It’s been shown again and again - dynamic pricing is the largest revenue driver for hotels (aside from being an amazing hotel with a fantastic guest experience). Moving from fixed prices to dynamic pricing adds somewhere in the region of 10-20% to your revenues.
Of course we need to know how our markets are moving. But the fundamentals of revenue management lie in understanding your own demand and supply. Relying on rate shopping will lead you down a dead end if you’re not on top of your numbers.
There are many solutions out there which let you establish a rules driven process to pricing. You will meet two challenges to this approach:
1. How can we trust that the rules are the right ones?
2. How do we deal with exceptions to the rules?
If you run a 100 room property you should be changing 100s of 000s of prices every year. The only way to be effective is to use a solution that flags up important decisions for you and let’s you automated the remainder. Pace is one option to achieve this.