Do you capture your fair share of the market?

When you leave money to the competition you make them stronger

Many hotels think that they capture their fair share or more than their fair share of the market when looking at benchmarking data. The figures are often misleading since they are accumulated over time and do not show the necessary granularity.

Is your hotel better or worse than other hotels to capture the demand on any given day, week, month or year? Once you have benchmarking data, you can get an answer to this question and can create a strategy on how to capture at least your fair share of the market every single day.

If hotels leave money on the table, competitors reach higher revenue and better profitability, so they can invest and improve their rooms and other facilities. Long-term, this creates a positive spiral for the competitors and for your hotel it leads to loss of guests, revenue and profits.

Common problem root causes

  • No reliable benchmarking data.
  • Difficult to find and analyze patterns
  • Lack of understanding why the hotel is not reaching its potential
  • Incorrect strategic and tactical decisions were made earlier, as these were based on inadequate facts.
  • Lack of knowledge of which activities should be carried out to reverse the negative trend

How you can fix it

  • Identify periods and days where the hotel systematically performs worse than the market.
  • Analyze segment mix and rate strategy that the hotel had on days with a high RGI and compare with days with a low RGI.
  • Examine whether you have guidelines and if these have been followed.

Hotel St Clemens increased market share

“With Demand Calendar, I got the insight that my rate was too low even on my best days of the year. Since then, I have increased room revenue solely by a higher rate, which means that my profit has increased substantially.”

Carl von Schulman
Owner / General Manager

Want to know how well you capture demand in your local market?

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