ABSTRACT
Revenue management is a facet of hotel management that has become much more prominent in recent years. In large hotels, it is now common for a senior manager to have the functional title ‘revenue manager’. Revenue management systems focus on striking an appropriate balance between the pursuit of two competing goals: (1) minimising lost revenue resulting from rooms not sold and (2) minimising lost revenue resulting from rooms sold at prices below what they could have been sold for. This chapter outlines financial techniques that can be applied in the pursuit of maximising hotel revenue.
