Yield Management
Yield management originated in the air craft industry back in the end of the 1970. People’s Express startet the new trend, and sold their tickets at a lower fare than the competing airline companies. To not lose the price conscious customers to People’s Express, the competing airline companies followed this trend and sold cheaper plane tickets to the price conscious. This is the most important principle in yield management; to sell the right product to the right customer to right price and to the right time (Kimes 1989, Ingold, McMahon-Beattie and Yeoman 2000:4)
The reason why a lot of forms uses yield management to maximise their profit and increase their viability. Yield management makes that possible, and today it is …show more content…
In the hotel industry, the hotels compete about price, place, fasilities and service. Those hotels that compete within the same factors is devided into groups. these groups are called competative set, and it it very important to realistic when choosing your competative set (Tranter, Stuart- Hill og Parker 2009, 61).
A way to increase your competition advantage, a SWOT analysis could be a useful tool. A SWOT analysis is an analysis of the company’s strengths and weaknesses, internally and externally. After doing an SWOT analysis of your own hotel, you could do the same analysis on the competeing hotels in your competative set. (Tranter, Stuart- Hill og Parker 2009, 67).
Positioning
To position it self would also say that you visualize your offer to consumers so that they are aware of the benefits your hotel has, in relation to your competitors. The brand of a hotel can be seen from two angles: from the management and from the customer. The management at the hotel should have a clear idea of what position or concept the hotel should have (Kotler, Bowen og Makens 2010,213).
The best way to work on the positioning is to design a visual positioning map. In that way you can select the criteria you want to highlight and find out where your hotels stands compared to the competitors. (Tranter, Stuar-Hill og Parker, 2009,69) …show more content…
There are mainly three types of benchmarking:
- Profit benchmarking, which includes comparison of results from other businesses (often about the financial elements).
- Process benchmarking is the comparison of methods and processes for the purpose of improving their own processes
- Strategic benchmarking is comparison of strategic choices made by other companies but with purpose to collect data to improve their own strategic plans.
Easily said, Benchmarking is about comparison with other similar businesses and you can choose whether to compare the company as a whole or parts of the company (Andersen and Pettersen 1995,2-3).
* Ingold Anthony, Una McMahon-Beattie og Ian Yeoman 2000, Yield Management, strategies for the service industries. Second edition
* Talluri, Kalyan T. og Garrett J. Van Ryzin. 2005. The Theory and Practice of
Revenue Management. Springer Science.
* Tranter, Kimberly A, Stuart- Hill og Parker 2009. Revenue Management for
Yield management originated in the air craft industry back in the end of the 1970. People’s Express startet the new trend, and sold their tickets at a lower fare than the competing airline companies. To not lose the price conscious customers to People’s Express, the competing airline companies followed this trend and sold cheaper plane tickets to the price conscious. This is the most important principle in yield management; to sell the right product to the right customer to right price and to the right time (Kimes 1989, Ingold, McMahon-Beattie and Yeoman 2000:4)
The reason why a lot of forms uses yield management to maximise their profit and increase their viability. Yield management makes that possible, and today it is …show more content…
In the hotel industry, the hotels compete about price, place, fasilities and service. Those hotels that compete within the same factors is devided into groups. these groups are called competative set, and it it very important to realistic when choosing your competative set (Tranter, Stuart- Hill og Parker 2009, 61).
A way to increase your competition advantage, a SWOT analysis could be a useful tool. A SWOT analysis is an analysis of the company’s strengths and weaknesses, internally and externally. After doing an SWOT analysis of your own hotel, you could do the same analysis on the competeing hotels in your competative set. (Tranter, Stuart- Hill og Parker 2009, 67).
Positioning
To position it self would also say that you visualize your offer to consumers so that they are aware of the benefits your hotel has, in relation to your competitors. The brand of a hotel can be seen from two angles: from the management and from the customer. The management at the hotel should have a clear idea of what position or concept the hotel should have (Kotler, Bowen og Makens 2010,213).
The best way to work on the positioning is to design a visual positioning map. In that way you can select the criteria you want to highlight and find out where your hotels stands compared to the competitors. (Tranter, Stuar-Hill og Parker, 2009,69) …show more content…
There are mainly three types of benchmarking:
- Profit benchmarking, which includes comparison of results from other businesses (often about the financial elements).
- Process benchmarking is the comparison of methods and processes for the purpose of improving their own processes
- Strategic benchmarking is comparison of strategic choices made by other companies but with purpose to collect data to improve their own strategic plans.
Easily said, Benchmarking is about comparison with other similar businesses and you can choose whether to compare the company as a whole or parts of the company (Andersen and Pettersen 1995,2-3).
* Ingold Anthony, Una McMahon-Beattie og Ian Yeoman 2000, Yield Management, strategies for the service industries. Second edition
* Talluri, Kalyan T. og Garrett J. Van Ryzin. 2005. The Theory and Practice of
Revenue Management. Springer Science.
* Tranter, Kimberly A, Stuart- Hill og Parker 2009. Revenue Management for