Let's define first.
Revenue Management is selling the Right
Yield Management focuses primarily on maximizing revenue through analytics-based inventory control in balancing
MTEL's blended approach to Revenue/Yield Management model follows the same principals to develop a model for a specific hotel asset through extensive research and analysis including:
The MTEL Revenue Management model increases the revenues through four primary controllable variables:
Pricing: MTELdevelops disciplined pricing strategies that closely follow market conditions and demand, especially at a segment level. The model creates pricing tools that change frequently to optimize variables such as price sensitivity, price ratios, and inventory to maximize revenues.
Inventory: MTEL focuses on controlling room inventory and allocate optimum pricing overcome weak/strong demand and gain market share. Of course, MTEL never establishes a price point which is less than the marginal cost.
Marketing: Through its marketing efforts MTEL establishes a long term base business, although at a sub market price, by offering special price to SMERF groups, tour bus/coach, airlines crew etc
Channels: MTEL Revenue Management model strategically drive revenue through different distribution channels keeping in mind customers with different price sensitivities. The model establishes appropriate inventory and discounts to online travel agencies such as Expedia, Hotels.com, Priceline, Orbitz, Travelocity, Hotwire etc.