Revenue Management Key Terms
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Revenue management key terms. Revenue recognition is one of the most important aspects of revenue management because it s so closely linked to a company s valuation. Here is a glossary of terms to get you started and if you re looking for even more register and download this white paper a beginner s guide to. We often talk about a more comprehensive revenue strategy but before you can get there you need to understand effective revenue management which encompasses segmenting forecasting and pricing. Revenues generated by sources other than group rooms and banquets such as exhibitors and associated vendors.
Providing gaap compliant reports is an absolute requirement for public companies and provides credibility for private companies looking for investors. Reporting revenue accurately based on what s delivered. The xotels glossary clarifies hotel and revenue management terminology. Revenue management key terms.
The incentive is paid only when the partner or customer complies with the rebate terms. In celebration of this course our vp strategy brendan may has put together a comprehensive look at hotel revenue management which you can find below. The base room rate that a hotel wants to achieve or sell. Revenue management is the application of disciplined analytics that predict consumer behaviour at the micro market levels and optimize product availability and price to maximize revenue growth.
The four key processes of revenue management. Entering and processing orders. A rules based process used to create optimal revenue management segmentation from reservation data to support both the best basis for forecast and optimization and key organizational reporting and business intelligence requirements.
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