Weekly Insights. July 6, 2024

Weekly Insights. July 6, 2024

Best hospitality industry articles focused on 💵revenue, 📊markets, and 🎯strategy (Jun 30 - Jul 6, 2024).

Alex Kapichin

What is GOPPAR? How can it benefit your hotels?

One of the hospitality industry’s key bottom-line metrics, gross operating profit per available room measures the relationship between hotel revenues and expenses. In general, the better you understand GOPPAR, the better you will be at turning revenue into profit. That is why it is important to benchmark your GOPPAR, along with the other key P&L metrics, on a consistent basis. 

Why soft skills are the new hard skills in hospitality

What is more important for your career progression today? High-tech skills for working with AI and Big Data or learning to work well with others and solve problems? The answer may surprise you. While it’s true that learning to use the latest technology is a big focus for upskilling these days, the skills that matter most for the future of work are not hard skills; they are people skills and cognitive skills known as soft skills.

How to conduct a displacement analysis for your hotel

The old saying “a bird in the hand is worth two in a bush” is a valuable lesson for us all. It simply means you should stick with the modest prize you’ve already secured instead of chasing what you might not get, even if it’s worth more.

In many scenarios, it’s good advice. But in the often subtle and sophisticated world of hotel revenue management, one that’s becoming ever-more supported by rich data and smart technology, you could be missing out if you always take that approach.

Never more so is this true than when weighing up whether it’s better to book guaranteed group business at a lower unit rate or hope enough individuals book single rooms at a higher price further down the line.

While making this assessment can be tricky, help is at hand when you choose the right software solutions to aid your informed decision-making – and in understanding the basics of this conundrum, which we lay out in this blog post.

The digital concierge: How can hotels use technology to maximise revenue and customer experience?

Forward-thinking hotels are investing in improving the total guest experience by broadening their offerings and building databases of local activities, attractions and experiences. These can then be cross-sold and upsold throughout the guest journey.

Several technology providers – such as Alliants, Lokalee, OccasionGenius, Flip.io and Travel Curious – are helping hoteliers capture more of total traveller spend, including commission from selling experiences outside of the hotel.

6 revealing questions that uncover your revenue management biases

This article explores the cognitive biases that even the most experienced revenue managers might fall prey to. We'll explore examples that demonstrate how these biases manifest in day-to-day hotel operations and offer targeted, introspective questions designed to prompt a reevaluation of your hotel’s current commercial practices. This article will help you uncover ways to refine your approach, enhance decision-making accuracy, and elevate your revenue management strategies.

Hotels race to comply with California’s Junk Fee laws

California's bold move is forcing all U.S. based hotels to put all their cards on the table, setting a new standard for price comparison that will likely go national. Whether this leads to more competitive pricing or simply shifts consumer costs elsewhere remains to be seen.

Assessing the digital infrastructure of your hotels

In 2023, U.S. hotels saw their operating efficiency decline as operating expenses increased at a pace greater than revenue growth, resulting in a decline in profit margins. With forecasts of moderate revenue gains for the next few years, hotel owners and operators are very focused on controlling costs.

Hotels can improve operating efficiencies and guest satisfaction with an increased use of technology. Proper use of technology can enhance the productivity of employees, replace rudimentary manual functions and improve the guest experience.

Follow on LinkedIn



HSMAI Academy HSMAI Academy