N O T E S 171
Notes
1.J. Davies, “Social Media: Marketing Magic or Madness” The Knowland Group. Retrieved from Hotel Online: www.hotel-online .com/News/PR2009_3rd/Jul09_ SocialMediaMagic.html, July 3, 2009.
2.S. Boehle, Managesmarter. Retrieved from www.managesmarter.com: www.managesmarter.com/msg/content_display/training/ e3iab4a1c734bf748910f209ef8808acaa, March 8, 2008.
3.Hilton Corportation 2009, http://www.hiltonfranchise.com/Marketing/Disclosures/ PDFs/2009FranchiseDisclosureDocument_Hilton.pdf.
4.Katrina Pruitt-Andrews, “Hotels Are Using Business Intelligence To Do More Than Survive the Recession” April 30, 2009, http://www.hotel-online.com/News/ PR2009_2nd/Apr09_TravelCLICKMAR.html.
5.Katrina Pruitt-Andrews “New Technology Enhances Advertising to Travel Agents Who Book $8 Billion in Hotel Revenue” July 3, 2009, http://www.hotel-online. com/News/PR2009_3rd/Jul09_TravelCLICKTAs.html.
6.Katrina Pruitt-Andrews “Hotels That Withhold Commissions Are Losing Travel Agent Business” March 1, 2009, http://www.hotel-online.com/News/PR2009_ 1st/Mar09_TravelCLICKWPS.html.
7.Katrina Pruitt-Andrews “Hotels Build Connections Through ‘Friends’ and ‘Fans’ on Social Networks,” http://www.hotel-online.com/News/PR2009_1st/Mar09_ TravelCLICKITB.html.
8.Sharon H. McAuliffe, “Wresting Back Control from the Online Wholesalers,” January, 2003.
9.Max Starkov, “Speak To Me . . . In My ‘Language’ Building Customer Loyalty via CRM Strategies on the Hotel Website” Travel Daily News, July 22, 2009, http://www.traveldailynews.com/pages/show_page/32115-Optimising-Internet- Booking-By-Max-Starkov—Courtesy-of-Cleverdis 2009.
10.Carol Levitt, “SynXis Guest Connect Improves Look-to-Book Conversion and Increases Bookings for Hotel Groups” June 2, 2008, http://www.hotel-online. com/News/PR2008_2nd/Jun08_SynXisConnect.html.
11.Katrina Pruitt-Andrews “TravelCLICK Properties Perform as Clients Increase Revenue 39%, Room Nights 29% Despite Slowing Market,” http://www. hotelonline.com/News/PR2008_2nd/Jun08_TravelClickProperties.html. Hotel Online, June 2, 2008.
12.Ibid. Max Starkov 2009, Travel Daily News, 2009.
13.John Davies, “Social Media: Marketing Magic or Madness” July 3, 2009, http:// www.hotel-online.com/News/PR2009_3rd/Jul09_SocialMediaMagic.html.
14.Hilton Corporation, 2009, http://www.hiltonfranchise.com/Marketing/Disclosures/ PDFs/2009FranchiseDisclosureDocument_Hilton.pdf.
15.Marriott, 2009, http://www.marriottdevelopment.com/pdfs/CFRSTFeeStructure.pdf.
16.Carol Verret, “The New ‘Tipping Points’ in the Planners Decision Process-You May be Surprised!”June 2, 2009, http://www.hotel-online.com/News/PR2009_ 2nd/Jun09_TippingPoints.html.
172 C H A P T E R 5 ■ S Y S T E M W I D E R E S E R VAT I O N S
17.Enid Burns, “Active Home Internet Users by Country, May 2009,” June 29, 2009. http://www.clickz.com/3634181.
18.The Honolulu Advertiser News, “Marriott Resorts Launch Twitter, Facebook and YouTube Campaign for 25 Free Trips to Hawaii,” August 3, 2009, http://www. hotel-online.com/News/PR2009_3rd/Aug09_HawaiiMarriott.html.
19.Rex S. Toh, “Coping with No-Shows, Late Cancellations, and Oversales: American Hotels Out-do the Airlines,” International Journal of Hospitality Management 5, no. 3 (1986): 122.
20.Ibid., 121.
21.Ibid., 122.
22.Doug Kennedy, “To Get More Bookings – Work With – Not Against Your Central Reservations Providers” May 2, 2009, http://www.hotel-online.com/News/ PR2009_2nd/May09_CentralRes.html.
23.Ariel Herr, “Pegasus Solutions Appoints Industry Veterans to Key Management Positions” October 8, 2008, http://www.hotel-online.com/News/PR2008_4th/ Oct08_PegasusVeterans.html.
24.Rebecca Oliva, “Singular Solution,” Hotels 35, no. 7 (July 2001): 99.
Key Words
blocking on the horizon |
leisure traveler |
blocking procedures |
no-show factor |
bus association network |
occupancy management formula |
cancellation code |
outsourcing |
confirmed reservations |
overbooking |
corporate client |
referral member |
current guests |
reservation code |
daily blocking |
reservation referral system |
database interfaces |
reservation status |
forecasting |
revenue management |
franchisee |
rooms forecasts |
full house |
social media |
group planner |
stayovers |
group travelers |
third-party reservation service |
guaranteed reservations |
third-party reservation website |
hotel broker |
travel directories |
hotel representative |
true integration |
house count |
understays |
interhotel property referrals |
walk-in guests |
Revenue Management
O P E N I N G D I L E M M A
The sales manager has left a message for the front office manager, the food and beverage manager, and the revenue manager requesting
clearance to book a conference of 400 accountants for the first three
days of April. The front office manager needs to check out some things
before returning the call to the sales manager.
As mentioned in earlier chapters, revenue management is the technique of planning to achieve maximum room rates and the most profitable guests. This concept originated with the use of yield management, a similar concept, in hotel management circles in the late 1980s; in fact, yield management was borrowed from the airline industry to assist hoteliers in becoming better decision makers and marketers. It forced hotel managers to develop reservation policies that would build a profitable bottom line. Although the adoption of yield management was slow in the hotel industry, it offers far-reaching opportunities for hoteliers in the twenty-first century in the form of revenue management. This chapter applies concepts of yield management to the demands of aggressive applications of revenue management. For example, we see in the following description by Dr. Robert McMullin, professor of hotel, restaurant, and tourism management at East Stroudsburg University, how aggressive applications of yield management are employed in revenue management.
C H A P T E R 6
C H A P T E R F O C U S P O I N T S
■Occupancy percentage
■Average daily rate
■RevPAR
■History of revenue management
■Use of yield management
■Components of revenue management
■Applications of revenue management