{"id":579,"date":"2022-06-30T19:24:00","date_gmt":"2022-06-30T19:24:00","guid":{"rendered":"https:\/\/community.guruhotel.com\/?p=579"},"modified":"2022-07-18T23:04:47","modified_gmt":"2022-07-18T23:04:47","slug":"revenue-de-alcantarilla","status":"publish","type":"post","link":"https:\/\/community.guruhotel.com\/en\/sewer-revenue-2\/","title":{"rendered":"Revenue of &quot;sewer&quot;"},"content":{"rendered":"<p>&quot;Give me the genius promo plus the mobile plus the last minute plus the preferential one.&quot; Hoteliers wonder: is the public rate really the real rate? Or we are facing a problem that he called &quot;Sewer Revenue&quot;<\/p>\n\n\n\n<figure class=\"wp-block-image size-large is-style-default\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"684\" src=\"https:\/\/community.guruhotel.com\/wp-content\/uploads\/2021\/09\/alcantarilla-1024x684.jpeg\" alt=\"\" class=\"wp-image-580\" srcset=\"https:\/\/community.guruhotel.com\/wp-content\/uploads\/2021\/09\/alcantarilla-1024x684.jpeg 1024w, https:\/\/community.guruhotel.com\/wp-content\/uploads\/2021\/09\/alcantarilla-300x200.jpeg 300w, https:\/\/community.guruhotel.com\/wp-content\/uploads\/2021\/09\/alcantarilla-768x513.jpeg 768w, https:\/\/community.guruhotel.com\/wp-content\/uploads\/2021\/09\/alcantarilla.jpeg 1498w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<p>Clearly the scenario of online travel agencies and especially after the pandemic, is distorted in terms of rates. What years ago was something clear, transparent, with few rates and above all with parity, has completely changed.<\/p>\n\n\n\n<p>The same OTAs that years ago persecuted hotels for the famous &quot;parity&quot; are now the ones that <strong>openly promote &quot;disparity&quot;<\/strong>.<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"792\" src=\"https:\/\/community.guruhotel.com\/wp-content\/uploads\/2021\/09\/imagen-1-1024x792.png\" alt=\"\" class=\"wp-image-581\" srcset=\"https:\/\/community.guruhotel.com\/wp-content\/uploads\/2021\/09\/imagen-1-1024x792.png 1024w, https:\/\/community.guruhotel.com\/wp-content\/uploads\/2021\/09\/imagen-1-300x232.png 300w, https:\/\/community.guruhotel.com\/wp-content\/uploads\/2021\/09\/imagen-1-768x594.png 768w, https:\/\/community.guruhotel.com\/wp-content\/uploads\/2021\/09\/imagen-1.png 1293w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<p>The danger of this is that the hotelier, in his mental model, keeps thinking about the rate he is giving and <strong>not consider<\/strong> all discounts applied to that rate.<\/p>\n\n\n\n<p>Nor does it consider that the MOST amount of reservations that arrive through these channels, arrive through these discounts or routes.<\/p>\n\n\n\n<p>What are the discounts, promotions and other things that the OTAs ask us for?<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Program <strong>Loyalty<\/strong>: Genius (Booking.com), Rewards (Expedia), Passport (Take off)<\/li><li>Promotion <strong>Mobile<\/strong>: discounts for those who book by cell phone.<\/li><li>Promotion <strong>Last minute<\/strong>: discounts for those who book between 72 or 48 hours before.<\/li><li>Accelerator <strong>Position<\/strong>: the higher the commission, the better the position on screen.<\/li><li><strong>Preferential<\/strong>: higher commission for being a hotel recommended by the OTA.<\/li><\/ul>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"480\" src=\"https:\/\/community.guruhotel.com\/wp-content\/uploads\/2021\/09\/IMAGEN-2-1024x480.png\" alt=\"\" class=\"wp-image-582\" srcset=\"https:\/\/community.guruhotel.com\/wp-content\/uploads\/2021\/09\/IMAGEN-2-1024x480.png 1024w, https:\/\/community.guruhotel.com\/wp-content\/uploads\/2021\/09\/IMAGEN-2-300x141.png 300w, https:\/\/community.guruhotel.com\/wp-content\/uploads\/2021\/09\/IMAGEN-2-768x360.png 768w, https:\/\/community.guruhotel.com\/wp-content\/uploads\/2021\/09\/IMAGEN-2-1536x720.png 1536w, https:\/\/community.guruhotel.com\/wp-content\/uploads\/2021\/09\/IMAGEN-2.png 1920w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<p>Let&#039;s do an example, suppose that the rate granted by Hotel \u201cX\u201d to an OTA is <strong>USD 100<\/strong> + Taxes. And that this hotel has <strong>activated<\/strong> the discount per program <strong>loyalty, by mobile and by Last Minute<\/strong>. And that apart from that, the hotel has a commission from 18% for being <strong>preferential<\/strong> in that OTA.<\/p>\n\n\n\n<p>Rate granted: $ <strong>100<\/strong><\/p>\n\n\n\n<p>Loyalty (10% off) ($ 10)<\/p>\n\n\n\n<p>Mobile (10% off) ($ 10)<\/p>\n\n\n\n<p>Last Minute (10% off) ($ 10)<\/p>\n\n\n\n<p><strong>Gross Rate<\/strong> <strong>$ 70<\/strong><\/p>\n\n\n\n<p>OTA Commission (18%) ($12.6)<\/p>\n\n\n\n<p><strong>Net for Hotel $57.4<\/strong><\/p>\n\n\n\n<p>All this without taking into account credit card commissions, city tourism fees, and other things.<\/p>\n\n\n\n<p>The care we have to take is that <strong>more than 70%<\/strong> of the reserves at least have some of these &quot;tricks&quot;. And what what <strong>once it knew how to be opaque, now it&#039;s public<\/strong>.<\/p>\n\n\n\n<p>That is why it is KEY that hotels stop doing Revenue management thinking about the $100 Rate and start doing revenue management thinking about the $57.4 rate.<\/p>\n\n\n\n<p>Fighting with OTAs to not be in these promotions is similar to fighting with supermarkets for gondola tops or shelf locations. It is a losing battle. If we play, we must adhere to their rules. If we have to dance, we have to dance.<\/p>\n\n\n\n<p>But ... always taking into account what is under the street. We have to stop seeing what <strong>it happens in the street<\/strong> (rate of $100) to start making revenue below the \u201csewer\u201d.<\/p>\n\n\n\n<p>\u2705 We must control our competitors\u2026 below the gutter \ud83d\udd73<\/p>\n\n\n\n<p>\u2705 We must by our our Tariff Target .... below the gutter \ud83d\udd73<\/p>\n\n\n\n<p>\u2705 We must put together our income budget\u2026 below the gutter \ud83d\udd73<\/p>\n\n\n\n<p>\u2705 We must understand that <strong>direct sale<\/strong> it is the most profitable. \ud83d\udc51<\/p>\n\n\n\n<p>If we don&#039;t start to do revenue management below the gutter, what is going to end up going down the gutter is going to be the profitability of the hotel.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\"><p>Article made by our special guest: <a href=\"https:\/\/www.linkedin.com\/in\/inaki-gonzalez-arnejo\/\">I\u00f1aki Gonzalez Arnejo<\/a> \/ CEO &amp; Founder @ DOT Hotels.<\/p><\/blockquote>\n\n\n\n<p>I\u00f1aki has extensive experience in hospitality, hotel management, revenue and others. He has served as:&nbsp;<\/p>\n\n\n\n<p>Professor of Marketing and Business Strategy at the Universidad Cat\u00f3lica de Argentina.<\/p>\n\n\n\n<p>Co-founder of Funziona, a technology start-up aimed at SMEs that did not have their own IT department.<\/p>\n\n\n\n<p>Co-founder of Asesa Hotels, a company dedicated to operating and managing hotels in the Southern Cone for more than 10 years.<\/p>\n\n\n\n<p>Currently CEO and Founder of <a href=\"https:\/\/www.dot-hotels.com\/\">DOT Hotels<\/a>, chain oriented to franchise independent hotels. <\/p>\n\n\n\n<p><\/p>","protected":false},"excerpt":{"rendered":"<p>&quot;Give me the genius promo plus the mobile plus the last minute plus the preferred one.&quot; Hoteliers are wondering: is the public rate really the real rate? Or we are facing a problem that he called \u201cSewer Revenue\u201d Clearly the scenario of online travel agencies and especially after the pandemic, is distorted in [\u2026]<\/p>","protected":false},"author":10,"featured_media":583,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-579","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized"],"_links":{"self":[{"href":"https:\/\/community.guruhotel.com\/en\/wp-json\/wp\/v2\/posts\/579","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/community.guruhotel.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/community.guruhotel.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/community.guruhotel.com\/en\/wp-json\/wp\/v2\/users\/10"}],"replies":[{"embeddable":true,"href":"https:\/\/community.guruhotel.com\/en\/wp-json\/wp\/v2\/comments?post=579"}],"version-history":[{"count":4,"href":"https:\/\/community.guruhotel.com\/en\/wp-json\/wp\/v2\/posts\/579\/revisions"}],"predecessor-version":[{"id":587,"href":"https:\/\/community.guruhotel.com\/en\/wp-json\/wp\/v2\/posts\/579\/revisions\/587"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/community.guruhotel.com\/en\/wp-json\/wp\/v2\/media\/583"}],"wp:attachment":[{"href":"https:\/\/community.guruhotel.com\/en\/wp-json\/wp\/v2\/media?parent=579"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/community.guruhotel.com\/en\/wp-json\/wp\/v2\/categories?post=579"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/community.guruhotel.com\/en\/wp-json\/wp\/v2\/tags?post=579"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}