We originally published a version of this blog back in 2019 but it’s still as relevant as ever, particularly with the challenges accommodation providers are facing now. As we move away from COVID-19 restrictions and try to find our way back to “normal” there are still the usual potholes to navigate, such as staff shortages and being time poor, and an RMS just might be the key to getting your property back on track.
An RMS can help ease the pressure on your team by automating your rate settings and rate yielding practices, streamlining the whole process and allowing you to use your time reviewing and analysing your data, as opposed to taking hours to gather this information. Not only that, but an RMS can also help you get a better handle on your marketing mix and target areas that need some improvement.
Reliable software solutions can be hard to come by; how do you know which software is most beneficial to your specific needs?
When you are considering investing in a Revenue Management System for your property, no matter how big or small, consider the following pointers. We’ve put together a list of why having an affordable, reliable Revenue Management System (RMS) can be beneficial for overall performance of your property but also have a positive impact on the valuable time of you and your staff.
1. ACCURACY OF DATA
The information being used to yield your rates effectively comes directly from your PMS, so you are guaranteed the information is accurate and up to date. Don’t leave your property’s valuable revenue decisions to guesswork – make sure you have the data you need to make informed decisions and remove the risk factor.
2. SAVE TIME
How much time do you or your revenue team spend downloading and printing reports each day? Using an RMS cuts down on the amount of time you spend gathering valuable information as it is always on hand at the click of a mouse. Spend more time analysing the data to maximise your RevPAR and hone your budget instead.
3. BETTER ANALYSIS
The less time you spend gathering data and doing general admin work means you have more time to analyse business trends and give you a clearer picture of market segments and how they are performing year on year. Using the Rate Wise RMS, you have a clear 365-day view at your fingertips – our Business Analytics and Pickup Analysis tools can display in a matter of seconds data which ordinarily would take hours to compile.
4. INTELLIGENT DECISION MAKING
We’re not saying you aren’t perfectly capable of making intelligent decisions about your own property, but an RMS makes your life a lot easier! Having so much accurate information to hand always means you can make more informed decisions much quicker and removes much of the guesswork.
5. LOW COST
We understand the financial impact installing an RMS can have – especially on a small business – so we’ve priced our services fairly. You pay a once off set-up fee and one low-cost price per month allowing you to budget accordingly, making sure you are financially secure throughout the year with no surprises. Planning 365 days into the future also means you can accurately forecast your property’s revenue stream.
6. IMPROVES REVPAR
Using an RMS ensures your hotel grows occupancy at the right price at the right time. Taking a full year view into account means you can prepare better for special event dates (concerts, matches etc.) and yield rates in line with demand. You can also compare RevPAR with the year before analysing differences – whether negative or positive – and adjust your strategy accordingly.
Using an RMS means your reports are automated, so at a set time each day your data is retrieved from your PMS, compiled into an easy-to-read format, and delivered straight to your Rate Wise Dashboard. Don’t worry if your revenue manager is on holidays, the details will still be updated on time every day. When you need to change rates, you don’t need to worry about updating a dozen OTA’s, our automated system can do all the work for you at the click of a mouse once there’s integration with your PMS or Channel Manager.
Revenue Management Software allows you to make better, more informed decisions, meaning your guests always have access to your best available rate. Once your rate changes are loaded into Rate Wise, they automatically update your channel manager or PMS, streamlining the rate change process.
9. KINDER TO THE ENVIRONMENT
And finally, using an RMS is kinder to the environment. It cuts down on printing and stationery costs, creating less waste and leaving very little paper trail. With less paper to store, you can reduce physical storage space and create less of a fire hazard. This is important not only for the environment but cuts costs across the board.
Software Solutions can be costly and ineffective if not researched and tested correctly, so we can offer a Free Trial of the Rate Wise Rate Yielding Tool (depending on the software currently in place).
Author Bio: Katie McGarr is a resident writer for Rate Wise, a leading revenue management company providing cloud-based software solutions and yield management consultancy in Dublin Ireland. Aside from traveling, she also loves writing articles about hotel management and business.