Today's Revenue Management thought:-

Budget season is in full swing, and this week I will be highlighting some thoughts on budgetting (part 1)

Creating a revenue-focused hotel budget is essential for effective financial management and long-term success in the hospitality industry.

This is a dynamic process that requires collaboration among various departments within your hotel, such as sales, marketing, operations, and finance. It should be a living document that guides your decision-making throughout the year and helps you adapt to changing market conditions.

Gather Historical Data and Market Research

• Start by analysing historical financial data from previous years to understand revenue trends and patterns. This includes occupancy rates, ADR (Average Daily Rate), RevPAR (Revenue Per Available Room), and other key performance indicators

• Conduct market research to assess the current and future demand for hotel services in your area. 

• Consider factors like local events, tourism trends, competition, and economic conditions that may impact your hotel's revenue potential.

Have a profitable week !

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