Today's Revenue Management thought:-

Hotel price dumping in hopes of stimulating sales often only leads to failure & more misery !

Hotel price dumping is not a successful pricing strategy in periods with low demand.

While this strategy can be successful during periods with high demand, it is not a successful pricing strategy in periods with low demand. This is because when there is low demand, customers are already expecting lower prices, so reducing prices further does not have a great impact on stimulating sales.

Additionally, if the price is too low, customers may be wary of the quality of the hotel and not be willing to book. This strategy can also lead to a decrease in customer loyalty as customers may wait for the next price dump and not be willing to pay regular prices.

Furthermore, it will lead to a decrease in revenue as hotels are not able to make up the difference in price with increased sales volume.

Finally, this strategy can lead to a decrease in profit margins as hotels are not able to fully recover their costs when they reduce prices.

Have a profitable week.

✌🏼