Travel demand will continue to be low and extremely volatile for the coming months and booking patterns will be drastically different from pre-Covid-19 times. As such, hotels will be in the novel position of starting to build demand from scratch once they reopen.
Is ‘Competition Hotel’ deciding your ARR?
Think of hotels as the cats – constantly fighting for a bigger share of occupancy (and sometimes revenue) by lowering their rates. As the cats are fighting, benefit goes to the monkey – which could be any stakeholder of the industry, be it another hotel, travel agents or simply the guests.
6 questions to ask when optimizing your hotel pricing strategy
An appropriate price strategy is an important aspect of hotel revenue management because the right price can translate into healthy profit margins, which confirms your business growth.
