The pricing habit: leaving manual methods behind to embrace automated pricing
Guest post from RoomPriceGenie.
Recent events show that pricing is no longer a 'nice to have.'
The revenue you generate is the beating heart of your business. This means it's essential to treat pricing, or revenue management, as a core element of daily life.
Just like caring deeply for your guests and team, you have to care for your prices. In our industry, we fully appreciate that as a business owner, you tend to so many tasks in-person that, naturally, some might not get the attention they require.
Rather than spending countless hours changing your rates based on often incorrect data (or even worse, only changing your prices once per season), it's time to focus your human energy where it truly makes a difference. The solution? Let your data take care of pricing by enabling your system to constantly evaluate and change your rates to the optimal price on all sales channels multiple times a day.
Although it seemed unnecessary to most in the past, every serious accommodation owner now sees the value of adapting automated pricing. Of course, you need to select an affordable solution with great returns that is suitable for your type and size of accommodation. Thankfully, this day and age provide the tools that give you full control over everything and add your experience into the mix for just 15 minutes per week.
Two key changes RMS clients see when switching from manual price changes are that you now immediately react to demand and never allow your rooms to sell for too little money. And this results in copious amounts of dollars each month, every year.
The beautiful thing about technology is that algorithms operate without emotion and are truly rational, therefore easily adapting your business to any pandemic or high-season environment.
Even though this year is special because of its unpredictability, there are two things we are certain of:
1. Those who adapt to the given situation will thrive in the short and long run. Challenges lie ahead for those who do not change their habits of pricing their rooms based on gut feeling and the occasional competing property down the road.
2. Your energy is required to provide excellent, personalised service to guests and efficiently coach your team, rather than performing administrative tasks and changing rates whenever you have a spare moment.
Try this out with RMS and RoomPriceGenie at no cost to see the results for yourself.
RoomPriceGenie offers simple, transparent and efficient automated revenue management for independents and groups. Join hundreds of properties in 30 countries and start pricing dynamically. Click here to learn more and trial the system free of charge.
Check out our webinar where we were joined by RoomPriceGenie's co-founder, Marvin Speh, alongside other revenue experts and discussed how revenue management tools can help elevate your profit through automated and smart pricing decisions: