Automate for a More Efficient Revenue Management Operation

By Nuria García

Last updated November 10, 2020

2 min read

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The evolution in automation of revenue management has undergone a huge progress in recent years. Factors such as decentralization in distribution or price parity favor the differentiation which conveys interpreting data and being able to automate processes on business intelligence.

Hotel revenue managers must identify a wide range of systems and parameters within their daily tasks: reputation management, channel management, the best rates for each moment, revenue management, property management and even the results of reservation call centers. Therefore, as advances in these technologies have improved and optimized their systems, revenue managers have empowered themselves with key sales force in smart hotel management.

The elimination of mechanical processes within the daily management of hotels favors timing optimizing for revenue managers and their approach to more strategic and less manual tasks. The professionalization of a position like the one occupied by revenue managers is not usually economical for hotel business. For this reason, making the most of its performance, through tools adapted to the needs of hotel business, is vital. Thus, there comes a time when it’s convenient to review the way in which the Revenue Management System (RMS) has changed our lives towards more professional and efficient services:

To assume the evolution of revenue management in hotels, there’s nothing better than analyzing the day to day life of a revenue manager in 8 simple steps, all under an automated RMS system:

1. The revenue manager receives an email with a personalized report.  This way, the revenue manager can know even before arriving at the office what is the status of the reservations and can start proposing solutions.

2. Team meetings replaced by information identification systems of all departments. The RMS becomes a collection and monitoring tool, not only for the revenue management department but for the rest of the departments, as well.

3. Review of the pick-up reports to identify significant changes. The generation of reports of the RMS allows to create detailed reports of significant changes that must be corrected by a customized management. Detecting cancellations out of the ordinary, allows to manage them in contact with reception and analyze specific cases to be managed in an automated way.

4. Forecast different periods of time in the future to see our offer. For questions made by management, about changes in rates due to an increase in booking rates , we can provide this information and make a future forecast of price and availability on our market segment.

5. Adaptation on market changes. In the face of a sudden change in the rates of the competition, for a specific moment, it’s possible to foresee the change and adapt as we consider best for our demand in real time. It’s also possible to make decisions reinforced by data and execute the best decision from the automated tool.

6. Identification of KPI's in real time from the meeting itself. With management it’s possible to review the KPIs of your weekly reports and update them in real time. Time is spent in discussing strategies, in creating marketing initiatives and in proposing optimal market performance.

7. Adaptation to sudden changes in competition. Alert systems based on business rules make it easy to identify significant changes in competitors. This way we can adapt the offer in case we need reservations at a certain time.

8. RMS systems upload in a Cloud that allows multi-device changes. The revenue manager can identify changes and perform revisions at specific times from your laptop or from your mobile device.


The evolution of the RMS on automation and dynamization in decision-making has been so exponential that may evolve from not managing the revenue to doing so. The clarity in the management, the identification of response in each decision and the confidence in making the best decision, at the right time, make the RMS essential tools in the daily work of a hotel. If this automation is added to the learning about behavior patterns and how these influence the rules of automation, we make it quite clear which is the way to start creating a more competitive hotel business which counts on more optimized resources.