In today’s dynamic world of hospitality, hotels are constantly trying to find effective ways to stay ahead of the competition. They have several day-to-day challenges to complete and one such task for hotel revenue managers is keeping the price on top of the competitors. The real-time rate shopping makes you stay ahead of the competition.
A good hotel rate shopping attracts guests, provides valuable insights into competitors’ prices, and helps in effective revenue-management.
In this blog, let us see how real-time rate shopping helps hotels stay competitive.
Table of Contents
What Is Rate Shopping For Hotels?
A rate shopping is a software tool which is used to monitor and compare the prices of competitors in real-time, and provides their valuable insights about pricing strategies. It extracts data from multiple channels like direct booking systems, OTAs, or other distribution channels. It gives a clarity about the rate comparisons on every channel. It improves your pricing skills and enhances your visibility for guests who are looking for the best prices. The hotel rate intelligence attracts more bookings and improves revenue as it places your property at a better price point.
One of the trusted tools for this is RateGain. It helps hotels check and compare competitor prices easily. This way, hotels can set better prices and stay ahead in the competition.
Why Is Real-Time Rate Shopping Helpful?
Real-time rate shopping is helpful in maintaining competitive pricing in the hotel industry. As hotels change their pricing daily or even number of times in a day, the market needs to adjust to these changes. That is why rate shopping is important to manage your pricing ahead of the competitors.
How Real-Time Rate Shopping Helps Hotels Stay Competitive?
The ways how real-time rate shopping helps hotels stay competitive are as below:
- Optimizes Prices:
Rate shopping analyzes the competitor pricing and allows you to set competitive rates. Rate shopping helps you to improve your revenue without sacrificing occupancy.
- Identifies Pricing Gaps:
It allows you to increase prices without losing your market share
- Avoid Rate Wars:
It constantly monitors competitor pricing and minimizes conflicts of unnecessary or accidental price competition.
- Improve Forecasting:
It allows you to study competitors’ price changes to know fluctuations of demand and adapt your pricing.
What Are The Benefits Of Hotel Rate Shopping?
The benefits of hotel rate shopping are:
- Benchmarking Capabilities:
Comparing your rates with competitors in your area lets you know your position in the market. It allows you to find your weaknesses and strengths and lets you set goals to optimize your pricing.
- Pricing Strategy Optimisation:
By knowing market demand and competitor pricing, you can change your pricing strategy to improve your revenue.
- Better Revenue Management:
You can improve your revenue management by knowing real-time market demand. It also helps to improve occupancy and profit rate.
- Maintaining Rate Parity:
Regular rate shopping also helps you to see how your pricing is being shown across various booking channels. It helps to notice discrepancies and adjust the price to maintain consistency.
- Enhancing Guest Experience:
By having proper market knowledge, you can manage your pricing that helps in conversions. It improves customer satisfaction. It saves your time and lets you focus on other tasks to stay ahead of the competition.
Conclusion
In this busy world of hospitality, it is always important for hoteliers to stay ahead of the competition. But how to achieve it? It can be possible with rate shopping which by analyzing the competitor price lets you improve your pricing strategies and stand out in the competition.
This guide shares the knowledge of how real-time rate shopping helps hotels stay competitive.
