The hotel industry needs a transformation with true differentiation: room inventory must be redefined to empower innovative sales strategies like hyper-personalization and attribute-based selling. For too long, our industry has been stuck in a rut when it comes to selling hotel rooms. It's time to shake things up.
Hoteliers own their inventory, and if booking platforms like OTAs don't have inventory, they can't sell anything! Conventional revenue management systems only predict pricing based on room types per day and miss out on capturing the unique context of each guest's willingness to pay and the demand for specific room features like high floors, bed arrangements, views, and more.
To radically boost RevPAR performance with more direct and higher-value bookings, the hospitality industry must abandon static room type inventory management and embrace poly dynamic, feature-based inventory management. This is the foundation for new data-driven sales and revenue automation solutions, where AI and Deep Learning can drive hyper-personalized experiences that incentivize direct sales channels.
For too long, accommodation operators have lost control of their inventory to large booking platforms, resulting in simplified, clustered inventory that creates idle real estate assets and high opportunity costs. Conventional revenue management systems fail to capture the context of each guest's willingness to pay and the demand for specific room features.
It's time for the accommodation industry to take a page from the Fast Moving Consumer Goods playbook and rethink its approach to packaging and labeling. The packaging and labeling of a product sets expectations for the customer and carries important symbolic meaning. This discipline has been completely neglected in the accommodation industry, leaving one to wonder exactly what type of product the industry is trying to sell. By embracing hyper-personalization and attribute-based selling, the accommodation industry can tap into a wealth of untapped revenue potential.
