What are the key factors that influence demand fluctuations in your industry?

2 How does yield management work?

Yield management works by applying different pricing and allocation strategies based on the expected demand and supply for each product or service. For example, you can charge higher prices for peak periods, such as weekends or holidays, when the demand is high and the supply is low. You can also offer discounts or incentives for off-peak periods, such as weekdays or low seasons, when the demand is low and the supply is high. You can also segment your customers based on their price sensitivity, booking behavior, and loyalty, and offer them different rates and benefits accordingly. You can also distribute your inventory across different channels, such as online, direct, or third-party, and adjust your commissions and fees accordingly.

3 What are the benefits of yield management?

Yield management can help you increase your revenue and profitability, improve customer satisfaction and loyalty, enhance your competitive advantage, and optimize your operational efficiency. By utilizing yield management, you can capture more value from customers, offer them more choices and flexibility, differentiate your products and services from rivals, create a strong brand image, manage inventory and resources more effectively, and reduce waste and overbooking.

6 How can you learn more about yield management?

If you want to learn more about yield management and how to apply it to your business, you can explore a variety of resources, such as books and articles, online courses or webinars, professional associations or networks, and experts or consultants. For example, Revenue Management: Hard-Core Tactics for Market Domination by Robert G. Cross and The Cornell School of Hotel Administration on Hospitality: Cutting Edge Thinking and Practice by Michael C. Sturman et al. are two books on the subject. Additionally, Introduction to Revenue Management for the Hospitality Industry by ESSEC Business School and Yield Management: The Right Hotel Room Pricing by EHL are two webinars available on the topic. Furthermore, the International Association of Revenue Management (IARM) and the Hospitality Sales and Marketing Association International (HSMAI) are two professional associations connected to yield management. Finally, Revenue Analytics and IDeaS are two consultants who specialize in yield management.