Hotels are reporting over a 35% rise in revenue as Online Hotel Management Software company Frontdesk Anywhere rolls-out a system that ties room rates to availability and automatically tracks online bookings.
SAN FRANCISCO, CA. - Hotels, motels, resorts and management group are seeing dramatic boosts - upwards of a 35% increase - to their revenue by utilizing Frontdesk Anywhere's hotel revenue management and sales channel manager. Frontdesk Anywhere, a Hospitality Property Management System provider, is now offering functionality that ties room rates to room availability, automatically adjusting those room rates to ensure the highest possible yield.
Hotel revenue management or yield management is the art of maximizing revenue per available room. It is one of the most effective ways for hotels to increase revenues without significant financial investment. However it requires a lot of time and effort to stay on top of demand and manage ever changing rates across all distribution and sales channels on the Internet
By combining channel management with revenue management, Frontdesk Anywhere co-founder Thomas Lyle is seeing customers realizing tremendous financial benefits. "It's hard to keep up on pricing optimization," he said. "There is a growing need for a competitive pricing system that automatically updates the rates in real time based on occupancy and demand. It has to be something that goes beyond the basic 'weekend vs weekday rates and low, medium or high seasonal rates'. That's why we've merged all that information to ensure the room rate is a truly accurate reflection of occupancy and demand."
Hotel owners are finding the combination of channel management and yield management a tremendous boost. Information from all distribution channels is brought together to calculate room rates. As the room rates change, that information is immediately relayed to the various distribution channels so now there is no chance that one website will be offering a different rate to another or that people arriving at the hotel will get a different deal to what is available online. "I summarize it like this", said Mr Lyle, "Combining these systems allows you to maximize occupancy, sell rooms at the optimal price, simplify your pricing structure, and automatically update rates according to availability.
For instance, if 80% of a hotel's rooms have been booked two weeks out from a given weekend, Frontdesk Anywhere's yield management system can automatically increase rates to reflect that demand.
"Besides all that, you can adapt the system to suit your business. Not all hotels are the same and therefore yield management should not take a one-size-fits-all approach. It has to be flexible." Business rules pertaining to an individual hotel can be created using the hotel yield management software. For instance, rates can vary according to how far ahead a person is booking and how many days they intend to stay. Those rates are also calculated based on revenue and occupancy statistics, making it easier to plan an effective strategy.
Mr Lyle added: "Imagine you already use Frontdesk Anywhere everyday to manage your property. Then you discover that it has these new great features that can increase your revenue by 35% or more. That's a nice surprise".
Frontdesk Anywhere is a leading provider of innovative hotel management software for independent properties. To date, almost 1,000,000 hotel guests have had their stay managed with Frontdesk Anywhere — from the initial online booking process through arrival, onsite operations and checkout. The company is focused on converging processes traditionally performed by separate systems into a single all-in-one productivity application. All modules are seamlessly integrated within the application and accessible from any computer and most mobile devices. The company is a privately held corporation based in San Francisco, California.
For further information please visit FrontdeskAnywhere.com.