Zara Resort – Impact of Channel Optimisation & Data Analytics

The Client:

Challenges:

1.  Offline Travel Agents were preferred more than Online Channel Optimisation in the form of Online Travel Agents (OTAs), resulting in rooms sold at a fixed contracted rates. Dynamic pricing was never introduced.
2.  The hotel was filled with groups and conferences on high yielding days and weekends. Analysis and optimisation of unconstrained demand was a major challenge.
3.  Valley dates were created very often and sometimes in the middle of a long weekend, which resulted in the hotel missing out on the opportunity to optimise demand.
4.  Length of Stay was a challenge due to the aforementioned valley dates.
5.  Even though the property was 30 years old, it still faced the challenge of positioning.

Strategies Adopted:

1.  The hotel was introduced to online booking channels with better optimisation.
2.  Length of Stay was improved and valley dates were avoided with the help of Dynamic Pricing and Length of Stay restrictions.
3.  With the help of daily data analysis, demand forecasting and lots of data crunching, we were able to optimise the unconstrained demand in the market.
4.  The fixed contracted rate business was restricted to low yielding dates and dynamic pricing was promoted for high demand dates.

Results:

Hotel Harbour View – The Impact of Accurate Positioning

The Client:

Challenges:

1. - As the hotel was closed for renovation for 6 months, its online visibility and online positioning was impacted negatively at the time of reopening.
2. - The Hotel Review score earned as a guest house earlier confined the position of Hotel Harbour View on OTAs that it was already listed on.
3. - Highly competitive market and past image as a guest house created hindrances in creating market acceptance.
4. - Positioning a hotel that has old infrastructure due to its presence in a heritage building and new interior design.
5. - Small inventory and different room categories made it difficult to maintain sell through.

Strategies Adopted:

1. - A new positioning strategy with fresh content for listed OTA’s was implemented
2. - New Channels were contracted to capture the market and increase the visibility.
3. - Every Channel was given the equal opportunity to sell in order to achieve growth.
4. - Dynamic Pricing strategy was implemented to aid the hotel to attract right demand at right time.
5. - Incisive focus towards increasing guest satisfaction and converting first timers in to repeat guests.
6. - Targeting the right market for right season to position the property globally.
7. - Measures taken to keep continuous inventory helped to increase length of stay.

Results:

The Taj Tristar Success Story – Data Analytics & Revenue Growth

The Client: The client is a 3 star hotel located in Secunderabad, Telangana. Established in 2001, the hotel is known for offering a blend of 3 star opulence and a timeless tradition of hospitality. The Challenges: The Revnomix team identified the following challenges after being hired as Revenue Management Consultants: 1. Low Unqualified demand materialization with low OTA contribution. The hotel was not getting enough bookings from the leisure segment and non-corporate segments. 2. In spite of having a competitive product, the hotel’s ranking on OTA platform was not ideal, which in turn impacted visibility and search ranking. The hotel had bad content and review scores on OTA platforms. It also faced multiple level disarrayed setup and mapping issues, which meant that the desired pricing strategy was not accurately reflected. 3. The hotel’s competitors were better ranked on OTA platforms and thus were garnering more bookings. 4. The hotel was facing a major challenge of low occupancy overall. The Strategy: The Revnomix team decided to face the challenges by focusing on the following areas

• Positioning - In order to resolve the multiple level disarrayed setup and mapping issues as well as to improve the hotel’s ranking on OTA platforms, the Revnomix team added new content on the OTA platforms. The content and images accurately represented the hotel’s offerings and would aid with the review scores and rankings on OTA platforms.
• Pricing - Pricing was flat and never reflected correctly due to Setup issues explained above. Pricing was changed as per the patterns derived out of historical data analysis with base DOW pattern and rate push as per the pickup and price sensitivity.
• Performance - Daily monitoring of performance was initiated to identify yielding gaps. Weekly pattern validations to keep eye on anticipated balance in price, Pickup, volume final revenue materialization.
• The Result: The positioning, pricing and performance review strategies implemented as part of the Revnomix Hotel Data Analytics services resulted in the improvement of Hotel ranking across OTAs and Meta searches. This improvement in hotel ranking resulted in increased volume and revenue. The number of rooms sold on basis of Day of Week pattern increased on average by 74% year on year. The Hotel’s positioning on the Price Volume Matrix improved and it earned much more balanced revenue by DOW. The growth in revenue by DOW increased on average by 55% compared to the previous year.