Managing Principal, ZS
Industry has been talking about moving beyond rooms revenue for decades. Concepts like Total Hotel Revenue Management have been extensively talked about, but not systematically acted upon. The pandemic forced operators to think very differently about the building, moving away from defined space usage, to a more flexible, need-based model. This forced innovation, and its (relative) success in generating revenue in difficult circumstances, will hopefully be the motivation to stop talking and start acting!
However, for this to become a true shift, the barriers that held industry back from achieving the vision pre-pandemic will still need to be addressed. Incentives will need to be realigned away from narrow function based goals like room nights generated, to more broad asset based goals like total profit or total revenue. Metrics will need to be developed that reflect these new goals. Access to more holistic data will be required, so that each de