Yield Management Overview

🎵 Yield management is crucial for improving the profitability of your property. Regularly implementing it can add significant value to your business.

🔍 Key Benefits:

• Forecast future revenue and occupancy.
• Manage high fixed costs effectively.
• Identify opportunities to adjust rates proactively.

📊 Data Points Needed:

• Occupancy data from your PMS (Property Management System).
• Rate comparisons with competitors.
• Historical data for benchmarking.

🗓️ Focus Period: Typically, manage data for the next 90 to 120 days rather than looking back.

💻 Tools:

• Revenue management software (can be expensive).
• Spreadsheets for manual tracking and adjustments.

📈 Rate Adjustments:

• Monitor competitor rates and adjust your rates accordingly.
• Use conditional formatting in spreadsheets to highlight high and low occupancy.

🔄 Implementation Steps:

1. Pull availability data from the PMS.
2. Layer competitor data for comparison.
3. Adjust rates based on occupancy and competitor analysis.

📅 Booking Windows: Understand your property's average booking window to adjust rates effectively.

⚙️ Manual vs. Automated Methods:

• Manual: Requires time and Excel skills, but allows for tailored adjustments.
• Automated: Faster and more efficient, but requires initial setup and ongoing costs.

📞 Support Services: Some hotels prefer external assistance for weekly rate adjustments without dealing with software or spreadsheets.

🔔 Next Topic: Join us in a few days for a discussion on Google and HPA for generating traffic for direct bookings.