1 / 24

Revenue Management and Reservation Systems

Revenue Management and Reservation Systems. Burj al Arab. Objectives. Outline the different types of reservations and describe reservation inquiries and their distribution channels. Gain an understanding revenue management and how forecasting is critical to the success of an operation.

oren-ochoa
Download Presentation

Revenue Management and Reservation Systems

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Revenue Management and Reservation Systems

  2. Burj al Arab

  3. Objectives Outline the different types of reservations and describe reservation inquiries and their distribution channels. Gain an understanding revenue management and how forecasting is critical to the success of an operation.

  4. What is a reservation? • Advance booking to reserve space for a designated time. • Restaurants • Hotels • Airline • Cruise Ships

  5. Reservation Sales Planning Process • Committing rooms for the future • Months or Years in Advance • Foundation of Revenue Management • Guest Mix • Group Guest • Transient Guest • Group Allocation • Rooms allocated for group use

  6. Group Reservations • Group Block • Rooms set aside for a group • Booked • Blocked rooms that are reserved • Cut-Off Date • Unreserved rooms released at predetermined date

  7. Hotel Statistics Occupancy % Average Daily Rate

  8. Forecasting • What is Forecasting? • An approach to determine what the future holds.

  9. Forecasting Room Availability • Why Forecast? • Foundation for making Pricing Decisions • Departmental Scheduling

  10. Forecasting Data • Forecasting relies on historical data • Takes the guesswork out of forecasting

  11. Revenue Management • Techniques used to determine whether prices should be raised or lowered. • Determines whether a reservation should be accepted or rejected. • Supply and Demand • Raise rates when demand exceeds supply • Lower rates when supply exceeds demand

  12. Elements of Revenue Management Group Room Sales Transient Room Sales Food & Beverage Activity Local and Area Wide conventions Special Events

  13. High Demand Tactics Close or restrict discounts Apply minimum length of stay restrictions carefully Reduce group room allocations Raise rates to be consistent with competitors

  14. Low Demand Tactics Sell value and benefits Offer packages Keep discount categories open Encourage upgrades Offer stay-sensitive price incentives Remove stay restrictions Involve your staff Lower rates

  15. Types Of Reservation Systems Property-Level Reservation Systems Central Reservations Systems (CRS) Global Distribution Systems (GDS) Internet Distribution Systems (IDS)

  16. Property Level Reservation Systems • Reservations module of the Property Management System (PMS). • Designed for individual properties

  17. Central Reservations Systems (CRS) • A reservations system in which each participating property is represented in a computer system database. • Two types of CRS • Affiliate Reservation System • Chain Properties • Non-Affiliate Reservation System • Independent Properties

  18. Sheraton Airport Starwood CRS Westin Waltham Westin Providence Sheraton Boston

  19. CRS Functions Services are provided by the Central Reservations Office (CRO). Rates are provided by the participating properties. Responsibility and control of the CRS lies with managers at the property level

  20. Global Distribution Systems (GDS) • Developed by the Airlines • Links together: • Hotel CRS • Airline Reservation Systems • Car Rental Reservation Systems • Travel Agency Companies

  21. GDS Systems • Sabre • Galileo • United • Amadeus • Air France • WorldSpan

  22. Starwood CRS Global Distribution System GDS Marriott CRS Choice Hotels CRS

  23. Internet Distribution Systems • Electronic Reservations • Consumer Orientated • Provides a greater distribution of inventory. • Examples: • Travelocity.com • Hotels.com • Priceline.com

  24. Burj al Arab

More Related