Unformatted text preview: om rate.
Optimal Rate A room rate which approaches the rack rate.
Review scenario p. 173 to consider possibilities! 16 Strategies
Strategies Discuss components and strategies to employ when using yield Management (refer to Table 63) p. 174 High demand for rooms = Maximize room rates Low demand for rooms = Maximize room sales Carol Verret’s comments on establishing target numbers sales, manipulation of rates in the electronic distribution channels as well as revenue drivers within the organization (central reservations, propertylevel reservations, and sales department, and web site) p. 174
17 Strategies cont’d.
Strategies cont’d. Neil Salerno who suggests aggressive revenue management tatics based upon knowledge of past history of reservation performance.
Too many hoteliers set rates blindly for the future and then, panic when reservations are disappointing just a week or two in advance. Most hotels should take a picture of reservations at least six months in advance; many hotels should lookout a year or more into the future. Advance reservations rep...
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- Fall '07
- Yield management