What do revenue management consultants do?

To decide whether revenue management consulting is a compelling solution for your hotel, you’ll want to know the full breadth of responsibilities revenue management consultants can handle. At a minimum, a revenue management consultant can build a revenue strategy for your hotel and implement it. This can mean setting budgets and forecasts, vetting and onboarding a revenue management system, and building rate plans, restrictions, and promotions. On an ongoing basis, your revenue management consultant plays a hands-on role in adjusting rates, monitoring competitor rates and performance, and reporting on performance.

Beyond revenue management tasks, some revenue management consultants and firms have expertise in third-party distribution, digital marketing, and software buying. They can assist in partnering with new distribution channels, setting up digital advertising, and selecting the best software for your hotel. In addition, revenue management consultants can handle ad-hoc projects and audits.

What don’t revenue management consultants do?

While there’s a lot that revenue management consultants can do, there are some limitations to the consulting relationship. When a consultant is not a salaried member of your hotel’s staff, they might have less availability than a typical full-time employee would. A weekly or monthly cap of hours is common in a consulting engagement. Furthermore, some revenue management consultants work remotely; they might not be based in the same city, state, or even country as your hotel. This means their presence on-property will be limited, and it might be more difficult for them to gain an understanding of your guest personas and brand identity from afar, compared to if they were a full-time, on-site employee. Lastly, revenue management consultants don’t work in a vacuum. In order for them to deliver strong results, they need to collaborate closely with any other revenue team members, plus folks from marketing, sales, finance, front office, and the executive committee. Going into the engagement with a collaborative mindset can pay dividends later.

What types of hotels are revenue management consultants a fit for?

Revenue management consulting isn’t the ideal solution for every hotel. Many hotels prefer to have a dedicated revenue resource, especially hotels with high room counts that can support a full-time revenue manager or team. But small hotels, vacation rentals, and small hotel groups can get a lot of value from a revenue management consultant, especially when there’s limited budget to hire a full-time team member – or even if there’s limited revenue management talent in the area. Instead, a revenue management firm can provide a highly skilled and experienced revenue management consultant to work on a part-time, temporary, or full-time basis – keeping payroll costs low while delivering great results.

9 Best Revenue Management Consultants

Catala Consulting, Premiere Advisory, Revenue Matters, Xotels, Taktikon

If a revenue management consultant sounds like the right fit for your property, you might be wondering how to find one. There are several excellent revenue management consultancies that provide contract revenue management services to all types of hotels. Let’s take a look at five of them.

Catala Consulting

Thibault Catala founded Catala Consulting in 2018, and the company now includes three additional revenue management experts. Catala provides outsourced revenue management and audit services, and hotels that use their services see positive impacts within the first four months of partnership. Hotels can choose from three tiers of service; the higher tiers include faster response team, more meetings per month, and a couple of in-person meetings each year. The team at Catala focuses on revenue strategy and optimization as well as reducing channel costs, educating stakeholders about revenue management, and forecasting and budgeting.

Premiere Advisory Group

With offices in New York and Paris, Premiere Advisory Group serves hotels in Europe, North America, and beyond, and they work with leading hotel brands like Warwick, Freehand, Public, and Hard Rock. Premiere’s areas of expertise include revenue management, marketing, ecommerce, and distribution. Premiere can work with your hotel on a fractional, full-time, or project basis, and they can provide assistance during pre-opening and ramp periods. Visit their blog for a variety of knowledge-packed articles about topics like metasearch, the GDS, software, and more.

Revenue Matters

Founded by Trevor Stuart-Hill and led by CEO Kathryn Troy, Revenue Matters provides revenue management, digital marketing, and distribution services for a large portfolio of partner hotels with $500 million in revenue under management. The consultants at Revenue Matters bring significant experience to the table: the average consultant has 16 years of revenue management under their belt. Revenue Matters is known for their proprietary revenue management tool, called MAX, which compiles reports, helps prepare budgets, and fosters collaboration. Using a combination of technology and expertise, Revenue Matters consultants can deliver RevPAR index growth of over 20% in just the first two months.

Xotels

In addition to more general hotel management consulting services, Xotels brings international experience and far-ranging expertise to revenue management consulting for hotels and resorts. Xotels offers services that include positioning strategy, competitor analysis and benchmarking, forecasting and budgeting, and online and offline distribution strategy. Consultants from Xotels provide reporting, such as daily pick-up reports and monthly performance analyses, to keep stakeholders informed. Xotels currently works with over 40 hotels in 12 countries, with offices in Amsterdam, Barcelona, and London.

Taktikon

Specializing in all things revenue, marketing, and distribution, Taktikon, which was founded by Annemarie Gubanski in 2010, provides everything from full-time revenue consultants to mentors for your on-site revenue team. The Taktikon team works with over 100 hotels around the world, with a focus in Europe, and with offices in Stockholm and Amsterdam. In addition to helping hotels with their revenue and marketing strategies, Taktikon also aims to further the industry by hosting educational webinars, speaking at conferences, and creating digital content on revenue management topics.

Strategic Solution Partners

Strategic Solution Partners, founded in 2007, stands as a premier expert in hospitality management and consultancy. With a primary focus on operations, sales, marketing, and revenue optimization, they offer a comprehensive suite of services designed to enhance business performance. Whether clients require interim executives, project-based consultants, or ongoing advisory support, Strategic Solution Partners provides seasoned professionals dedicated to elevating hospitality operations to new heights. Operating on a global scale, Strategic Solution Partners collaborates with a diverse network of clients, from boutique hotels to large-scale resorts. Their consultants bring a wealth of experience and a proven track record of success, ensuring that each client's specific needs are met with precision and expertise. In addition to their consultancy services, Strategic Solution Partners is committed to advancing the hospitality industry through continuous education and thought leadership. They host informative webinars, participate in industry conferences, and produce insightful digital content on key topics such as revenue management, operational efficiency, and market trends. Their mission is to empower hospitality professionals with the knowledge and tools necessary to thrive in a competitive landscape.

Epic Revenue Consultants

Epic Revenue Consultants, founded in 2021, is a leading expert in revenue management and strategic growth for the hospitality industry. Specializing in maximizing profitability, they offer a range of services including full-time revenue management, project-based consultancy, and tailored training programs for in-house teams. Epic Revenue Consultants partners with hotels and resorts around the globe, bringing a wealth of expertise and innovative strategies to optimize revenue streams. With a focus on delivering measurable results, Epic Revenue Consultants employs a data-driven approach to identify opportunities for growth and implement effective solutions. Their team of experienced professionals is dedicated to enhancing revenue performance and driving sustainable success for their clients. Beyond their consultancy services, Epic Revenue Consultants is committed to advancing the hospitality industry through education and thought leadership. They host engaging webinars, speak at industry conferences, and create valuable digital content on topics such as dynamic pricing, market segmentation, and distribution strategy. Their mission is to equip hospitality professionals with the insights and tools needed to excel in an ever-evolving market.

Prosper Hotels

Prosper Hotels offers comprehensive revenue management services for hotels. Their offerings include dynamic pricing strategies, market segmentation insights, and daily revenue management to optimize room revenue. They conduct in-depth onboarding processes, weekly strategy meetings, and daily coaching to ensure continuous improvement. Prosper also provides detailed revenue management reporting, covering price analysis, competitor review, channel efficiency, and market segmentation. Additionally, they offer support for special event pricing and yield management to maximize profits. Their scientific approach and tailored strategies help hotels enhance performance and profitability.

Cayuga Hospitality Consultants

Cayuga Hospitality Consultants, founded in 1986, is a distinguished leader in hospitality consulting, offering a broad spectrum of services to enhance the performance and profitability of hospitality businesses worldwide. Specializing in operations, asset management, strategic planning, and expert witness services, Cayuga provides tailored solutions to meet the unique needs of each client. With a network of seasoned industry professionals, they serve hotels, resorts, restaurants, and other hospitality entities with unmatched expertise. Cayuga's team of consultants brings decades of hands-on experience and a deep understanding of the hospitality industry. They work closely with clients to identify challenges, develop strategic plans, and implement effective solutions that drive growth and improve operational efficiency. In addition to their core consulting services, Cayuga Hospitality Consultants is dedicated to advancing the hospitality industry through knowledge sharing and thought leadership. They conduct educational webinars, participate in key industry conferences, and produce insightful content on critical topics such as asset management, operational best practices, and market trends. Their mission is to empower hospitality businesses with the expertise and resources needed to thrive in a competitive landscape.

5 questions to help you evaluate fit

By asking these questions and critically evaluating the responses, hotel owners can assess the suitability of a revenue management consultant. Look for a provider who demonstrates a deep understanding of the hotel industry, a proven track record of success, and a holistic approach to revenue management that integrates seamlessly with hotel operations and marketing strategies.

1. What is your experience in revenue management consulting, particularly within the hospitality industry?

When evaluating a revenue management consultant, the hotel owner should look for a detailed explanation of the consultant’s experience and expertise in hotel revenue management. A strong candidate will have a proven track record with various types of properties, including independent hotels and larger chains. They should be able to provide specific examples and case studies demonstrating their ability to optimize revenue streams and improve RevPAR (Revenue Per Available Room).

2. How do you approach pricing strategies and revenue optimization for independent hotels?

The consultant’s response should highlight their methodology for developing and implementing dynamic pricing strategies tailored to the unique needs of independent hotels. Look for an emphasis on using data-driven insights and advanced revenue management systems to maximize profitability. The ability to explain how their strategies have successfully increased market share and improved the bottom line for other independent hotels is a key indicator of their effectiveness.

3. Can you provide examples of how you have helped hotels increase direct bookings and reduce reliance on OTAs?

An effective revenue management consultant should be able to demonstrate their success in shifting bookings from online travel agencies (OTAs) to direct channels, thereby improving the hotel’s profitability. Look for detailed case studies or examples where they have enhanced the distribution strategy, optimized channel management, and implemented marketing strategies that increased direct bookings. Their approach should show a clear understanding of the hospitality business and the importance of reducing distribution costs.

4. How do you utilize forecasting and yield management to enhance revenue opportunities and overall hotel revenue growth?

The consultant should discuss their use of advanced forecasting techniques and yield management practices to identify and capitalize on revenue opportunities. Look for explanations of how they use historical data, market trends, and occupancy rates to predict demand and adjust pricing strategies accordingly. Their ability to demonstrate tangible results in revenue growth and top-line performance improvements through effective forecasting and yield management is crucial.

5. What is your strategy for integrating revenue management with other aspects of hotel operations, such as guest experience and marketing?

A comprehensive revenue management strategy should not only focus on pricing and revenue optimization but also consider the overall guest experience and marketing efforts. The consultant should be able to articulate how they collaborate with other departments to ensure a holistic approach to revenue management. Their strategy should include leveraging social media, enhancing the guest experience, and aligning revenue management with marketing strategies to drive overall business success.