Hotel's Room Revenue Management Strategy and Key Performance Summary

This document discusses the business climate of Birmingham, the hotel chain and category chosen by Marriott for its new hotel, intended market segments, room pricing policy, and distribution channels strategy.

HOTEL'S ROOM REVENUE
MANAGEMENT STRATEGY
AND KEY PERFORMANCE
SUMMARY

Table of Contents
PART-A......................................................................................................................................................3
Explaining the business climate of Birmingham..........................................................................................3
Examining what hotel chain and category have been chosen by Marriott to open it new hotel...................3
A-Intended market segments...................................................................................................................4
B-Room pricing policy of proposed hotel................................................................................................4
C-Distribution channels strategy of hotel proposed.................................................................................5
REFERENCES............................................................................................................................................6

PART-A
Explaining the business climate of Birmingham
The business climate of the city it's very unique from the other cities as it is known as
manufacturing an engineering center which is around one like people in the industry and
contributing billions of pounds to the national economy. It is known as the twelve largest cities
in UK. It has different factors that include property market activity, salary levels, disposable
income growth, boast of living, employment rates and life satisfaction (Altin, 2017 ). They have
different facilities for tourism and hospitality industry as they provide International Convention
center and national exhibition center in the area that accounts for 42% of exhibition train and UK
conference. It is unique culture as compared to other circles which also result in attracting large
number of visitors. It also has beautiful view and venture along with this it also has good
sporting. The climate is good for business because with mild temperatures and cold evenings is
the best to visit the city.
Examining what hotel chain and category have been chosen by Marriott to open it new
hotel
The hotel chain and category that will be provided by Marriott Hotel is they have adventure
amusement park Anne golf trail along with the indoor pool great for splashing with the kids. The
Marriott great room have flexible setting and space which are designed in contemporary style
they also have coffee bar that was served by Starbucks along with chef crafted menus of different
is small plates and pours. Along with this they have different hotel chain as it is operated in
different countries. The hotel also has to face there is competition for its growth in the tourism
and hotel industry along with the number of recommended bedrooms of Marriott are 300. They
also have comfortable breeding with full flat screen LCD and economic workplace spaces
(Alrawadieh, Alrawadieh and Cetin, 2021). They also have even facilities for different occasion
whether it is meeting or wedding they have certified wedding planner which create flawless
event

Describe and justify the following
A-Intended market segments
The market segments all Marriott Hotel is that they have divided their customers according to the
needs and bonds of the consumer that are related to their purchasing power and expectations of
them. The hotel believes in hosting services latest related to customers and to cater all the sorts
of segments in the market. The reason is that the policies and strategies that are made by the
company are very flexible and comfort for both his employees and customers. Mainly the market
segment of company is based upon the customers who want luxury hotels and demands for high
comfort. The services of the company are very expensive because of that they have to target the
customer who has rich expectations and all the policies and strategies of the hotel are made on
this basis. The other segment of hotel is that they want rich and luxurious customers who want
luxurious ventures, site, suits, beautiful view, private portions and exotic food (Zheng, and
Forgacs, 2017). Brother market segment of the hotel believes in targeting the customer who
belongs to the local communities that are the customers but they don't look for any type of
accommodation. They want only one type of accommodation latest to look forward to the other
types of services that are provided by Marriott Hotel.
B-Room pricing policy of proposed hotel
Marriott hotel has maintained his image in the way of premium hospitality brand. The company
is following pricing policy along with this it will also reflect the brand portfolio which contains
21 premium and luxury brands that is from 30. For it growing competition Marriott hotel has
also introduced reward systems and different types of programmers to attract and retain large
number of customers. The company has offer different types of deals and discounts to its regular
which help them make profits and success. The market sectors of Marriott Hotel or track white
area of target markets that are business travelers, budget shoppers an elite spenders to family
vacation. Along with this they have also uniquely created their brand name that is to satisfy the
needs and wants of their customers and every client. They also offer different spa packages,
conventional opportunities and couple retreats along with hotspot weekends and made it also
arranges the tour to attract local customers. Sometimes the pricing policy of Marriott hotel also
depends upon its competitors that it at the time of season also they offered different discounts at

the time on events so that they can attract large number of customers. The employees of the hotel
know very clearly how to connect with the customers in good and better manner which will
result in attracting them as they are getting good services along with hospitality (Nair, 2019).
C-Distribution channels strategy of hotel proposed
The distribution channel off Marriott he’s about connecting through its customer by using central
reservation system an along with distribution electronic channel of communication. The support
system of the Marriott Hotel is the main operation of the company. In this current market of
tourism and hospitality industry the Marriott Company is growing and developing its business
because of its inventory system that is related to distribution of infrastructure. The distribution
channel of Marriott Hotel have different type of additional activities and abilities that also helps
the company to increase it speeds that is related to sales and market and reducing the overall cost
of the company. The hotel also use channel mix which is important for hospitality organization.
Which is related to that there should be a mix of third-party channel and direct channels (Vies,
Jacob and Payeras, 2018)? Each and every cent that is used by hospitality industries has its own
advantages and disadvantage along with different costs. For changing his strategies deleted to
distribution channel first hotel analyzed which is the best distribution channel for their
organization and then they apply by using different steps. The hotel uses both direct and indirect
method or is distribution channel. The indirect channel that is used by the Marriott is related to
project through business with the help of online parties, travel agencies an wholesaler what
available on the Internet.

REFERENCES
Books and journals
Alrawadieh, Z., Alrawadieh, Z. and Cetin, G., 2021. Digital transformation and revenue
management: Evidence from the hotel industry. Tourism Economics. 27(2). pp.328-
345.
Altin, M., 2017. A taxonomy of hotel revenue management implementation strategies. Journal
of revenue and pricing management, 16(3), pp.246-264.
Nair, G. K., 2019. Dynamics of pricing and non-pricing strategies, revenue management
performance and competitive advantage in hotel industry. International journal of
hospitality management, 82, pp.287-297.
Vives, A., Jacob, M. and Payeras, M., 2018. Revenue management and price optimization
techniques in the hotel sector: A critical literature review. Tourism economics. 24(6).
pp.720-752.
Zheng, C. and Forgacs, G., 2017. The emerging trend of hotel total revenue
management. Journal of Revenue and Pricing Management. 16(3). pp.238-245.