Skip to main content

Caesars Hospitality Research Summit: Panel Discussion on Revenue Management

The Caesars Hospitality Research Summit at University of Nevada, Las Vegas (UNLV) also hosted a panel discussion entitled “Emerging Trends and Issues in Revenue Management.” Overall, it was an interesting discussion, but I still have a question in mind which the panel did not address.

To me, the key concepts of revenue management include forecasting, market segmentation, room (seat or space) allocation, and price discrimination. The panel briefly covered some of those areas. One clear message I heard from the panel is that the industry is in great need of qualified revenue managers who know some hotel operations, have a general business background, possess good statistical and analytical skills and communication skills, and demonstrate leadership potential. The panel would love to recruit more hospitality students to fill in the revenue management positions, but very often, they end up hiring students with a business background. There seems to be a gap between what the industry is looking for and what training/education hospitality programs provide to the students. Overall, the panel agrees with one of our previous discussion on revenue management.

Another buzz word I heard from the panel is “social media.” As I am interested in revenue management and doing research on social media, I “must” ask the panel how they see these two concepts tie in together. I assume that the “open” environment in social media would make it more difficult to exercise price discrimination strategies. While the panel suggested that social media may help a company estimate demands and better communicate with their target customers with clearer “price restrictions,” I still fail to see how social media will directly enhance the practice of revenue management. More exactly, I have difficulty figuring out what could be the research questions if I am asked to initiate a research project that ties social media and revenue management together. If anyone comes up with a research question about social media and revenue management, please leave me a comment. I very much appreciate that.

Relevant discussions:
Revenue Management: Are You Ready?
From Yield Management, Revenue Management to Profit Management
Revenue Management: Are Your Guest and Staff Educated?
Fees: A New Revenue Stream for Hotels?
What Are Your Pricing Strategies?
What Is Your Decision in Managing Room Rates under Unexpected Circumstances?
Yesterday’s discussion on the Research Summit: Las Vegas as the Technology Hub

References:
The picture was downloaded from the UNLV Library website.

Comments

Post a Comment

Popular posts from this blog

Want a job at McDonald’s? Now, it is as easy as talking to Alexa

McDonald’s Corporation introduced the world’s first voice-initiated job application process called McDonald’s Apply Thru. Now, job seekers can initiate the job application process through McDonald’s Apply Thru by taking to either Alexa or Google Assistant.

How McDonald’s Apply Thru works
The job application process begins with the applicants saying:
Alexa, help me get a job at McDonald’s.” 
or
“Google, help me get a job at McDonald’s.”
Then, the job applicants will need to answer a few basic questions, including their name, job of interest, and the location where they want to work.
Afterward, the job applicants will receive a text message with a hyperlink that will take the applicants to continue the rest of the application process.  
Where McDonald’s Apply Thru serve
McDonald’s Apply Thru is now available in nine countries, including the U.S., U.K., Canada, Australia, France, Germany, Ireland, Italy, and Spain. It will be made available to other countries in the coming months.
Why McDona…

Is today's market too tough for upscale restaurants?

Operating a restaurant is never easy, but is it particularly challenging for upscale restaurants?

Restaurants Unlimited Inc., for instance, which operates 35 fine-dining and “polished casual” eateries, filed for bankruptcy in Delaware last week. Earlier in June, the Four Seasons Restaurant, an iconic spot for power lunch in Manhattan also closed for business after its reopening within less a year.

Are these two examples an isolated case or the tip of the iceberg? Then, if upscale restaurants are struggling to survive in today’s market, what challenges are they facing?

The rising labor cost

According to the Bloomberg report, Restaurant Unlimited Inc. hires 50 salaried employees at the chain’s headquarter in Seattle, plus another 168 full-time and 1,885 part-time restaurant workers. The rising wages in Seattle, San Francisco, and Portland have resulted in a total of $10.6 million wage expenses in the fiscal year of 2019. Nevertheless, its revenue for the year ended in May dropped 1%, at $…

Suggestive Selling – All You Have to Do is Ask!! (By Nicole Lee)

A simple, relatively normal thing occurred while in the drive-through at Del Taco with my boyfriend the other day.After placing our semi-high maintenance food order, the person taking my order, in a forced monotone voice, unenthusiastically asks, “Would you like to add our new blah, blah, blah for dessert?”All my sweet-tooth-driven ears heard was “dessert” and I wanted something sugary to complete my four-course drive-through meal. My boyfriend asked if I wanted the donut thing they were trying to push, but I ended up going with a churro.As we received our food, my boyfriend told the server, “Good job on the upsell.”In which we received the same unenthusiastic “thank you” in reply. This all led to a discussion about suggestive selling, how easy it is, how to do it correctly, and how beneficial it is.Of course, this Del Taco drive-through upsell experience did not meet our standards of how to do it correctly, but it worked!

Easy-Peasy
Both my boyfriend and I have sales and hospitality ba…