Back to Fundamentals: Revenue Strategy
Upscale extended stay branded hotel located near an airport in the Midwest region. The property is 75-100 guest rooms with fitness facilities, pool, and business center. The property’s current revenue strategy lacked resources and focus, and as a result, was delivering poor results. The property was in need of a more disciplined approach to revenue management.
We went back to the fundamentals asking the simple question: why do we charge the rates we charge?
Strategy to Drive Incremental Revenue
Waterfront independent boutique hotel located in Cape Cod, MA with less than 60 rooms and limited amenities. Given the location, the property’s revenue was heavily seasonal and capturing incremental revenue would be critical to hotel’s financial success. However, the hotel lacked the capabilities to drive incremental revenue and needed the help of experts.
Our focus was to create structure and organize the team’s approach to pricing and upselling of their room suites to drive incremental revenue. The hotel would upsell room suites at check-in with no consistency in pricing and restricted online booking of suites to a limited set of channels. As a result, the hotel was missing out on revenue opportunity.
Asset Management of Full Service Branded Hotel
Despite the property’s excellent location and award-winning loyalty reward program, the property was underperforming its peer group on a RevPAR basis. In addition, there was no strong cost controls in place or a focused strategy to maximize use of hotel’s public spaces to drive incremental revenue.