Technology is a hot topic in hospitality these days. While our day to day lives become more reliant on technology, the hospitality industry has yet to catch up. We are able to deposit checks, order food, and schedule appointments all from the convenience of our phones. Yet, in the majority of hotels, the extent of technology available is mobile check in. The reluctance to move forward also manifests itself in the business intelligence systems that we use. A recent study shows that 87% of all businesses have low business intelligence (B.I.) maturity. A low BI maturity means that your business mainly relies on spreadsheet based analysis and personal data extracts. Does that sound like your hotel? Without the data that is collected via rigorous market analysis, our properties would cease to be profitable. Therefore, investing in an effective business intelligence tool is crucial. The question then becomes, with only a few hospitality specific tools on the market, which one of these BI tools is the right one for your hotel?

Find a System that Speaks your Language

Hospitality is a very unique business. When we are hiring for our teams, we look for individuals who possess this unique skill set and intimate understanding of what it takes to be successful in this industry. When shopping for your hospitality business intelligence platform, you need to take the same approach. Part of the reason why many hotels are not using BI, is that many of these systems are not developed to meet our specific needs. They are developed by engineers who have never analyzed an STR report, presented a forecast in a meeting, or emailed reports to operations managers with little to no revenue management exposure. The needs of a hotel team are complex as very detailed data needs to be presented quickly and easily as our teams are always on the go. Avalon is created by career hoteliers who understand the unique nuances of disseminating information across all departments. The engineers behind Avalon are former end users of business intelligence and have taken a practical approach to building the user experience.

One of the challenges of revenue management in the hospitality industry is divulging information in a way that all decision makers can digest swiftly. Our day to day market analysis, segmentation reviews, all need to be presented to owners, GMs and department heads so that the entire team can collaborate and implement strategy. Avalon’s user interface ensures that owners, GMs and other department heads who don’t view spreadsheets daily, are able to absorb the information. This is a crucial component of any business intelligence tool which unfortunately many BI platforms are lacking.

Another major question regarding implementing business intelligence is cost. This is a valid concern as return on investment is so crucial to the bottom line. One major factor to consider when calculating your ROI, is the timeline. How soon can this system get up and running and help our team make revenue generating decisions? Many systems can take weeks or even months to merge your data into their portal. This prevents you from keeping up with the market in making prompt pricing decisions. Avalon allows you to map your room types in as little as one hour, leading to a smooth onboarding experience. As you will be able to make pricing decisions quicker, choosing Avalon is cost effective and will help move your hotel from chaos to context in a week. 

Personalizing your Day to Day

The day to day of a hotelier is complex. It would be impossible to count the number of decisions that are made on a daily basis from executive level to front desk. Data impacts every aspect of the hotel operation and a system that can help you make the right decisions is critical. Now more than ever, time is of the essence. We are all operating with lower staffing levels and our need to quickly analyze, make decisions and implement strategy is heightened. Avalon’s easy to use interface will allow you to quickly run revenue meetings and distribute reports to all parties. Meetings may even be conducted through email chains, as the reporting can be scheduled and distributed. As all your pertinent parties will be able to digest the information, bullet pointed emails can help your team discuss critical data while minimizing the impact on guest service.

An extension of that guest service is your customer relations data. Knowing who your guest is and what their likes are is critical is delivering a memorable experience. The data collected by your BI tool can help hotel operators understand guest related trends. Understanding how your guests book their rooms, the room types they prefer, and how they are spending their money is all valuable information that will allow your team to implement strategies to increase hotel revenue. This data can be organized by market segment, geography, demographics and lead time for your guests. The access to this vital information will also ensure that your marketing efforts are targeted. By analyzing geographic source markets in combination with booking lead times, your seasonal promotions can be timed effectively. Furthermore, the ability to identify booking trends and soft periods will ensure that you always have the appropriate staffing levels. 

Proactive not Reactive

When it comes to revenue management, the name of the game is being proactive. If you are able to identify trends and react quicker than your competitors, your bottom line will reflect your success. We are currently in an unprecedented time and cost cutting has become a method of keeping our hotels afloat, and understandably so. However, we must be sure to strike that delicate balance between meeting immediate needs and focusing on forward thinking investments. The properties that will be the most successful emerging from the pandemic will be those that implement proactive revenue generating ideas for their hotels. With over 50% of hotels still not using a BI platform, the opportunity is there for you to get ahead of your competition. The low cost of implementing a business intelligence platform combined with the revenue generated by reacting faster than your competitors, makes this investment one that you will not want to wait long to make.