The overall revenue of the hotel is dependent on its pricing strategy. Analyzing historical data on rates, occupancy, competition pricing, price elasticity of revenue and demand are some of the main deciding factors for pricing decisions and determining an optimized rate spectrum. Most hotels work on flexible BAR model where looking at demand and competition, the BAR (Best Available Retail Rate) is set. With BAR as the basis; packages, discounts, group rates, corporate and travel agent rates are decided.
Pricing strategy is as important for independents and small hotels as it is for the bigger hotels. In a way, the small and independents depend a lot on innovative pricing and experimenting with packages and discounts.
With so much going into deciding the pricing strategy, if the small hotelier faces limitations due to the PMS it uses, or because of lack of support for different pricing models in the system, it is time they rethink their choice of PMS. The small hotelier is no longer constrained to using systems with limited features due to price constraints, thanks to the advent of cloud and rise of various cloud PMS providers.
Hotelogix property management system has extremely powerful rate management tools, providing hoteliers with absolute control when it comes to designing their rates. It also offers ease and freedom to decide the best pricing strategy and implement it not only on their front desk but also on all their online marketing channels. A look at the few features and benefits of our module:
Package generator builder
This is a professional tool created to let the hotel custom design the packages. The package builder allows for restriction on minimum number of stay dates, cancellation and booking policies specific to a package, whether the package will be prorated in case of extended stay and the validity and activation period of the package. One of the most important features is the ability to add unlimited inclusions. Having a POS inherent to the system, hoteliers can add various inclusions like airport pickup, WiFi, meals and more to the packages. The accounting and billing takes care of posting the taxes and revenue in appropriate heads at the backend and reduce reconciliation overheads. Hotelogix does not have a limit on the number of packages that can be created.
Hotels can easily take care of supply and demand in their geography by dividing their rates into seasonal rates. For instance, in extremely cold regions, winter would have low occupancy and similarly for countries with very hot climate. The hotelier can divide the complete year into seasons – winter, summer, high, low and more. There is no restriction on the number of seasons that are created. Hotelogix also has a special period rate. For example, the winter seasonal rate may fall between November to February. The hotel can define a special period around Christmas and New Year that can have special festive rates.
This is a new feature where hotels can create a master rate and all the virtual rates can be derived by the master rate. Any changes to the master rate and every other rate will change accordingly. One rate does it all!
Hotelogix is now empowered with a “Centralized Rate” feature that lets you manage rates on all booking sources through one point. You can simply update centralized master rate in the Price Manager and the system calculates and publishes rates across channels based on type and amount of commission.
Hotelogix integration with PriceMatch allows small and medium-sized hoteliers to use an integrated dashboard to manage their property and determine the optimal room rate for the next three months after factoring in the hotel’s history, competitors’ prices, local and national events, the hotel’s e-reputation, transportation prices, weather forecasts and exchange rates.
Hotelogix distributes inventories and rates on all channels in its unique way and lets the hotel experience real-time benefit. Hotelogix works on allotments – hotels allocate inventory to different channels and inventory is never blocked. Whenever there is any change in the allotments, the changes happen on all channels simultaneously. Dynamic allocation allows for replenishing the inventory in real-time. Dynamic allocation and real-time distribution on inventory and prices ensure that hotels can take best advantage of last minute bookings and flash sales.
The system is designed in a way that it allows you to self-learn and organize in more than one way, by guiding and letting you pick and choose things that you want to do, and showcase what you should do to achieve success in business.
Hotelogix Rate Manager is designed to give complete control and flexibility to the hotelier. They can manage multiple rates and packages, club add-ons, run promotional offers & campaigns and enable easy distribution of the room inventory to a wide variety of distribution channels, making it an ideal solution for small and mid-sized hotels.