ABSTRACT
In a world of full price transparency and unrestricted access to data, hotels deserve better than intuition or a crystal ball to manage their prices. That’s why Accor Hotels has launched a new pricing solution named SMART pricing for its economy hotels, so far excluded from traditional revenue management system equipment due to complexity and cost issues. The number of price changes for a given staying date depend on the dynamism of the market and the expertise of the revenue manager. The new pricing model takes into consideration the hotel’s historical data, guest input, and level of demanding order to propose the optimal price per day and per booking period. For economy hotels, a maximum of five price changes for the same date of stay is already enough. It is key to keep it simple both for guests and for the hotel staff.
