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For more information contact:

Ciaran McLoone
Business Development Officer
Fáilte Ireland
ciaran.mcloone@failteireland.ie

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Project Objectives

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The objectives of the project are as follows:

Understand the revenue and skill impact that the implementation of a holistic Revenue Management Programme (to include support in technology choice and implementation, specialist mentoring and advice and additional training support) will deliver to the chosen hotel partner.

The following detailed analysis will be required to be completed at the start of the project and at frequent intervals throughout the project:
 

  • Review of existing distribution landscape within the hotel group as chosen

  • An examination of the current business mix performance of the hotel group

  • An understanding of the future business mix ambition of the hotel group

  • An understanding of meeting room, banqueting and function space assets within the group

  • A review of existing pricing structure across all segments, to include B2B and B2C pricing

  • A review of existing revenue management practices, process and structure in the business

  • An understanding of the resources available within the group to support the project roll out.

In addition, throughout the course of the project, the following analysis and areas will be reviewed as part of the project:
 

  • An examination of any opportunities to further enhance automation of inventory distribution and delivery

  • An examination of the potential for introducing dynamic pricing and advice on how this could be implemented

  • An outline of the process for discounting strategies to enhance sales, including value add opportunities and for off peak times.

Revenue Management Pilot Project

Open Call for Expressions of Interest

Introduction

Fáilte Ireland is seeking to secure a partnership with a commercial hotel group with 20+ properties to run a pilot revenue management programme. The commercial hotel group partner must have a minimum of 70% of members properties located outside Dublin.

The purpose of the pilot programme is to establish what improvements in occupancy and yield can be achieved when a cluster of accommodation partners group together to secure best practise technology and expertise.
 

How to apply?

  • Step 1: Register an Expression of Interest by 5.00pm on Friday 14 December

  • Step 2: Eligible applicants will then receive a formal detailed application form

  • Step 3: Applicants will be invited to present their proposed solution

  • Step 4: Partner hotel group will be secured

Register an Expression of Interest

Please register an expression of interest by submitting a short form by 5.00pm on Friday 14 December.

Scope of the Project

Fáilte Ireland will: 

  • Provide the commercial hotel group partner with grant aid to enable them to secure a new revenue management technology solution or further develop their existing central reservations infrastructure. 

  • Provide revenue management best practise training at group level, with that person then becoming a trainer for individual properties.

  • Develop and share case study at VEDP and local IHF branch to secure more clusters procuring outsourced or shared resources.

The commercial hotel group partner will:

  • Provide the baseline of yield and occupancy levels at group and individual levels prior to the commencement of the project.

  • Submit performance reviews to Fáilte Ireland after six, 12, 24 and 36 months.

Expected Outcomes

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It is assumed that, given the level of total investment in this project in technology and mentoring advisory services, the chosen hotel partner will enjoy enhanced room revenues in their business, all else remaining equal.


It is also expected that the knowledge gained throughout the duration of the project will support and enhance the existing skill set in the area of Revenue and Distribution Management for the future within the chosen hotel partner, which will be very beneficial.
 

This project also aims to drive an additional incremental 10,000 bed nights across the hotel group's partner properties in year one, following implementation of the proposed solution.

Trading Performance Metrics

Sharing of trading performance metrics by the chosen hotel partner is a key cornerstone of this project so that a clear and accurate assessment of impact can be made.

To that end, the following metrics will be required to be supplied at commencement of project and again at regular intervals throughout:

  • Occupancy rates by group and by property

  • ADR (Average Daily Rate) by group and by property

  • Overall Market Segmentation by group and by property

  • RevPAR (revenue per available room) by group and by property 

  • Trev Par (total revenue per available room. Similar to RevPAR but includes all revenue brought in from rooms, including money spent on F&B etc.)

  • NREVPAR (net revenue per available room – takes into account distribution costs associated with selling a room).