Increasing cash flow and profits through financial management, revenue management, and enhancing operation standards and performance
Although data is available from numerous sources for benchmarking the performance of a property against industry norms, the most effective way is through a deep understanding of the hotel operations.
Our extensive operational experience from different style of operations and our understanding of each line cost item in the P&L, and each revenue-generating opportunity for each department, give us the advantage of in-depth understanding of the business.
Our goal is to be able to maximize cash flow through selling the right product at the right price to the right customer. The key components of our revenue management strategy include:
- Understanding market dynamics, the local industry demand drivers, key market demand drivers and new supply aspects
- Once we have a good understanding of these issues, a competitive analysis is undertaken to assess how one’s property is positioned to its most relative and competitive peers
- A market segmentation process is then undertaken to define the market business types which can best drive a hotel’s profitability
- Demand forecasting models are then created on a rolling yearly calendar on both transient and group business, where targets are set, and business patterns are established
- The plan can then be finalized, with discussions with ownership on agreements made on the main aspects, pricing strategies especially groups bookings that have relevance to the market dynamics, the properties competitors and those market segments identified as opportunistic, and the distribution channel plan
Sales and Marketing
In all aspects of management and operations Sales and Marketing take priority. Effective marketing is crucial to transforming under-performing businesses into market winners. We use a multi-faceted and structured approach to market the property to its targeted market segments, based on realistic appraisals of the property’s strengths and current market trends.
We will formulate re-positioning strategies to meet changing market conditions, open new business channels, and consolidate the existing market base.
- Sales and Marketing audit
- Devise new strategies to meet changing market trends and capitalize on new business opportunities
- Re-define products and services to reposition the property
- Review pricing
- Review distribution
- Implement marketing communications and promotion programs