The primary objective of any hotel revenue management is to sell the right room to the right guest at the right time. Hotel revenue managers use a variety of pricing strategies in the hotel industry in order to target customers, drive more guests and thereby boost hotel performance. Depending on the goal and unique needs of the hotel, revenue managers make use of multiple pricing strategies at the same period.

In this article, you are going to explore the three most essential pricing strategies for hotel industries that can be employed to increase the revenue of any hotel industry. Let's check them.

1. Demand-based pricing
This is one of the essential pricing strategies that rely on historical and past data to review occupancy, room rates, revenue, average guest spending, and other necessary metrics. This strategy combines demand data and forecasting reports and anticipates future booking patterns to set room rates of hotels accordingly.

2. Occupancy-based pricing
It is also known as a dynamic hotel pricing strategy that continuously changes occupancy rates in a hotel. This strategy increases room rates in hotels and optimizes room rates automatically using the famous revenue management software.

3. Rate parity pricing
It is a strategy that involves the concept of keeping the room rates of hotels consistent over all platforms and distribution channels such as hotel websites, OTAs, and other hotel booking websites. This can increase the loyalty of customers as they see the same hotel rates across all platforms and may view your hotel as more trustworthy.

Get started using these best pricing strategies for your hotel industry

PricePoint offers the best-automated revenue management system that can be integrated with major hotels and airlines. The RMS has all the features that are mentioned above and can generate the best pricing strategy to increase the occupancy rate of your hotel by more than 13%.
If you want to use these effective pricing strategies for your hotel industry then click on this link and get in touch with their expert team.