Revenue Management Flashcards
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How do you come to EBITDA
We come to EBITDA by taking the operating income EBIT + the D&A amount two large non cash account.
What do you see in EBITDA?
We want to see how is the company profitability before the effect of capital structure.Or what is the company ability to generate profit and cash flow from company activities.
What is revenue Mgmt?
Revenue Management is how you analyse and predicts consumer behaviour to optimise room availability and rate to maximise revenue growth.
What’s the aim of RMS?
The primary aim of a revenue management strategy is selling the right product to the right customer at the righit time for the right price.
From where did revenue management derive?
Revenue management has developed from yield management and market analysis.
What are the two types of algorithms in Revenue Mgmt strategy?
1-Capacity control like airline 2-Dynamic pricing ( you build an algorithm and search thru data out & it comes back and suggests a price that you should be selling you rooms at . Hence the RM evaluates and suggest a sell rate and how people react.
What are the three ultimate goals of any hotel?
The ultimate goal of each hotel is to generate more revenue & achieve high guest satisfaction, and high rank vs. competitors.
What is it like managing the hotel revenue now?
Managing revenue for Hospitalty is nothing like it used to be. This is a customer driven market where optimal pricing is like a moving target. You need to have your strategy perfectly dialled in to win.
What are the strategies for today’s buying behaviour?
Strategy for today’s buying behaviour; your forecasting and pricing strategies might be outdated comparing to tools and strategies available to you today.Consumer behaviours, mobile technology and purchasing patternsrapidly evolving.
Who is the Revenue Manager?
Few years back, the revenue manager job consisted of collecting and compiling data into Excel spreadsheets, analyzing the data to identify trends and making a decision about hotel rates. Now it’s an incredibly complex process that involves online travel agencies (OTAs), mobile marketing, hyper-interactive consumers, and direct competitors.
How do you define Revenue Management?
Revenue Management is often defined as selling the right product, at the right time, to the right person, at the right price. It’s as a set of goals and tactics that aim to result in an increase in revenue.
What do you achieve with RM ?
With RM, you see more revenue uplift and most of the time they are simple, scientific and strategic; because 100 of proven analytical models run beneath the surface to better understand the guest behaviour
