Imagine, no more seasons, event weekends or rate codes which apply to the market as a whole. In the future, when you book a hotel room, your rate will not be applicable or available to anyone but yourself.
Or so is the dream.
Currently hotels offer various rates which apply to the entire market or, if you possess certain qualification - for example corporate, AAA - a subset. However, in the future when you call to book a room you may receive a rate which has been tailored for you based on your previous stay history.
According to an article posted on ehotelier, such a strategy is already being employed by Harrah’s Entertainment. The article goes on to explore the relationship between consumer relationship management (CRM), which has traditionally been used as a database to track customer information and possible integration with a revenue management system (RM).
This hybrid CRM/RM takes a longer term view of a guest, taking previous stay history into account when drafting a price for their stay. The end goal of this new system is to allow hoteliers to predict, with greater accuracy, the spending habits, behavioral patterns and ultimately, the lifetime value of any individual customer.
Product customization is critical for any business going forward. Consumers want one on one relationships and anything your business can do to individualize each of your clients is integral to future successes.
