Role of revenue management in a hotel company

 

TASK 2 Individual research paper essay, (60% of the module) ( maximum 2,000 words)

Research through its web sites and centralised reservation systems, a hotel company, in order to illustrate their yield management activities, seasonal pricing, packages and other pricing promotions.

 

Question 1, Discuss and review the role of revenue management within your chosen hotel company.

 

You answer should include;

  • the strategy used by them to manage room capacity in order to maximise on revenue
  • their tactics such as pricing strategies, market segmentation, direct sales, portfolio of company
  • yield management strategies – use of agencies, 3rd parties, use of apps, role of central reservation system.

 

Question 2, Critically evaluate and review the usefulness of hotels performance indicators which they use to maximise their businesses efficiency.

 

You should include performance indicators used by the company to assess the businesses efficiency; occupany, average prices, RevPAR, relationship between space and time, fixed capacity. Analysis of total revenues (include accommodation and food & beverage) and profits.  How do they use industry standard metrics and market segmentation and whether using a company such as HOTSTATs (hotel benchmarking and market intelligence data) for the management of the company helps with improved intelligence.

 

Underpin your answer with academic theory and relevant hospitality examples.

 

You should not do any specific primary research for this essay.

 

Criteria;

Learning Outcome. 3

 

Relevant research on the topic is demonstrated and a wide range of appropriate sources have been consulted, which have been referenced using the Harvard system.                                    20%

 

Identified the key theoretical and practical issues related to the topic and current issues/debates and summarised these.                                                                                                   50%

 

Applied the concepts to the hospitality sector within an academic framework by using examples from industry / research findings                                                                                              20%

 

The paper is well written, ideas clearly expressed and well presented.

The Harvard referencing system is used throughout.                                                       10%