Revenue Management | Case Study Report

Running Head: Management
0
Revenue Management
3/31/2020

Contents
Introduction.................................................................................................................... 2
Current practices of the hotel........................................................................................... 3
Distribution................................................................................................................. 3
Pricing....................................................................................................................... 5
Recommendations regarding distribution channels.................................................................7
References..................................................................................................................... 8

Introduction
The report is made in regards with the topic revenue management and their theory and practices
in the Park Plaza Westminster Bridge hotel that is a four-star hotel of London. This report
analyses the impact on the revenues and their customers can be evaluated. The different revenue
management practices will be implemented in this hotel. Revenue management is the
application of disciplined analytics which helps in analyzing the behavior of the consumers
which helps the hotel in optimizing their product availability and also maximize the revenue
growth. Revenue management avoids the pricing cannibalism as it maximizes the demand in the
high period and in the low demand it helps in stimulating the demand (Abrate and Viglia, 2016).
It is the long-term strategy which is used in the Park Plaza hotel so that they can consider all the
revenues in their profitability and in the high demand period also they can sell low rates. In this
report the market conditions will be evaluated and then inventory control tactics, pricing
strategies and then customer value assessment will also be evaluated. The selected hotel can
achieve the sustainable financial success by making the appropriate management decision.
In this report the several outcomes will be assessed such as different tools and techniques will be
applied so that effective decisions can be made in the revenue management (El Haddad, 2016).
The importance of the distribution and pricing in the revenue management applications are
evaluated and the applications of the revenue management are applied in the Park Plaza
Westminster hotel so that they attain more profits by increasing their revenues. There are several
revenue managements issues also which will also be addressed in this report.