6 Tips for Harnessing the Power of your Data
How do you know you are doing something right if you cannot measure it?
Data analysis can help you measure and make accurate, fast and effective decisions that will impact your bottom line.
We have always had data, lots of hotels and chains have used this data for decades, but the process was all very manual and spreadsheet based. It was time consuming to put together and often was ‘old data’ when being reviewed. We are now at the stage where we have the benefit of speed and efficiency, as Revenue Management Systems (RMS) have delivered software platforms that are easy to use and have the ability to bring information together into one easy to use system for hotels to use. The ability for us to work faster and adapt quicker gives hotels a competitive edge that they never had before.
Aspire to be the Best
To be the best you have to make decisions based on accurate data. Not just internal data but also external data. Let’s face it, our “gut instincts” are not always right. We need to ensure we are using facts and not opinions to make decisions that impact on our RevPAR and ultimately our bottom line.
To be the best you must have a way of viewing and analysing results in real time.
Good Work Practices
The power of data involves analysis of the data you have available, and when it comes to hotels this means your Business Mix or Market Segments. Some properties don’t see market segments or source of business tracking as important but when used correctly they can open up a huge bank of information that can help make your rate yielding and decision making quicker and more straight forward. The accuracy of the imputing of reservations is key to getting accurate results out of your PMS. If you haven’t done a review of your work practices recently, make this top of your priority list. Your team may need retraining on reservation entry accuracy or some mentoring/coaching on this topic.
Using the private and public data that’s available to you as a hotelier will give you a competitive advantage. Having a team around you with the ability to understand the results and make effective decisions is imperative. If you don’t have the resources onsite to do this, you can reach out to Revenue Consultants that can help you understand your data. At Rate Wise we offer Revenue Management Consultancy and if you would like to learn more please send us an email to [email protected]
As we know the Hotel industry has not made great headway with our PMS products – they have focused on developing their core product. Hotels use multiple software platforms to manage many pieces of their business. A good RMS will merge many reports into one platform and should include at the very least some of your PMS data, your yield strategy as well as your budget or forecasted revenue so you can benchmark your performance. If you don’t use an RMS and are curious about how they work but aren’t able to commit fully at the moment, you can sign up for a free trial with Rate Wise here.
Better Time Management Practices
We are all time poor so having a system in place that reduces manual labour by your revenue or reservations team and affording them time to review and analyse the results is the goal. From there they can get their creative side involved in amending rate and sales strategies to drive your business forward.
This is what is needed… more time for analysis and decision making… less time for manual inputting.
Harnessing this Power and Sharing the Power of the Data with your Team
It’s one thing to have the data, another is to use the data to make decisions. It is just as important to share the data with your Owners, Sales and Marketing team and Front Office team, working collectively extends the value.
When it comes to analysing your data, the “Knowledge is Power” statement really does apply in this instance.
In summary, accurate data, correct analysis of this internal and external data and faster and more accurate decision making will give your property a competitive edge, leading to better results for your property. If you don’t have an RMS in situ to help you achieve this, please reach out to us at Rate Wise. We have the software to help you deliver these results. If you don’t have the manpower or the team members to analyse these results and implement changes, our Revenue Consultants can help you with short term 6-month contracts or longer-term contracts. Reach out to Liz at [email protected] if you have any questions or would like to arrange a demo.