Revenue Management for the Hospitality Industry

Book Discription

Revenue Management for the Hospitality Industry is the first text specifically developed to explore the essential knowledge and skills revenue managers in the hospitality industry need to succeed. It uses numerous real-life cases and practical examples to explain revenue management concepts, with chapter-ending questions and problems for calculation practice.

This book also features:

  • RM in Action: Real-world examples from various news outlets that clearly demonstrate revenue management principles.
  • RM on the Web: Internet resources for additional information on specific topics or issues.
    • Hands-on guidance for revenue managers to effectively handle inventory and pricing.
  • Practical examples and best practices on revenue management, a critical aspect of the industry.

Through these resources, revenue managers can gain the practical skills necessary to effectively manage their inventories and prices.

What Makes This Book Unique?

Unlike other books on revenue management, this one focuses specifically on the hospitality industry. It provides industry-specific examples and insights that are directly applicable to professionals working in hotels, restaurants, and other hospitality establishments.

Key Features:

  1. Comprehensive Coverage: The book covers both intermediate and advanced topics in revenue management, making it suitable for students at different levels of study.
  2. Real-Life Examples: The authors use realistic industry examples throughout the book to illustrate key concepts and strategies.
  3. In-Depth Analysis: Each chapter delves into a specific aspect of revenue management, providing a thorough understanding of the topic.
  4. Data Analysis Focus: The second edition includes a new chapter dedicated to data analysis and its role in revenue management, reflecting the increasing importance of data-driven decision-making in the industry.
  5. Updated Material: The book incorporates the latest trends and developments in revenue management, ensuring its relevance in today’s dynamic hospitality landscape.

Who Should Read This Book?

While primarily designed for students studying hospitality management or business administration, Revenue Management for the Hospitality Industry is also a valuable resource for:

  • Current revenue managers seeking to enhance their knowledge and skills.
  • Hospitality industry professionals interested in understanding revenue management principles and best practices.
  • Executives and managers responsible for strategic decision-making in the hospitality sector.

Whether you’re a student or a seasoned professional, this book will equip you with the insights and tools needed to navigate the complex world of revenue management in the

Book Information

Print Length

528 Pages

Language

English

Publisher

John Wiley and Sons,

Publication Date

October 19, 2010

Dimensions

5.51 X 0.77 X 8.24 inches

ISBN-10

0470393084

ISBN-13

978-0470393086

About The Author

About David Hayes

David Hayes has more than 35 years’ experience in hospitality management and education. David Hayes is the GO TO events organizer in Southeast Asia. Handling events for the likes of L'oreal, Louis Vitton Moet Hennessy (LVMH) and many other high profile brands. David's company JAND Group Co., Ltd operates throughout the region with its head office in

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About Allisha Miller

Allisha Miller has worked in the hospitality industry in a number of different roles, most recently as director of sales and marketing of a hotel and conference center. Currently, she is a professional writer and simulation developer for hospitality industry clients.

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Table Of Contents

Chapter 1:  Explanation of why an excessive internal focus on profits or owner’s return on investment is detrimental to the long-term success of a hospitality business.
2. Explanation of why businesses exist to create wealth for their
customers and how effective RM helps them do that.
3. Overview of the RM-related information contained in the
remaining chapters of this book.

Chapter 2: Examination of the concept of price from the perspective of a seller and a buyer.
2. Detailed assessment of why RMs who consider only supply and demand or costs when determining their prices will inevitably make poor pricing choices.
3. Discussion of the concept of strategic pricing and the role of the RM in it.

Chapter 3: A detailed examination of how buyers utilize personal value formulas when considering a purchase.
2. A discussion of the roles of quality, service and price in a buyer’s value formula.
3. A rationale for the use of data analysis and personal insight
when implementing strategic pricing.

Chapter 4: Detailed explanation of differential pricing; the practice of charging different prices, to different customers, for the same or similar products and services.
2. Detailed examination of the eight techniques RMs use to
applying differential pricing.
3. Review of the evolving terminology used to describe the
activities and goals of RMs.

Chapter 5: Explanation of the hard and soft supply constraints faced by RMs in the hospitality industry.
2. Examination of the legal and ethical aspects of revenue
management.
3. Presentation of the typical job responsibilities and reporting
relationships of RMs.

Chapter 6: Explanation of why collecting and analyzing data about customer demand for lodging products and services are essential when forecasting future sales.
2. Presentation of the tools RMs use to track historical, current and future demand for their rooms inventory.
3. Examination of how demand forecasts affect decisions on hotel room and services pricing.

Chapter 7: Detailed examination of how RMs optimize revenue when applying inventory management strategies.
2. Candid presentation of the pros and cons of overbooking as an
inventory management strategy.
3. Detailed examination of how RMs optimize revenue when
applying price management principles.

Chapter 8: Explanation of how distribution channels affect revenue optimization.
2. Details about the way lodging industry RMs manage nonelectronic distribution channels.
3. Details about the way lodging industry RMs manage electronic distribution channels.

Chapter 9: Detailed examination of the primary financial measures of RM performance.
2. Explanation of how to read and analyze STAR and similar reports.
3. Examination of additional RM-related performance measures and their uses.

Chapter 10: Detailed review of traditional menu pricing methods.
2. Examination of the shortcomings of utilizing only product cost as the basis for pricing menu items.
3. Overview of selected factors utilized for applying differential
pricing to foodservice operations.