RMS Cloud delivers greater yield with easy revenue management to this iconic Australian holiday park.
BIG4 Aireys Inlet, positioned on the spectacular Great Ocean Road coastline in Victoria, has been using RMS since 1995 and during the time has seen many changes to the way rates are handled in the application. Due to its relatively small size, maximising occupancy and yield are vital to for sustainability. Manager Melissa McDonald takes up the story.
A couple of years ago we recognised the need for an effective revenue management strategy that would be easy to set up and maintain and that wouldn’t incur any costs. The well-established, automated systems like Ideas were prohibitively expensive and too complicated for our team to deal with. At the time RMS were promoting the Multi BAR concept, that had been previously rolled out to the hotel market, to holiday parks. We investigated this option and with the help of the RMS support team we incorporated the concept into our rates management strategy.
We started with just a few Best Available Rates to test the ease of setup and the practicalities of use. We were amazed that setting up a year of rates, a task that would previously take several hours, was complete in around 40 minutes. Training to be a competent user took minutes. Over the first month we expanded the number of BARs to make the system even more flexible.
First we set BAR’s to reflect our expected demand such as high BARS for peak times and low BARS in traditionally quiet times. Then we adjusted the BARs as conditions changed. For example, on Thursday night, if there was a favourable 4 day forecast for the region we would increase the BAR, If the opposite were the case we would drop the BAR. When we become aware of upcoming unplanned events we would adjust the BAR accordingly.
The overwhelming advantage of the RMS Multi BAR system is the way we can alter the rate plan for the entire property for one or more days in only a few clicks.
As we set a new BAR, rates for the front desk, OTA’s and corporate rates update in real time according to the rules we have set in the Rate Manager.
Over the last two years we have experienced volatile conditions with multiple COVID related lockdowns making it difficult to generate meaningful reporting on the benefits of the strategy. However, on an anecdotal basis it is clear that the ability to quickly and easily update the property price plan has led to considerable increases in revenue over a static rate platform. This is particularly so over the weekends where we continue to apply upward pressure on the rates as supply dwindles but demand maintains. Similarly, occupancy during our quieter times such as midweek in the off season has increased by maintain a price advantage over local competitors.
There is no doubt that the RMS Multi BAR system has increased yield and occupancy while making revenue management stress free and easy.
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