PDR201: Analyzing Product Distribution & Revenue Management at Hilton

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Added on  2023/04/24

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This report provides an overview of product distribution and revenue management, focusing on the Hilton Hotel. It identifies key skills for revenue managers, describes distribution channels like Online Travel Agents (OTAs) and the hotel website, and discusses emerging trends such as improved technology and sustainability in the hospitality industry. The report also analyzes Hilton's current strategies, including segmentation and premium pricing, and suggests communication methods with stakeholders like shareholders and customers. It concludes that revenue management is crucial for Hilton's profitability and operational success. Desklib is a platform where students can find more solved assignments and study resources.
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Product distribution
and revenue
management
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introduction
Revenue or yield managers ensure that the assets of a particular
hotel are rented at the best prices.
Some of the skills of revenue managers include relationship
management, analytical skills and technology skills. (Cetin,
Demirciftci & Bilgihan, 2016).
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Distribution channels
Online travel Agents. (OTA)
Some of the common OTAs in the hotels and hospitality industry are
Expedia, Booking.com, Priceline.com, and Orbitz.com.
The hotel Website
It is the use of hotel website to attract direct booking
The cost of maintaining the website is relative low after paying the
initial setup fees. (Bethapudi, 2013).
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Trends in hospitality industry
Improved technology
The increase use of internet by the consumers has given rise to
Online channels.
study indicate 50 percent of hotels plan to increase their online
network in 2019 (Schuckert, Liu & Law, 2015).
Adopting sustainability and corporate social responsibility
Sustainability has increasingly become important in travel and
hospitality industry,
consumer are concerned with healthy living
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Strategies of Hilton hotel and
stakeholder communication
Overview of the current strategies
In its segmentation strategy, Hilton Group segments its services in its
product mix such as gym, spa, and hygiene factors.
The hotel group uses premium pricing strategy.
Stakeholder communication
I would use reporting to communicate to shareholders
I would communicate to customers through public relations and
marketing.
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conclusion
Revenue management is an important function of the Hilton hotel.
It facilitates the acquisition of profit and collection of finances that
facilitates the day to day running of the hotel.
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references
Bethapudi, A. (2013). The role of ICT in tourism industry. Journal of
Applied Economics and Business, 1(4), 67-79.
Cetin, G., Demirciftci, T., & Bilgihan, A. (2016). Meeting revenue
management challenges: Knowledge, skills and abilities. International
Journal of Hospitality Management, 57, 132-142.
Schuckert, M., Liu, X., & Law, R. (2015). Hospitality and tourism online
reviews: Recent trends and future directions. Journal of Travel &
Tourism Marketing, 32(5), 608-621.
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