Forget your hotel competitors, consumer demand is the way to set pricing
With market conditions always changing and distribution only becoming more complex, understanding future consumer demand is key to striking a winning balance between traveler dynamics and competitive pressure on rate.
It’s a familiar scenario – and as a former hotelier, I’ve seen it played out many times before.
Across the hospitality sector, we’re trained to watch our competitors and react when they make rate changes. It’s a game of “follow the leader” – a game that often leads to lower average daily rate (ADR) and under-performing revenue per available room (RevPAR).
So how can hotels be smarter about rate?