Dynamic pricing has long been the crown jewel of hotel revenue management. But as we move deeper into a world defined by volatility, shifting traveler behaviors, and AI-driven automation, the cracks in this once-bulletproof strategy are beginning to show. The promise of dynamic pricing was simple: let demand dictate price, and let algorithms optimize it. […]
Many hoteliers celebrate high occupancy or rising RevPAR as signs of success, but behind the numbers lurks a silent threat: distribution costs. These expenses, often hidden in plain sight, quietly drain profitability from even the best-performing properties. While OTAs and third-party channels offer visibility and volume, they also come at a steep price. Commission rates […]
The Hospitality Industry Still Struggles with Basics It’s not hard to beat hotels in being a good employer. The hospitality industry has battled with finding qualitative manpower since COVID, and yet you still hear mind-blowing examples. Recently, a revenue manager colleague shared that after 3 weeks on the job at a new well-known hotel chain, […]
Revenue Management Systems (RMS) have become an indispensable component of modern hotel operations, offering the ability to dynamically optimise pricing, forecast demand, and ultimately maximise revenue. As of 2021, approximately 28% of hotels globally were utilising RMS tools, although comprehensive solutions remain underutilised, with earlier figures from 2019 suggesting only 12.3% adoption excluding in-house systems […]
Whether working with a pricing system or applying a manual approach for your hotel, the starting price for any given day when opened up for sale, is crucial. To be clear, a static pricing sheet is something of the long past, any dynamic pricing is the obvious way to go. However, some think that numerous […]
Rain, hail, and even snow. In July 2024, Germany saw a record in precipitation, with more liters per square meter than any year since tracking began in 1881 (Zeitonline). The Statista graph of monthly precipitation paints a similar picture. Not only was the weather bad, but it also contributed to a rise in […]
Budgeting in hotels is one of the core tasks of revenue management and plays a crucial role in managing operational and financial efficiency. The budget serves as the basis for financial planning, control, and decision-making. It is not just about setting numbers but involves a systematic approach that requires both theoretical foundations and practical application. […]
In today’s hotel landscape, we still often find hoteliers not being fully aware of the benefits of categorising their business into relevant segments. However, if you want to be successful in the way you manage your business and start applying sound revenue management practices, it is an essential step to have a clear idea of […]
In the hotel industry, discussions about online distribution and revenue management often focus on increasing visibility through a variety of distribution channels or optimizing commission costs per channel. However, managing channels based on demand is rarely mentioned, although the commissions from online travel agencies (OTAs) have significantly increased for many hoteliers in recent years. This […]
Interview with our Co-Founder Pontus Berner, by Cost & Logis Jens Riemann berner + becker has grown considerably in recent years. What consequences does this have for your daily work? Good question. Indeed, we have grown quite some, it has been, and it continues to be super exciting! My attention and focus constantly shift. I […]