Excepted from HSMAI’s Best Practices Guide: Data Analytics — Hospitality Sales and Revenue Management.
CHALLENGE: When analyzing whether a piece of group business was successful, there’s so much data available that it’s easy to get lost in specific metrics.
SOLUTION: The Kessler Collection takes a wide-angle view. Start with the STAR: Did the entire period work out positively, even if shoulder days declined from taking business? Compare that to your total market and competitive set’s performance that week: Could you have been more aggressive if it had been a high-demand period? Factor in F&B and other ancillary categories that aren’t on the STAR: From a net-profit standpoint, did that revenue make up for any rooms lost? Review groups you lost or turned down for that same period: Was there something better you could have taken? Identify your underperforming channels/segments in comparison to your competitive set’s segmentation and groups. Throughout this process, maintain good relationships with other hotels in your market, so you can find and share relevant information that isn’t covered in your reporting.
RESULTS: This approach allows you to be proactive instead of reactive — especially for group business with a longer booking window.
TAKEAWAY: “It’s not about the value of the business, it’s about the profit that it will bring to the hotel.” — Monika Morrobel, Corporate Director of Revenue Management, The Kessler Collections