Let us find your solution Best 10 Revenue Management Systems 2021 | Find Reviews, Pricing, Buying Guide
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Marriott
Denihan Hospitality Group
Fairmont
starwood
The Standard
Ace Hotel
Kimpton
Accor Hotels
Ace Hotel
Ace Hotel

What is a hotel revenue management system? Revenue management software automates the process of using analytics -- mainly supply and demand -- to determine the right price for hotel rooms to maximize revenue and profitability. This category of software is also referred to as a "yield management system", "pricing engine" or an "RMS".   The primary goal is to sell the right product to the right customer at the right time for the right price on the right channel. Revenue management software ingests historical and market data, combines this with forward-looking demand signals and recommends a rate... Read the full Revenue Management Systems software overview

10 Best Revenue Management Systems

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Hoteliers voted Duetto as the #1 Revenue Management Systems provider in the 2021 HotelTechAwards
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Gamechanger by Duetto

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HT SCORE
100 out of 100
Hotel Tech Score is a composite ranking comprising of key signals such as: user satisfaction, review quantity, review recency, and vendor submitted information to help buyers better understand their products.
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Duetto’s GameChanger is a revenue strategy powerhouse that lets your team develop and implement unique strategies quickly and easily. Ingesting more data than any other RMS, Gam...

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Hoteliers voted Duetto as the #1 Revenue Management Systems provider in the 2021 HotelTechAwards
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Hoteliers voted IDeaS as the #1 Revenue Management Systems provider in the 2021 HotelTechAwards
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IDeaS Revenue Solutions

HotelTech Logo score
HT SCORE
99 out of 100
Hotel Tech Score is a composite ranking comprising of key signals such as: user satisfaction, review quantity, review recency, and vendor submitted information to help buyers better understand their products.
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IDeaS, a SAS company, is the world’s leading provider of revenue management software and services. With over 30 years of expertise, IDeaS delivers revenue science to more than 1...

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Hoteliers voted IDeaS as the #1 Revenue Management Systems provider in the 2021 HotelTechAwards
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Hoteliers voted Atomize as the #1 Revenue Management Systems provider in the 2021 HotelTechAwards
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Atomize

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HT SCORE
95 out of 100
Hotel Tech Score is a composite ranking comprising of key signals such as: user satisfaction, review quantity, review recency, and vendor submitted information to help buyers better understand their products.
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Atomize is an innovative, ambitious, and fast-growing Revenue Management Software (RMS) provider for hotels. Our core focus lies in increasing revenues, lowering costs to drive pr...

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Hoteliers voted Atomize as the #1 Revenue Management Systems provider in the 2021 HotelTechAwards
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Hoteliers voted RoomPriceGenie as the #1 Revenue Management Systems provider in the 2021 HotelTechAwards
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RoomPriceGenie

HotelTech Logo score
HT SCORE
87 out of 100
Hotel Tech Score is a composite ranking comprising of key signals such as: user satisfaction, review quantity, review recency, and vendor submitted information to help buyers better understand their products.
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"Simple but amazingly efficient and fully automated solution. The Holy Grail for small to medium sized hotels! " And it wasn't even us who said that, but HotelMinder in their inde...

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Hoteliers voted RoomPriceGenie as the #1 Revenue Management Systems provider in the 2021 HotelTechAwards
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Hoteliers voted BEONPRICE as the #1 Revenue Management Systems provider in the 2021 HotelTechAwards
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BEONPRICE

HotelTech Logo score
HT SCORE
86 out of 100
Hotel Tech Score is a composite ranking comprising of key signals such as: user satisfaction, review quantity, review recency, and vendor submitted information to help buyers better understand their products.
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Beonprice is bringing the value of revenue management technology to a new level. While data-drivenly optimizing your RevPAR, the Hotel Quality Index (HQI™) is the nuance that co...

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Hoteliers voted BEONPRICE as the #1 Revenue Management Systems provider in the 2021 HotelTechAwards
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Hoteliers voted Pace Revenue as the #1 Revenue Management Systems provider in the 2021 HotelTechAwards
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Pace Revenue

HotelTech Logo score
HT SCORE
86 out of 100
Hotel Tech Score is a composite ranking comprising of key signals such as: user satisfaction, review quantity, review recency, and vendor submitted information to help buyers better understand their products.
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Pace provides industry-leading pricing to properties of all sizes around the world with hourly, automated optimisation. Pace's dedicated data science team is constantly developing...

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Hoteliers voted Pace Revenue as the #1 Revenue Management Systems provider in the 2021 HotelTechAwards
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Hoteliers voted SPOTPILOT as the #1 Revenue Management Systems provider in the 2021 HotelTechAwards
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SPOTPILOT

HotelTech Logo score
HT SCORE
80 out of 100
Hotel Tech Score is a composite ranking comprising of key signals such as: user satisfaction, review quantity, review recency, and vendor submitted information to help buyers better understand their products.
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As an innovative Revenue management solution, SPOTPILOT helps the hospitality industry (hotels, Camping etc...) to boost their profit. Easy to implement (SaaS software), SPOTPILOT...

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Hoteliers voted SPOTPILOT as the #1 Revenue Management Systems provider in the 2021 HotelTechAwards
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Hoteliers voted RateBoard GmbH as the #1 Revenue Management Systems provider in the 2021 HotelTechAwards
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RateBoard

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HT SCORE
78 out of 100
Hotel Tech Score is a composite ranking comprising of key signals such as: user satisfaction, review quantity, review recency, and vendor submitted information to help buyers better understand their products.
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Automated price optimization for small and independent Hotels & Resorts. Through an automated machine learning algorithm, we increase hotel revenue by an average of 8%. RateBoard ...

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Hoteliers voted RateBoard GmbH as the #1 Revenue Management Systems provider in the 2021 HotelTechAwards
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Hoteliers voted Infor as the #1 Revenue Management Systems provider in the 2021 HotelTechAwards
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Infor EzRMS

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HT SCORE
76 out of 100
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Infor EzRMS is powerful revenue management software with capabilities to manage all aspects of hotel business, from walk-in to long stay. EzRMS automatically calculates demand for...

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Hoteliers voted Infor as the #1 Revenue Management Systems provider in the 2021 HotelTechAwards
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Hoteliers voted RevControl as the #1 Revenue Management Systems provider in the 2021 HotelTechAwards
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RevControl

HotelTech Logo score
HT SCORE
76 out of 100
Hotel Tech Score is a composite ranking comprising of key signals such as: user satisfaction, review quantity, review recency, and vendor submitted information to help buyers better understand their products.
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Suitable for Hotels and Hostels. AutoPublish for automated rate updates to PMS or Channel Manager. Rate recommendation per room type category not only based on the PMS data but al...

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Hoteliers voted RevControl as the #1 Revenue Management Systems provider in the 2021 HotelTechAwards
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Recent Revenue Management Systems Articles

Preparing for Demand Ramp-Up with the Right Revenue Strategy

by
Alexandra Fjällman
1 month ago

The world felt hopeful when the first COVID-19 vaccine was announced several months ago.  Today, vaccines are being distributed worldwide. Many countries are starting to relax restrictions and re-open their borders.  That’s fantastic news for the travel and tourism industry even without a clear timeline. We still know that local and regional recovery will begin as soon as governments give the go-ahead.  Now you need to ask yourself: is your property ready for the rebound? And if not, which tools will get you ready quickly?   COVID-19: The Effect on the Hospitality Industry Worldwide As the Covid-19 crisis unfolded, STR regularly shared performance trends and outlooks for every corner of the world. We take a short look at how Covid-19 hit leading hospitality markets and what we can expect down the road.  Europe Europe's average occupancy fell to 11.4% when lockdowns began in April. For all of 2020, average occupancy reached 33.1% thanks to a relatively strong summer season. Slow vaccination programs and a lasting second lockdown in most European countries leave us with a bleak outlook for the coming 90 days.  Asia After arrivals plummeted in February and March, average occupancy across Asia fell by 30%. However, since many countries in the region managed the pandemic well, several of them have already seen a rebound in domestic travel. In China, for example, the outlook is positive. There, the average occupancy rate is only 10% below that of 2019 among open hotels. Destinations that focus primarily on international guests, like Vietnam and Thailand, are still struggling more. But hopes are high that reopened borders will bring quick recovery.  Middle East Overall, the Middle East boasted a relatively strong performance in the past twelve months. Right now, its average occupancy even outranks China and the US. This is partly because destinations like Dubai never closed their borders. Still, current OTB business is rather low, especially given that the postponed EXPO 2020 is coming up.    Vaccination Campaigns Are Gaining Momentum World in Data and the Bloomberg vaccine tracker show the latest progress of global vaccination programs. Israel leads the list with 50% of people being fully vaccinated. The US and Chile have both passed the 11% mark. The UAE and Bahrain are getting ahead well, too. The faster this progress spreads around the world, the sooner pent-up travel demand will hit the market.  Given Europe’s strong summer season and China’s overall strong performance, the outlook is positive. But, of course, there is no set timeframe to work with. That’s why now is the best time for hoteliers to set up the tools they need for guidance in this incalculable time.   Winning During the Recovery Phase with a Powerful RMS Every region’s recovery phase will look different, so generalized predictions are pointless. Patterns from previous crisis bounce-backs or other historical data won’t help either since Covid-19 was so different from everything else. Despite all that, you must get ready for the ramp-up phase. Only then you’ll be able to seize every opportunity it offers you and get your business going again.    Collecting your data manually - an inadequate method Gathering data manually to inform your rate changes is still possible, but it should be a thing of the past. Staying on top of dynamic markets and detecting trends early on simply isn’t possible with this approach. Especially in the volatile recovery period, this could cost you many opportunities to drive revenue. Using an RMS (revenue management system) solves that issue by helping you set optimized rates every time demand shifts. But which capabilities should an RMS have? Read on to learn which ones are crucial for ramp-up, recovery phase, and beyond.   Forward-looking demand data If you want to make accurate revenue forecasts and create successful promotions, you need forward-looking data. This covers everything from overall search volume for your location and flight searches to length of stay queries. For the best insights, use an RMS like Atomize which breaks this data down by source market. Collecting this information manually would cost you hours and it would likely become outdated before you had a chance to evaluate it. Let your RMS gather this data to reveal emerging trends and high-demand dates in the future. Seeing this develop in real-time lets you optimize your revenue strategy ahead of your competition. That way you’ll be ready for every demand shift and have the chance to target high-potential source markets with tailored offers.    Automated, real-time pricing If you update your prices manually, you’ll always play catch-up with the market and will miss revenue-generating opportunities. A modern RMS with automated real-time pricing solves this problem in two steps. First, it continuously monitors your market for the slightest changes in demand. Whenever it’s necessary, the RMS will send you a new rate suggestion. You can approve or reject it manually. While this option gives you more control, the time it takes you to approve the suggestion creates a lag, and opportunities may be lost. Avoid this by going for fully automated rate updates. In that case, your RMS changes all prices automatically and they’ll always be in line with the most recent market developments. This option saves you hours of precious time and ensures you’re making the most of every opportunity.   A faster way to do group displacement analysis When event planners can start organizing in-person events again, you’ll get a lot of inquiries all at once. Analyze your options carefully. Does your future-facing data predict high transient demand for the date in question? If so, will it come via your website or high-commission OTAs? Evaluating these and other aspects will cost your team time and energy. Use an RMS to make faster, data-based decisions and get the most profitable contracts for your property.    Multi-property capability for property clusters If you’re in charge of several hotels, use an RMS with a multi-hotel set-up to save time. Instead of having different log-ins and windows for every property, you can see all your hotels’ data on a single dashboard. You’ll see immediately where to focus your attention, make changes and support your on-site team.    You’ve made it through this tough past year. You know that recovery is around the corner, so don’t let it sneak up on you. Get your hotel ready for returning demand and leverage a cutting-edge RMS to get a step ahead of your compset.  Yes, investing in new tech can feel like a financial burden these days. That’s why Atomize is offering a risk-free option that lets you benefit from their time-saving automation and forward-looking data when you need it most - during the recovery phase.  

The Future of Hotel Front Desk Software: PMS, CRS and Hotel CRM Are Converging

by
Hotel Tech Report
1 year ago

Dave Berkus knows hospitality technology more than nearly anyone. Back in the early 1980s, his company, Computerized Lodging Systems, dominated the nascent hospitality technology market with one of the first electronic Property Management Systems on the market.  The immediate popularity of the technology resulted in rapid growth for the company, which was recognized on the Inc 500 list -- twice. Dave also created FOSSE, the property management system technology that Marriott used for almost 36 years. Dave practically invented hotel front desk software and he has invested in hundreds of tech companies since - many of those in hotel and travel tech so he knows this market better than anyone. Today, there are over 700 property management systems for hotels. With such a dense thicket of choices, it's hard to imagine the early days of hospitality technology. These are the days when only a few players dominated, offering truly game-changing solutions that defined how hotels began using technology to operate more efficiently and profitably. Dave is also an accomplished angel investor, having achieved an impressive 97% internal rate of return from over 150 investments to date. His Wayfare Ventures unites five partners from AIG, TAJ Hotel Group and Starwood, alongside a board of accomplished travel industry veterans, to make early stage investments in travel technology startups. Hotel Tech Report’s Jordan Hollander recently enjoyed a wide-ranging conversation with Dave on the Hotel Tech Insider podcast, where the two discussed how Dave’s history in hospitality technology has shaped the way he sees the industry today. These are the most pertinent themes that reveal how this hospitality technology luminary sees the future of hotel tech, as well as what he looks for when evaluating both ideas and entrepreneurs for investment.   The future of the PMS With so many property management solutions competing for business, it's hard to envision a post-PMS future. Yet, this future is coming, Berkus says, due to the increased importance of the Central Reservation System. The CRS owns the guest name record, which has made it more of a centralized source of data than the PMS: The PMS systems are, for the chains at least, becoming increasingly less important, as they handle right now in-house functions only. Berkus notes that the cloud PMS companies of today are likely to be the players who evolve these CRS like capabilities so while he believes that their technology will remain a core piece of the tech stack, he believes that what it means to be a PMS will change more in the next 5-10 years than in the last 20 years combined. Guest history has shifted to the CRS, while the PMS has transitioned into a fully operational role for specific properties. As hotels have both consolidated and established micro-brands, the CRS naturally became the way to share guest preferences across the portfolio. The centralization of data cemented the role of the CRS at the center of modern data-driven personalization and marketing strategies. says Berkus:   Big Data's being used in very important ways but certainly not just from the PMS system anymore. The question then is: if the CRS could potentially supplant the PMS as the source of all-important guest data, will we need a PMS system in the future? Berkus says yes but the legacy PMS companies will be forced to innovate and more specifically open up their architecture to become platforms themselves because CRS, CRM and even Revenue Management companies of today have the requisite data necessary to become the center of the tech stack according to Berkus. Eventually, Berkus sees most hotels relying on a single cloud-based system that aggregates all functionality into one flow, which reduces errors and increases accuracy as it doesn't require passing information around multiple systems. A hybrid PMS/CRS/CRM solution means a single guest record that enables better, more accurate personalization. The consolidation of functionality also simplifies the tech stack and should help hotels effectively use existing data to power personalization at the individual guest level. A unified tech stack unleashes the full power of data-driven decision making, which will soon be table stakes for how hotels everywhere compete. Rather than relying on incomplete sets of data, hoteliers can constantly make decisions based on the holistic view. A unified tech stack can also be achieved through seamless integrations and Berkus says that “there will always be best of breed solutions in various categories.” This vision will take a while to achieve, and so the PMS will continue to play a critical role for hotel operations: If we look ahead ten years, it would be easy to see a single cloud-based system integrating everything from CRM to reservations to the accounting functions at the properties, all the way through all forms of marketing and follow-through. Even with this view, Berkus sees the potential for category leaders to dominate specific verticals, while still providing the essential services necessary to run a hotel. For example, revenue management, which may be a feature of a CRS or a standalone solution -- all depending on how an individual property derives its revenue, and the sophistication of its revenue generation strategies. Part of the problem, he says, is that people confuse hotel tech with quality hotel tech: just because a hotel has a system doesn't mean that it is a good system. For Berkus, this means that the hospitality technology industry has plenty of dynamism ahead of it and he believes that it’s far from maturity.   The transformative power of analytics For Berkus, the primary reason for the PMS’ uncertain future is due to its isolation from data and analytics. Even the most integrated systems have challenges when it comes to gathering data from disparate sources into a unified view. Even so, it’s the analytics on top of all of this data that drives profitable hospitality today. Whichever technology hotel uses, It must facilitate the types of analysis that drive “more capable decisions,” across the organization, says Berkus: Analytics are everything. The most important single change that's going to come is the fact that every piece of data that arrives at the central source will be analyzed. You're going to find that more capable decisions will be made to maximize revenue...based upon AI and data analytics. That's your future. The unsaid implications here is that hotels with a sub-par data and analytics approach will be left behind. Hospitality has become not just about the guest-facing product but also the hidden back-end of intelligent data capture and analysis. The top performers will effectively oscillate between analyzing the data and making clear improvements based on this analysis.   The data-driven hotel GM As data and analytics move to the core of a hotel’s operation, general managers must evolve their skill sets to match. While operations will never cease to be a part of a hotel general managers role, success in this role is increasingly about the ability to enhance profitability by effectively translating data analytics into actionable initiatives. Currently, GMs have a steep learning curve to build muscle memory around analyzing large amounts of data from disparate sources. As machines become more capable of doing the analysis on their own, the best GMs will be able to take action on the analysis presented by the tools to increase profitability, Berkus predicts: A manager has to be able to add value by adding revenue and by increasing guest satisfaction. Those two things are not necessarily the operational things that a manager today normally concentrates on. Marketing also matters more to the GM of the future. As marketing campaigns become data-focused, GMs will engage more deeply with their marketing teams to leverage a data-driven approach to spend marketing dollars more efficiently. It's all about the relevant message consumed in the right context, as GMs seek to add value in new ways.   Sourcing true pain points from sales and marketing Berkus is an active angel investor, and his recent announcement of Wayfare Ventures brings his focus to travel technology. When it comes to developing an idea, Berkus sees real value in entrepreneurs solving true pain points rather than perceived problems: I love it when somebody in marketing or sales develops a company and says “I feel the pain” and let's try and solve the need. As opposed to what I see most often, which is an engineer says I really got an idea and I'm going to make that idea work. The contrarian view is noteworthy in its opposition to the engineer-focused view espoused by many investors and technologists. Part of this view comes from the plummeting costs of cloud computing, as well as the prevalence of APIs which make it simpler to plug into an existing ecosystem without having to build as much technical infrastructure. Differentiation comes less from tech and more from truly knowing the problem and having clarity around what needs to be solved -- rather than building a technically-flawless solution that misses the mark and fails to gain traction because it doesn't solve an actual problem. An early-stage solution that solves a real problem for a specific segment sells itself and helps a startup gain traction at a lower cost. It’s expensive to convince people that a product solves a non-existent problem.   Market trends poised for investment As far as trends in the market that have potential, Berkus points to artificial intelligence, robotics, and data analytics as three disruptive forces. However, things change fast. Apps are no longer the hot commodity they once were. Today’s opportunities are all about AI, robots, and data analytics. When evaluating the most exciting opportunities for investment, Berkus expands his view to encompass all of travel technology. This expanded view allows him to see opportunities from the interconnectedness of the travel and hospitality industries, which is a core part of the thesis at Wayfare Ventures. It all comes down to using modern technology to find new revenue that may not have been easy to uncover in the past. Whatever it be, there are opportunities now for revenue that weren't easily available in the past but are today. But the whole point is if guest satisfaction goes up and guests are able to do things they couldn't do before, like order a meal from text, then you're going to have better revenue and more satisfaction.   Enjoy the full podcast episode here. Outside of the points covered above, Berkus shares the fascinating foundational story of the first property and yield management tools for hotels.

Hotel Technology Trends 2021: Consumerization, APIs, Gig Economy & More!

by
Hotel Tech Report
3 months ago

It's never easy to push through the hype and find the substance -- especially in hospitality, which is a challenging blend of guest-facing technology and back office software. Each year the technology world looks to Wall Street analyst-turned-VC Mary Meeker for her annual “Internet Trends Report”. Meeker’s report uses data to tell stories of business-related trends that are shaping society. Using data from Meeker’s report we identify some of the hotel technology trends that are accelerating in 2020 and beyond. Unless otherwise noted, supporting images below are pulled directly from Mary Meeker’s presentation. Within the context of hospitality industry innovation there's an equal mix of both guest experience innovation as well as back office and business optimization.  In the hotel industry, hoteliers are constantly looking for ways to optimize check-in, make better concierge recommendation and leverage next gen tech like artificial intelligence or internet of things.  Ultimately, what drove our list is not the "coolest tech" like virtual reality and Amazon Alexa but instead we examined the biggest trends impacting hotel guests and business owners, then backed into the most impactful technologies on those trends (top down research).   Consumerization of Business Applications This slide highlights the slowdown of smartphone growth. The upward trend explains the massive explosion in travel apps in recent years. How does that impact hotels? The slowing growth of smartphone sales means that we’re approaching market saturation and consequently every single traveler in the world will soon have at least one in their pockets. This means that we need to focus on being where they are. The saturation of mobile also means that guests -- and staff -- expect easy-to-use interfaces and seamless cross-device experiences. Technology must be unfussy and straightforward, working wherever and however the guest and staff need. For guests: Mobile-optimized booking engines and guest messaging platforms are two of the most visible guest-facing applications. When searching for hotels, potential guests want to see a modern booking engine that builds trust in the experience a hotel provides. When staying at a hotel, guests want to communicate with the hotel as easily as they do with friends and family, and via the same channels (such as SMS and messaging apps).  Guest messaging software can facilitate room service and other amenities to improve the experience in guest rooms without needing to install hardware.  Major chains like Marriott and Hilton have already built messaging native into their applications.  It can also help gather real time feedback about guest service while generating more reviews for social media and online booking platforms like TripAdvisor. For staff: When hotel staff comes to work, they shouldn’t have to re-learn how to interact with technology. Mobile task management and collaboration software allow staff to use familiar mobile devices to get things done more efficiently on-the-go with built-in accountability. When evaluating vendors, these factors should be towards the top of the list for any hotel that wants to offer the most modern experience. Remember that both staff and guests have plenty of options when it comes to where to stay and where to work. Providing technology that makes life easier, better, and less stressful will bear fruit over time. The simplicity of consumer experiences now extends to B2B. People expect all technology to have intuitive interfaces and reliable connectivity.   Exploding Compute Power Enables an API First World It seems like every company has an app store these days. As more and more companies seek platform status, they launch app stores to encourage development on their platforms. By opening up development, the underlying technology becomes stickier, making it more useful to hotels and also more lucrative for the platform company. There are two things driving this “appification everywhere” trend: plummeting storage costs and rising computer power, which has made cloud computing not just practical but affordable. In parallel to the growth in mobile, cloud computing has made it more feasible for apps to be more lightweight and nimble. Stats showing the growth of computing power and hard drive capacity alongside the steady decrease in the price of storage.   Apps no longer require heavy computing power and on-device storage to deliver the impact required in a B2B setting. Now, apps can connect to the cloud to pull necessary information in real-time, making apps faster and more accurate even as apps become more complex.   Apple’s App Store was the first to thrive. Now, nearly every platform and many travel technology companies have app stores as well.   For hotels, 'appification' has ushered in a golden age of choice. There are now app stores for many of the largest travel companies, allowing hotels to plug-in specific apps for a wholly customized tech stack. In 2018 alone, we saw the launch of app marketplaces and integrators from travel technology companies Mews, Apaleo, SiteMinder, and Snapshot. Here at Hotel Tech Report, we’ve partnered with protel’s I/O marketplace to integrate rich reviews to its app store experience. This layer of social proof adds richness to the company’s marketplace, which allows hotels to pick, mix and test cutting-edge technologies all in one place. App integrations are also becoming much easier as services such as Impala and HAPI emerge to simplify the process of connecting apps through configurable APIs. As more hotels push to build the specific tech stack that works for them, these app marketplaces and API services will grow exponentially in the coming years just the same as we’ve seen happen with more mature app stores from companies like Apple and Google as shown in Meeker’s deck.     An app store with honest reviews builds trust. Hotel Tech Report reviews are fully integrated into the protel I/O app marketplace.   The Gig Economy Exaccerbates Tight Labor Markets More workers are turning to the on-demand gig economy to supplement earnings. Freelance workers also find work much more easily thanks to technology. As more workers find freelance work feasible, hotels face growing competition for talent, exacerbating an already-acute talent shortage. Technology continues to empower workers to build a work life that works for them. Hotels must keep up to remain competitive for workers.   The flexibility in freelance and gig work appeals to workers, so hotels can apply some of this to their own scheduling. Providing workers with a degree of latitude in the way they work will make for a more appealing workplace. With more individualized control for staff, mobile-optimized labor scheduling solutions foster trust and transparency across a hotel’s operations. In addition, technology must be leveraged as a key selling point to potential workers. With applicant tracking solutions and other HR technologies, hotels build resilience within the recruiting and staff management parts of the business. The objective is to leverage available technology to effectively track applicants and avoid letting the best candidates slip away to other hotels or on-demand work platforms. Today, hotels themselves can tap into the gig economy with next generation on-demand staffing platforms.   Just like technology makes it easier for workers to find jobs, technology also helps hotels sharpen focus on recruiting and retaining top talent.   As competition for workers heats up, people have more options than ever. It behooves hotels to provide a modern, sensible work environment across departments that attracts and keeps the best workers. To foster loyalty, invest in the right talent management solutions that develop your workforce. By providing opportunities for employee training and learning, hotels have a better chance of keeping the most ambitious employees engaged. Workers should be incentivized to stay through these development opportunities, as well as through a workplace that prioritizes workers as professionals. More workers turn to the on-demand economy to supplement wages and/or add flexibility to their work lives. The real-time and on-demand nature of these platforms diminishes loyalty in favor of flexibility.   Meetings and Events Adapt to Smaller Office Spaces Another area affected by unprecedented flexibility is office space. The average square footage per employee is lower than it used to be, both due to open floor plans and the rise of remote work. Denser office spaces, coupled with remote workers, has expanded the role of hotels as destinations for off-site meetings.   With less space at work, and teams dispersed geographically, more companies rely on off-sites. These events bring together remote teams in a non-office setting to accomplish concrete goals. For hotels, this means a potentially lucrative incremental revenue stream from groups. It also means more requests for proposal taking up precious staff resources for a non-guaranteed event booking. As the RFP pace picks up in 2019, hotels will turn to group sourcing and RFP tools to reduce the burden on over-taxed staff. Other technologies will further enhance hotels’ event capabilities, such as event planning software that brings efficiency and organization to the process, as well as sales platforms that aggregate knowledge and empower sales teams to sell more effectively. Data is also increasingly vital to successfully building a book of group business, with meetings and events intelligence tools growing in sophistication.   Sharing Economy Heightens Focus on Value 2018 saw an expansion of available channels for hotels. For example, Airbnb added boutique hotels to its platform, saying that it now considers itself in direct competition with OTAs. This year, Airbnb also released a meetings and events tool for corporate travel companies. These are only two examples of the growing ecosystem offering hotel bookings outside of traditional intermediaries like OTAs. The evolution of Airbnb into a full-fledged online travel agency creates pricing pressure for hotels but could also benefit hotels by breaking the Expedia/Booking duopoly that’s crippling them. The slide above shows how significant the average discount of an Airbnb is when compared to a hotel. The ultra-affordability of some Airbnb listings versus hotels will continue to influence how hotels price their rooms in certain markets. Hotels will look to rate intelligence solutions to monitor rate parity -- and may eventually even pull in Airbnb rates for a more accurate compset in many market segments. All of this data must be considered for revenue management software to make the right rate recommendations. The lower price point for some Airbnbs is also an opportunity for hotels to deliver rate competitiveness through streamlined operations. For hotels in hyper-competitive markets, technology rewards hotels with more profitable operations. The ultimate goal here is to either bring in more guests at similar prices or bring in the same number of guests at a more efficient cost structure. Bring in more guests: Price more efficiently to offer the right price to the right guest using revenue management tools. Consider contracting with a hospitality-focused digital marketing agency, as well as adding direct booking, and metasearch/ad tech tools to keep your marketing spend in high-performance mode. Streamline operations: Wasteful operations bleed a hotel’s profitability. Technology keeps costs in check. Tools for contactless check-in, staff task management and collaboration, as well as for housekeeping management, help managers track staff performance through comprehensive reporting that identifies areas for improvement. A tighter operation gives a hotel breathing room as far as pricing and profitability.   Hotel Groups Must Outsource R&D So what do these trends mean for your hotel? Since most hotels are not in the technology business, outsource your research and development to trusted technology partners that specialize in defining and building technology. Meeker pulls together the top companies by research and development expenditures. The slide emphasizes the competitiveness of these investments; the fastest growing companies are also the ones that invest heavily in R&D. As these companies attract prime talent and continue to invest millions in exploring the applications of new technologies, there’s an economy of scale that fuels future growth. The top companies in the world by research and development. When it comes to technology, hotels don’t typically invest in research and development in the traditional sense. The outsourcing of these efforts is therefore not only sensible but imperative to compete in today’s digital economy. By investing in technology, hotels sharpen the edge in a fiercely competitive environment.  

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Recent Revenue Management Systems News & Community Updates

Our Town Hospitality Partners with IDeaS for Greater Profitability, Efficiency and Agility

IDeaS
2 days ago

IDeaS, a SAS company, the world’s leading provider of hotel revenue management software and services, announced today its new partnership with Our Town Hospitality, beginning with the implementation of IDeaS G3 Revenue Management System (RMS) at two of the hotel group’s independent properties.  Our Town recognized the importance of implementing an RMS now before demand returns. It selected IDeaS to empower its revenue recovery strategy, adapt as conditions shift and position its hotels to run more profitably and efficiently. · Data-driven decisions – Our Town appreciates G3 RMS’ unique features enabling a full understanding of room-type pricing and demand for its hundreds of suites, channel-cost evaluation to drive more profitable decisions, and accurate forecasting to help each property understand true demand. · Service and support – Our Town was looking for more than a first-rate product; the team wanted a committed partner. IDeaS delivered with its smooth sales process, easy onboarding, and personalized touchpoints. · Automated efficiency – Moving from manual revenue management to machine-learning automation, IDeaS provides immense time savings, allowing Our Town to be more strategically focused. Ken Nason, corporate director of revenue strategy, Our Town Hospitality, said: “IDeaS is the proven leader in the marketplace, and their high-quality service assured us they would be a true partner. When it comes to having an automated RMS, just the amount of time saved making rate changes alone is worth the investment. With IDeaS, we’ve already seen measurable improvement. January’s results were better than last year’s, pre-COVID, and we owe that to G3 RMS. The system quickly adjusts to demand and market shifts and provides us with actionable insights, giving us the confidence to make decisions that improve performance.” Garth Peterson, area vice president, Americas, IDeaS, said: “We are honored Our Town Hospitality has selected IDeaS to deliver sophisticated automation and revenue optimization to its independent properties. Ken Nason and his team recognize the essential value an RMS presents for their competitive recovery strategy, and we look forward to delivering on that promise and growing our partnership.”   About Our Town Hospitality Our Town Hospitality manages a diverse portfolio of upscale and upper-upscale independent, lifestyle, soft-branded, and branded hotel properties across the United States. Our leadership team of experienced, industry-best hospitality professionals excels at implementing operational efficiencies, nurturing a thoughtful employee culture, and offering warm, unforgettable guest service that turns moments into memories for our guests and yields positive outcomes for our owners and team members alike.

Hotel Industry Thought Leaders Will Tackle Ways to Master the New Rules of Revenue Strategy at the Virtual Revenue Strategy Forum (RSF)

Duetto
1 week ago

Duetto, hospitality’s innovative software as a service provider of revenue strategy solutions, in partnership with Silver Hospitality Group, announced today the first in a series of virtual Revenue Strategy Forums, designed to bring together leaders and practitioners who will examine the forces reshaping hospitality today and share innovations for navigating success through uncertainty. The half-day virtual event will combine education, networking, and high-level information exchange among hotel executives and respected industry leaders responsible for increasing revenue and optimizing demand. Scheduled for May 19, 2021, the virtual half-day event will feature industry leaders who will articulate and iterate the evolution of revenue strategy - while also addressing key issues in data, marketing, and innovation. Keynote speakers and participants already confirmed for the event include: · Bernard Baumohl, Chief Global Economist, The Economic Outlook Group · Michael Levie, citizenM · Priya Chandnani, Vice President of Revenue Management, Benchmark Global Hospitality · David Rochefort, President, Graduate Hotels · Joanna Todd, Head Worldwide Business Development - Accommodation and Lodging, Amazon Web Services · Caryl Helsel, Founder & CEO, Dragonfly Strategists · Cheryl Chavez, Chief Product Officer, Duetto “The Virtual Revenue Strategy Forum will bring together the best minds in the hotel industry and technology to discuss revenue strategy,” said Stacy Silver, President, Silver Hospitality Group. “Any hospitality executive interested in discussing practical solutions to the most pressing issues facing hoteliers in today’s dynamic marketplace should attend.”  “The rapid changes we have seen in the marketplace over the past year have posed substantial challenges for hoteliers,” said David Woolenberg, CEO of Duetto. “The aim of this conference is to give hoteliers and industry leaders practical insight into ways to elevate their revenue strategy while addressing data, marketing, and technology innovations.”  In lieu of a  registration fee for RSF North America, the organizers are requesting attendees make a charitable donation to support the AHLA Foundation, the charitable giving arm of the American Hotel & Lodging Association, which is dedicated to helping people build careers, improve their lives and strengthen the lodging industry. As a further commitment to supporting our industry and front-line workers, Duetto has agreed to match the first $2,500 in contributions. RSF Americas will be followed by RSF EMEA, which will take place in mid-June and include input from industry leaders across Europe and the Middle East.  

IDeaS Awards 2021 Cornell Revenue Management Sponsorships

IDeaS
2 weeks ago

IDeaS, the world’s leading provider of revenue management software and services, announced today the 2021 IDeaS Cornell Revenue Management Sponsorship recipients, continuing its ongoing program to foster professional development in the field of revenue management. · IDeaS 2021 Cornell Revenue Management Sponsorships – Working in partnership with Cornell University’s School of Hotel Administration in the Cornell SC Johnson College of Business, these sponsorships present hospitality professionals with the opportunity to earn online certificates developed by senior Cornell faculty leaders. With applicants from across 17 countries, the 2021 global winners are as follows: · Advanced Hospitality Revenue Management – Tiphaine Porte, multi-hotel revenue manager, Accor, United Kingdom and Odontuya Natsagdorj, senior manager, investment and asset management, Shangri-La Ulaanbaatar Hotel, Mongolia · Hotel Revenue Management – Carlotta Rossi, sales and revenue executive, Lefay Resorts, Italy and Sarah Gushurst, lodging revenue coordinator, The Biltmore Company, United States · Data Analytics 360 – Zackary Han Kai Tay, director of revenue management, Grand Hyatt Beijing, China and Vinicius Lombardi Alves, pricing analyst, Nomah, Brazil · Shaping the careers of future revenue management leaders – As a member of the advisory board of the Leland C. and Mary M. Pillsbury Institute for Hospitality Entrepreneurship at Cornell University’s SC Johnson College of Business since 2018, IDeaS’ Dr. Ravi Mehrotra continues to support and educate future leaders in the field. Tiphaine Porte, multi-hotel revenue manager, Accor, United Kingdom, said: “I am thrilled to be one of the recipients of this sponsorship. I would like to thank eCornell and IDeaS for this opportunity, and I am looking forward to starting the program, which will provide me with the advanced tools and techniques to strengthen my revenue management knowledge.” Zackary Han Kai Tay, director of revenue management, Grand Hyatt Beijing, China, said: “Continuous learning through this ever-changing environment is necessary for the hospitality industry. I am honored to be selected for Data Analytics 360 certifications sponsored by IDeaS and Cornell University. I am confident that completing the courses will further elevate my revenue management skills, allowing better decision-making for my organization in the future.” Dr. Ravi Mehrotra, president, founder & chief scientist, IDeaS, said: “The hospitality industry has reached a significant inflection point. As hoteliers strategize their revenue recoveries, many revenue management professionals have used this period of transition to advance their learning and skillsets. Through IDeaS’ work with the hospitality program at Cornell University, we continue to bridge the gap between business and academia, and I couldn’t be prouder to honor these six bright minds as we continue to invest in tomorrow’s revenue leaders."   About the School of Hotel AdministrationThe School of Hotel Administration, at the Cornell SC Johnson College of Business, is shaping the global knowledge base for hospitality management through leadership in education, research, and industry advancement. The school provides management instruction in the full range of hospitality disciplines, educating the next generation of leaders in the world's largest industry. Founded in 1922 as the nation's first collegiate course of study in hospitality management, the School of Hotel Administration is recognized as the world leader in its field.  

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Revenue Management Systems Category Overview

What is a hotel revenue management system?

Revenue management software automates the process of using analytics -- mainly supply and demand -- to determine the right price for hotel rooms to maximize revenue and profitability. This category of software is also referred to as a "yield management system", "pricing engine" or an "RMS".
 
The primary goal is to sell the right product to the right customer at the right time for the right price on the right channel. Revenue management software ingests historical and market data, combines this with forward-looking demand signals and recommends a rate for each segment and room type at your hotel, specific for each channel on which you are selling. Recently, modern software has moved from on-premise to cloud-based applications that are delivered as Software-as-a-Service, meaning multiple users can login to the applications from anywhere they have an Internet connection.
 

Revenue Management Solutions Benefits

  • Accurate forecasting: An accurate forecast looks at all of the available data -- past history and forward-looking data -- to help hoteliers determine what their demand is going to be for every single day as far as 365 days into the future. Forecasts help each department in the hotel make smarter operations, marketing and sales decisions. 
  • Create operational efficiencies: Automating your revenue management with a revenue management system means hoteliers no longer have to build spreadsheets and reports, calculating the demand by hand every day, and then entering those numbers into a spreadsheet and reporting system. This frees employees up for more strategic thinking around positioning their hotel in the market.
  • Improve RevPAR: Revenue management software is designed to find your hotel’s optimal business mix, balancing occupancy and ADR to ultimately drive revenue per available room. 
  • Improve Net RevPAR / GOPPAR: More importantly, a modern revenue management system will place an emphasis on net revenue per available room, or RevPAR after operating costs like labor and acquisition costs are deducted. It’s critically important for hoteliers to focus on bottom line profitability (gross operating profit per available room) as well as top line revenue.
  • RevPAR Index: Perhaps the most important metric, RevPAR Index measures a hotel’s revenue versus it’s defined competitors in the market. If every hotel in the market sees revenue increases, RevPAR Index will show a hotel how its revenue has changed in comparison with the comp set.

 

Key Feature Functionality

  1. Integrations - It’s important that your RMS integrates with your PMS, CRS, CRM and booking engine with a reliable, two-way connection so that the systems can share the right data.

  2. Open Pricing - Your RMS must be able to price room types and channels independently of each other, rather than in lockstep with a set BAR price. For example, on some days you want your AAA rate to be 10% less than BAR, on other days you may want it 1% less than BAR.

  3. Cloud technology - An RMS that runs on multi-tenant cloud architecture allows your systems to integrate and share data more seamlessly, and allows developers to push updates to your software in real time. No more purchasing new versions of software just to get the latest features.  

  4. Intelligent reporting - It’s important that your RMS be able to build, export and share your most critical reports. Revenue teams must be able to share reports at the push of a button with management, ownership and other departments within the hotel.

  5. Data Visualization - A good RMS not only presents your data in tabular reports, but allows you to visual your data and reports in graphical form. This allows revenue teams to better understand trends, outliers and patterns in data.

 

What Integrations Does Your RMS Need?

Property Management System A strong two-way integration with your Property Management Systems allows your RMS to pull historical information on rates and revenue, analyze the data and then return an accurate matrix of pricing recommendations for each segment and room type. Ultimately an integration with your PMS will enable more efficient revenue management automation to save time and improve results.
 
Central Reservations System A strong connection between the RMS and the CRS helps hoteliers avoid failed updates, lost reservations and bad reports when data and files are not transferred accurately between the two systems.
 
Email Marketing and CRM An RMS-CRM connection is critical when hoteliers want to price based on a guest’s value to your property. Without this connection, hotels cannot price based on loyalty or past purchase behavior.
 
Booking Engine - Without a connection between the RMS and the booking engine, the right recommended rates cannot be pushed to the guest at the time of booking.
 

Revenue Management Software Implementation

Once the contract is signed and discovery is complete, the typical rollout timeline for a revenue management system is 8-12 weeks but some providers today are able to live in under one week.
 

Revenue Management System Examples

 

Revenue Management System Comparison

Compare IDeaS vs. Duetto

Compare Infor vs. IDeaS

Compare Atomize vs. Pace