Understanding how your room rates compare to other hotels in the market is an important and easy way to gain a competitive advantage. However, doing this manually is a time consuming and laborious task for any hotel. That’s why technology is often the best and most accurate way to compare prices between your hotel and your local competitors.
Here are five reasons why your hotel needs a room rate comparison tool in 2018:
You can understand the demand for your rooms among your target markets
You can see at a glance when your hotel rooms are in highest demand, and when you typically experience less bookings. This information allows you to create a hotel room pricing strategy to maximise your profits year-round.
When you use a hotel pricing comparison tool, you’ll gain valuable insight into the local market.
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Hotel business intelligence highlights how you measure up to your competitors
Ultimately, the main purpose of a room rate comparison tool is to do just that — provide you with valuable information about what other local hotels are charging for their rooms. With this information on hand, you can make slight adjustments to your rates that may give you a competitive advantage in the market.
It provides accurate, instantaneous data to help determine hotel room pricing
A room rate comparison tool not only showcases the most recent information about room rates in the surrounding area, but also collects data and gives you the opportunity to generate reports. These reports will provide information about room rates and hotel room pricing trends that are taking place in your destination and across the industry. With these reports in hand, you can make informed decisions about when you need to raise or lower your room rates.
It notifies you of rate changes in the market
Notifications serve as instant reminders when there are changing trends in the market. The best part is, you have the ability to determine your own rules for when you should be notified of these updates. This means your room rate comparison tool is going to work to the advantage of your specific property, allowing you to accommodate local demand and competition within your specific market.
It simplifies the forecasting process
Forecasting can be an overwhelming and cumbersome process, even for the most experienced hotel operator. Given this fact, you may opt to avoid forecasting for fear of making mistakes. With the right room rate comparison tool, however, long-range forecasting is much easier.
By looking into the future using real-time data, you can create a hotel room pricing strategy that increases direct bookings and boosts revenue.