A good Average Daily Rate (ADR) is every hotel owner’s dream. It shows your hotel is doing well and helps keep your business on track.
So, how exactly can you increase your ADR to realise remarkable returns?
To that end, we have compiled a few tips to help you improve the ADR and occupancy rates of your hotel.
Effectively Manage Your Hotel’s Reputation
Today, most travellers look at hotel review sites like Tripadvisor and social media platforms before making any booking decisions.
Subscribe to our weekly newsletter and stay up to date
A well-maintained online reputation will help inspire customer loyalty and likely bring more business.
Naturally, offering the ultimate customer experience goes a long way in building an excellent reputation for your hotel. However, adopting a more hands-on approach to improve your hotel’s reputation might do the trick.
For instance, offering coupons, discounts, or upgrades should give your guests the nudge to leave positive feedback on popular review sites.
Know Your Competition
Most hoteliers keep an eye on their competitors as a general rule.
With today’s technological advancements, you can always rely on Artificial Intelligence to monitor your competitor’s rates and adjust yours accordingly.
However, as much as knowing your competition helps you stay ahead of them, always keep in mind what’s best for your hotel.
Offer Targeted Packages and Promotions
Whether it’s more comprehensive packages or offers tailored to their needs and preferences, travellers often look for the best deal.
A package that covers the whole tour and is carefully tailored to the traveller’s taste offers the ultimate customer experience and is likely to attract more buyers. As a result, your hotel’s average daily rate (ADR) and occupancy rates are likely to rise.
Offer Discounts on Extended Stays
Most out-of-towners look to immerse themselves in the city’s culture and history to get a more intimate feel of a new place.
Keeping in mind that they might stick around a little longer, offering your guests a discount on their third or fourth night’s stay would attract more customers, ultimately resulting in better occupancy rates.
Use an Effective Revenue Management System (RMS) to Manage Rates Efficiently
Most hoteliers use revenue management (RMS) software to determine the best prices for their rooms.
An efficient revenue management system will typically use your data, complex algorithms, and supply and demand data to determine optimal room rates.
Essentially, it’s supposed to help you make informed business decisions, translating into better ADRs and occupancy rates for your hotel.
Consider using a reputable revenue management system to effectively manage your rates and beef up your profit margins.
Leveraging the Power of Big Data to Boost Hotel Revenue
An effective revenue management system uses cutting-edge algorithms that employ machine learning to analyse tons of data and suggest the best possible rates for selling your rooms.
It should be able to monitor your competitors’ performance and rates in real time from a centralised dashboard, which makes it a lot easier to adjust your rates across all your distribution channels and to stay miles ahead of your competition.
It’s even better if it also includes group displacement features that calculate displacement costs accurately and let you choose the most profitable booking options for your hotel.
The Lybra Assistant RMS offers cutting edge revenue management functionalities designed to make revenue managers’ and hotel owners’ everyday work easy and effective.
It’s an all-in-one revenue management tool offering dynamic room pricing, group displacement analysis, rate shopping, gap analysis, flight searches data, a booking engine and last but not least an insightful statistics and marketing overview dashboard.
Click here to book a free Lybra Assistant RMS demo today and use it to easily improve your hotel’s adr and ccupancy rate!
The post How to Increase Your Hotel Average Daily Rate and Occupancy Rates appeared first on Revenue Hub.