the occupancy rate of a hotel refers to the percentage of the total number of rooms actually rented divided by the total number of rooms. In addition, you can learn more about the concept of rate of return. It will help you to better understand their concepts, relationships and practical management functions. Analysis: the application of hotel revenue management in the lobby \x1d\ Abstract: Although revenue management is a very complex concept, it is relatively simple in application. When the hotel implements the revenue management theory, it depends on the combination of "artificial intelligence" and "general computer technology", and there is no need to complicate its theory. \x1d\ Revenue management is a modern scientific operation management method developed in the 1981s, but there are still few hotels that use revenue management in domestic hotels, mainly because there are some misunderstandings that affect the effective use of revenue management. The discussion about the implementation of revenue management focuses too much on automated computer systems. Too much attention is paid to the theoretical discussion of revenue management, such as linear programming, dynamic programming, marginal revenue control and so on, while the potential connotation of revenue management is completely ignored in the actual operation of hotel management and the possible "low-tech" adaptability. \x1d\ Although revenue management is a very complicated concept, it is relatively simple in application. When the hotel implements the revenue management theory, it depends on the combination of "artificial intelligence" and "general computer technology". There is no need to complicate its theory. This paper describes some practices when it is applied in hotels. \x1d\ Basic principle of revenue management \x1d\ The basic principle of revenue management is "five best"; That is, the products of the enterprise can be sold to the most suitable customers at the best time, at the best price and through the best channels, so as to maximize the hotel's income. \x1d\ The operation practice of hotel revenue management is: by subdividing the market and guests, quantitatively predict the needs of customers with different purposes at different times, and determine the dynamic control through optimization methods, so as to maximize the total revenue of the hotel and ensure the sustained growth of hotel profits. \x1d\ Revenue management is a systematic project of hotel operation and management \x1d\ When implementing the revenue management system, it should be clear that this system can not operate well only by the front office, but it is a systematic project to improve the operating income and strengthen the management of the hotel, which requires the operation at the hotel level. J.W.Marriot II, the chairman of Marriott Hotel Group, said: "The top management of hotels must implement revenue management, and the CEO needs to support this work 111%." The intervention of the top management is the basis for supporting and establishing a management system and ensuring its effective work. \x1d\ Therefore, in order to operate the revenue management system well, the hotel should make overall arrangements, integrate the marketing department (which is the bulk of revenue management) and the front office to coordinate the operation, and the general manager of the hotel should take the lead of the revenue management system. \x1d\ Basic content of front office revenue management \x1d\ Front office is the information collection center of the hotel, and all kinds of room management secretaries, price history files, scene files of all kinds of house prices, occupancy rates of all kinds of rooms in different periods, and all kinds of guest history data are all concentrated in the database of front office, which sometimes leads to errors in using front office as the main position of revenue management system. When it comes to the management of hotel room price income, it is necessary to understand the various structures of hotel room service income: \x1d\ First, the rental income of agreed guests, including the income of individual guests and group guests of agreed companies, the income of travel teams of agreed travel agencies, the income of group guests of agreed meetings, and the income of long-term housing; \ x1d \ x1d \ Second, the rental income agreed by the network company and the reservation center; \x1d\\x1d\ Third, the front office individual rental income. \x1d\\x1d\ The first and second types of rental income are basically signed by the hotel marketing department with relevant enterprises through agreements. The rental income of these two types of agreements accounts for about 75%-81% of the total hotel defense income in the current period, while the rental income of the third type of front office individual accounts for about 21%-25% of the total hotel room service income in the current period. \ x1d \ x1d \ The revenue management operation of the front office is mainly about the marketing of the front office individual, how to effectively raise the house price of the individual in front of the door, how to make full use of various resources of the hotel and society, and how to increase the consumption of the individual in front of the door. \ x1d \ x1d \ practical operation of front office revenue management \ x1d \ x1d \ 1, subdividing the market and customers and forecasting the demand \ x1d \ x1d \ Philip Keller and JohnBowen pointed out in their book "Hospitality and Tourism Marketing": "The concept behind revenue management is to effectively manage revenue and inventory through pricing differences, while Each hotel has its own market positioning, but there are still many differences in customer classification, source channels and consumption characteristics. The consumption demand, price and consumption characteristics of different types of guests are also very different, so their consumption behavior patterns are different. Scientifically subdividing the market and guests can provide accurate information sources for hotels to control resources and improve revenue. \x1d\\x1d\ On the basis of market segmentation and guest information, we can make a relatively accurate prediction of different types of guest demand, and adopt different pre-sale methods and price differentiation control, and implement dynamic management and marginal revenue management to minimize the risk of resource use. If the risk of resource use can be minimized, the expectation of hotel revenue can be optimistic. \x1d\ 2. It is necessary to control the occupancy rate of individual guests in front of the door \ x1d \ x1d \ Average house price and average occupancy rate are two major factors that affect hotel room service income. And the rent income of the individual in front of the door has a great influence on the average price of the hotel. Therefore, it is necessary to properly control the occupancy ratio of the agreed guests and the individual guests in front of the door, so as to reach the maximum average hotel price. In hotels, the price of general agreement guests is lower than that of individual guests in front of the door, but the agreement guests are usually contacted by the marketing department. Due to the incentive of market competition and the increasing attention and work pressure of the hotel management authorities to the marketing department, the marketing department will continue to do everything possible to expand the coverage of the agreement guests as the work performance of the department. With the increase of the coverage of the agreement guests in the marketing department, the occupancy rate of individual guests in front of the door will drop all the way. If we want to guarantee the maximum average price of the hotel, we need the hotel authorities to coordinate, analyze the market situation and the historical data of the rental income of the marketing department and the front office respectively, and sort out the appropriate occupancy rate of the front office individual, so as to prevent the downward trend of the occupancy rate of the front office individual. When implementing the front office revenue management, this problem should be paid enough attention by the hotel management authorities. \x1d\\x1d\ 3. Dynamic price setting \x1d\\x1d\ Price is the most sensitive consumption factor for customers, the most direct management lever for sales, and the main means to increase or decrease hotel profits. At present, under the market situation of oversupply and competitive incentive, almost all hotels have developed price management from a single static price to a multi-price and competitive optimized price. The dynamic price includes the preferential price of individual guests of the agreement company, the house price of travel team, the house price of conference team, the house price of long-term guests, and the floating price of individual guests in front of the door. For hotels, when making dynamic prices, the most valuable data is the classified prices of rival hotels in the same area. \x1d\\x1d\ 4, overbooking control \x1d\\x1d\ Because there is a certain difference between pre-sale and actual check-in, hotels usually implement a certain proportion of overbooking to reduce the loss caused by the difference between pre-sale and actual check-in. How big the ratio of overbooking is, depends on the cooperation between the front office and the marketing department, and analyzes the historical data to determine a basic reasonable probability. \x1d\\x1d\ This work can be started from several aspects: \x1d\\x1d\ Check the reservation. Some guests reserve rooms a long time in advance. During the period before check-in, some guests can't arrive in the near future or cancel their trips for various reasons, but not all guests will take the initiative to inform the hotel. The front office should check with the guests by phone many times before they arrive, make adjustments quickly once the changes are made, and notify the relevant departments to re-book or sell the rooms to other guests. \x1d\\x1d\ Increase the guaranteed class reservation. Advance deposit or require credit card guarantee to transfer the risk to the guests reasonably, especially during the peak business hours of the hotel, such as holidays and major local economic and trade activities. \x1d\\x1d\ Strengthen coordination with marketing department. Because most of the booked guests are generated by the agreement unit of the marketing department, and the salesmen in the marketing department generally relax their requirements to the agreement unit in order to expand their performance, it is necessary to strengthen communication with the marketing department when overbooking occurs, strengthen the control of overbooking and reduce hotel losses. \x1d\\x1d\ General overbooking number formula is as follows: \x1d\\x1d\ Overencountered rooms = booked rooms with temporary cancellation+expected rooms without arrival+expected early check-out-expected delayed check-out rooms. \x1d\\x1d\ Every factor in the above formula has the word "expected". To solve this problem, it is not easy to be as accurate as possible, which depends on the accumulation and analysis of historical data (business figures in various business hours), and strengthen the communication between the front office and the marketing department to determine a generally suitable proportion. \ x1d \ x1d \ 5. Price demand control of holidays and major events \ x1d \ x1d \ holidays and major events in the market are often the best time for hotels to make profits. How to make the best use of this period is the time for the hotel management and the front office to give full play to the system of management income efficiency. The management motto of this period should be "shoot when it is time to shoot", and raise the price when it is time to raise the price, without too much consideration of other subsequent impact issues. Otherwise, if you don't wait for me, the machine won't come again. In a short time when demand exceeds supply in a market, the most basic consumer psychology is "demand" rather than "supply". \x1d\\x1d\ 6. Management of team sales and sales agents \x1d\\x1d\ For team sales such as travel agency's travel team price, it should be adjusted and controlled in time according to the market changes at each stage, mainly the total consumption of the travel agency, the average occupancy rate of the hotel, the fluctuation of the average house price and the economic prosperity index of the local market, while for sales agents such as online reservation center agents, it can be adjusted once a year. \ x1d \ x1d \ The key measure for hotels to increase the sales volume of online booking is to negotiate a competitive price with online booking agents and give them a "step-by-step" reward system, so that hotels and online booking agents can "* * * win * * *". \ x1d \ x1d \ 7. Make full use of the resources of online reservation and reservation center \ x1d \ x1d \ The appearance and development of online reservation and reservation center is a necessity and progress of economic marketization, and it is also a result of economic marketization industry segmentation. At present, Ctrip and eLong, two major online booking companies in China, occupy more than 81% of the market share of online booking business. They have established a firm market position by introducing strategic investors through capital operation and listing their shares. The appearance of these "middlemen" of online booking rooms is a kind of available resource with low cost and good income for single hotels or member hotels of hotel groups, and it is a useful supplement to the original marketing methods of hotels. These online booking companies have at least gathered thousands of hotel booking networks. On the one hand, they provide customers with more choices, which are close to their psychological needs. On the other hand, the scale of the booking networks run by individual hotels or hotel groups is incomparable. Even the largest hotel group in China has only a few hundred hotels under its management. There is absolutely no need for us to mind that the existence and development of online "booking middlemen" will take away part of the hotel's profits. There is no such thing as a free lunch, so we should adopt an attitude of "from each according to his ability, to get what he needs" and encourage member hotels to cooperate with him and develop together. \x1d\\x1d\ According to the latest report written by Bill Carlton of the Hotel Industry Research Center of Cornell Hotel Management College in the United States, in the next few years, more than 21% of customers will make reservations online. \ x1d \ x1d \ and this proportion was 8.34% in 2112. In the operating report of the member hotels of Oriental Garbo, we can find that there are quite a few hotels whose reservation volume has reached about 11%-11% through the hotel, eLong and other reservation centers. Therefore, for hotels, whether they are single hotels or member hotels of group companies, we should make full use of the resources of these online reservation agents to increase the hotel's profitability. \x1d\\x1d\ 8. Hotel supplementary resources management \x1d\\x1d\ Hotel supplementary resources mainly refer to catering, entertainment facilities and conference facilities outside guest rooms, and these supplementary resources are also a good product resource for the sales of the front office. When implementing revenue management, the front office staff should be invited to familiarize themselves with the hotel's attached resources, sales price policies and price rules, and the front office staff should be trained in marketing and master marketing skills, so as to develop the sales of these resources in a targeted manner. \x1d\\x1d\ 9. Comparison and analysis of operating conditions \ x1d \ x1d \ The front office department should compare all kinds of operating data of each month, including occupancy rate, various rooms, customer segmentation and sales of various ancillary resources, mainly with the data of the previous year, and then make a detailed analysis with the data of similar competitor hotels in the market. \ x1d \ x1d \ 11, revenue management combined with customer value \ x1d \ x1d \ The value of different customers is different, and sometimes the value of customers cannot be simply defined by a profit index. For example, in hotels in second-tier cities, there are fewer foreign guests. At this time, if the hotel knows how to attract more foreign guests with more favorable prices, even if the check-in price of these foreign guests is lower than that of domestic guests, the comprehensive value of the hotel brought by them, such as the feeling of courtesy, the familiarity and reference of foreign guests' consumption habits, such as the spread of consumption concepts and humanistic sentiments, including the change of the atmosphere of foreign language practice in hotels, will have a good comprehensive effect. \ x1d \ x1d \ Problems needing attention in applying revenue management theory \ x1d \ x1d \ 1. The role of employees' practical experience in selling houses is more worthy of attention. \ x1d \ x1d \ Hotel revenue management system is the product of a high combination of computer intelligence and manual experience. A successful front office revenue management system includes not only the information provided by the functions of the front office computer system, but also the related customer history information.