to win the booking and maintain margins.
When used properly, the massive amount of available data on potential guests is a blessing to sales staff. They’re able to determine exactly how profitable a group of guests will be using data that’s been obtained from BI enabled software. Using BI technology, your sales team can assess the projected performance for a given group to determine the most competitive rates. They can even use BI generated reports to decide how to price for the OTAs and wholesale segments.
PROPERTY MANAGERS: THE BOTTOM LINE
As a manager or owner, you’re interested in the big picture. With so much at stake, you’re counting on your teams to bring you the right information to guide you towards the highest returns. You count on having the right data at the right time so that you’ll know which direction your property is headed and how to appropriately allocate resources. When your software is BI optimized across teams, you’ll no longer have to worry about conflicting forecasts from your property’s many divisions. Each team will have highly detailed information that’s been tailored to their specific role that’s also positioned to provide a cohesive strategy across your entire property. You’ll know that you’ve received the most up to date and informed reporting possible so that you’re able to make the best decisions. The net effect is that you’ll spend less time in meetings and analysis so that you can do what you do best: run your property.
Revenue management is an experience-driven process that’s backed by advanced science. With BI optimized software you’ll have data-driven reports that are based both on historical and forward-facing information. You’ll be able to master your revenue management with unparalleled efficiency and accuracy.