HITEC TV: It’s Not Your Old Revenue Management System Anymore
Jos Schaap, Co-Founder and CEO of ROOMDEX, Inc. joins Klaus Kohlmayer, Chief Evangelist and Development Officer from IDeaS a SAS company, and Paprika Le Bourgois, Director of Product Design at Infor to hear about the future of the revenue management system.
Hoteliers have embraced their revenue management system to help them make better decisions on a day-to-day basis. Many innovative RM platforms are using Artificial Intelligence are Machine Learning to get a handle one the new normal of hotel booking pace and revenue optimization. It’s not your old RM solution anymore! The three industry experts discuss new trends in RM and how hoteliers can leverage the unknown to help them drive better rates and more business.
Jos talks about the motivation to create his company, ROOMDEX. The team realized there is opportunity to leverage automation to generate additional revenue through upselling. Most upselling relies on either manual selling and transaction recording in person on day of arrival, or pre-arrival ‘requests’ that cannot be guaranteed until day of arrival. ROOMDEX developed a proprietary algorithm that can provide a granular forecast of inventory use and yielded pricing that optizes upselling and relieves staff of the typical labor associated with it.
Jos also notes the impact on the pandemic on traditional notions of face-to-face service. Specifically he has observed that many hoteliers, when faced with the current global labor crunch, have resorted to automation, with great results. They now realize the guest is looking for a nice room and a nice stay but does not necessarily want a ten minute check in process in which they are upsold why they are holding their luggage.