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Man Checking into Hotel Front Desk

The Essence of Commercial Strategy: Asking the Right Questions to Grow Profit Contribution

The purpose of commercial strategy is to streamline revenue generation efforts and be effective in capturing the highest profit contribution available with the least investment possible. To execute this successfully, the commercial strategy team has to focus its limited resources on the highest value activities by surgically targeting opportunities based on the highest profit contribution.…

Optimal Business Mix

The Value of Optimal Business Mix

Based purely on a cost-per-channel assessment, a hotelier might think that he or she should fill their hotel only with bookings from Brand.com with its high profit margins, but most hotels fill up with a mixture of demand from all channels, some from direct channels and some third-party channels. Most hotels have traditionally managed segment…

handing credit card

Loyalty and the Benefits of Booking Direct

Loyalty plays a key role in the foundation of any successful business and is certainly a variable in a large portion of the hotel industry. Whether it is a formal, point-based redemption program in a large chain, or one in a smaller brand or hotel that inspires repeat usage because the product or service is…

HSMAI Commercial Strategy Week

Staying Ahead of the Game: Insights from HSMAI Commercial Strategy Week and HITEC 2023

The hospitality industry continues to evolve at a rapid pace, with the advent of new technologies, changing consumer behaviors, and the rise of new players in the market. In order to stay ahead of the game, hoteliers need to keep up with the latest trends and strategies. This is where conferences like HITEC and HSMAI’s…

Direct hotel booking online

Unpredictable Forecast: The Impact of Short Booking Windows and Cancellation Rates in 2023

Through April 2023, 59% of actualized reservations across the U.S. have had a lead time of less than 7 days prior to arrival, with just 29% booking more than 15 days in advance. Shorter booking windows indicate travelers are still making short-term decisions about their time away from home. The flexibility of work from home…