Return to our Home page Search
Click here for the hotel and hospitality news from around the globe Hotel, Travel and Hospitality Articles Videos and in-depth Interviews
Read more now
Read more now
Read more now
Why Hoteliers Should Relook Their Distribution Strategy?
By Mike Kistner
Friday, 28th March 2014

Exclusive Feature: With online distribution becoming an important source of room bookings, hoteliers are increasingly adopting this model, however they are also confronted with the complexities in the distribution environment.

Manual update of inventory on the electronic distribution channels, manual update of the bookings into the property management system not just when the booking is received but for each and every modification or cancellation.

Typically the industry average is around 1 modification for every 3 bookings, and at that rate you can think of the number of the tasks that need to be performed at your property management system so as to not miss out on any of the guest requirements.

And just when you think youíve done it all, there comes another modification to the original booking!† Things just get messier.

And oh did I forget the cancellation that just came in! So you are perennially updating the system, facing embarrassing moments with guests when their changes are not recorded in the system, and not selling a room that should have been because it was cancelled. Well thatís the complexity.

So how do we simplify this?††

In a real-time distribution model your hotel is connected real-time- two way to the electronic distribution channel.

What happens then? Your inventory and rates automatically flow to the channel, you of course can decide how many rooms you want available for sale on each of the channel. No more manual update of inventory on the channelís extranet! How about the bookings coming in from the channels?

They just flow into your property management system, simple. And so does each and every modification and cancellation. The RezNext distribution model is real-time and is currently helping hundreds of hotels distribute their inventory and rates real-time.

A successful distribution model needs to be powered with revenue management intelligence.

Distributing your inventory real-time cuts the complexity which is great, but how do you now power your distribution to result in improved revenues. How do you arrive at the rates at which to sell? Is there a science backing your strategy?†

Determining what room type you want sold on what channel and at what rate, is not simple. An advanced revenue management solution that is tightly integrated with your property management solution can access historical data and churn out accurate forecasts which then hoteliers can use to establish the selling strategy with all distribution channels. You are now in a position to understand the best rate at which your hotel can sell given your forecast and previous history of bookings.

An integrated revenue management solution also incorporates competitor rate information fed in from a rate shopper solution and can then deliver both demand based and competitor based best available rate so you are ready at all situations to maximize REVPAR.

Adopt a real-time distribution model that is powered by revenue management intelligence to simplify your distribution process and to maximize revenues.

The article is authored by Mike Kistner, Chief Executive Officer, RezNext Global Solutions, Pvt Ltd. RezNext is a leader in providing real-time hotel distribution technology. You can write to the author at

Advertise with ...[Click for More]

~ Important Notice ~
Articles appearing here contain copyright material. They are meant for your personal use and may not be reproduced or redistributed. While 4Hoteliers makes every effort to ensure accuracy, we can not be held responsible for the content nor the views expressed, which may not necessarily be those of either the original author or 4Hoteliers or its agents.

Learn more about DigiJames - in room technology
 Related Articles  (Click title to read)
Selling Online: OTAs or Hotel Websites?
Supercharge Your Hotel Revenue After Rebranding.
Four Marketing Performance Management Resolutions for 2014.
Expedia's Top Five Conversion Tips.
 Latest News  (Click title to read article)
IRENA and UNWTO to promote renewable energies in Islands' tourism sector
Tuesday, 2nd September 2014

Foreign GDSs gear up for the much-awaited opportunity in China
Tuesday, 2nd September 2014

IHG announces a Holiday Inn Resort for Pagosa Springs, Colorado
Tuesday, 2nd September 2014

2015 Global Travel Price Outlook
Tuesday, 2nd September 2014

New global certification for handling cold-chain pharmaceuticals freight
Tuesday, 2nd September 2014
 Latest Articles  (Click title to read)
Ctrip Asserts Supremacy with its Performance, Gears up for Deeper Penetration
Tuesday, 2nd September 2014

Much Ado about a Review
Tuesday, 2nd September 2014

Accountability: A Dying Concept?
Tuesday, 2nd September 2014

12 Content Ideas for Your Hotel's Blog
Monday, 1st September 2014

Global Update: Who's Where and Doing What - August 2014
Monday, 1st September 2014
 Most Read Articles  (Click title to read)
Global Update: Who's Where and Doing What - June 2014
5 Social Media Trends to Embrace this Year
Global Update: Who's Where and Doing What - May 2014
Top Ten Things Luxury Guests Want!
Millennials Seek More Value from Luxury Hotels

© Copyright 4Hoteliers 2001-2014 ~ unless stated otherwise, all rights reserved.
You can read more about 4Hoteliers and our company here

Use of this web site is subject to our
terms & conditions of service and privacy policy