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Hotelier Indonesia

With continual moving targets, shifting guidance, and volatile markets, hotel forecasting, and budgeting has become borderline Sisyphean.

“Forecasts” and “budgets”—two words that create angst even in the best of times. In our current uncertain environment, these moving targets have never been so difficult and critical to predicting. Budgets are typically just a longer-term version of forecasts with a bit of stretch built into them. However, the question of whether it is even possible to predict demand, and the resulting revenue, beyond the next 30-60 days is awfully risky to address with much confidence.

The reasons for even better forecasts today align with what we have historically been responsible for, but there is more on the line…at least for the near future. Owners and corporate/regional leaders have always needed some degree of accuracy with property-level forecasts, but now it’s about more than just figuring out projected bonuses—it is necessary to keep the doors open and people employed.

As a former hotel sales manager, director of sales, and director of revenue management, I always felt responsible for creating and managing the demand to provide our team with hours to work and tips to collect. If I wasn’t successful at doing my job at the property, other people I worked with would feel the pain in their wallets. The massive decrease in travel has hurt us all and the volatility does not make it any easier to see the light at the end of the tunnel. What looks good one day may do a 180-degree the next, and vice versa. So, is it impossible to forecast better? Are these “unprecedented” times really that unprecedented?

We simply can’t throw our arms up and say “it’s too difficult.” We can do better than that. The hospitality industry has run into trouble before and we somehow waded our way through the muck. So, how do we do what we need to as far as financial forecasts and even our 2021 budgets?

Great question, but my suggestions are to not overcomplicate it and make sure you get consensus throughout the process. It is imperative that the revenue team and all consumers of the forecast are on the same page regarding the frequency of updates, the forecast window, and defining what a successful forecast looks like.

From an above-property level, I would prefer an agile forecasting* approach that calls for weekly or even daily updates with an understanding that there may be shifts that would have been uncomfortable to see in the past. This way, I would have a more realistic expectation and major surprises could be avoided. Of course, a corporate, group-heavy hotel would be more difficult to forecast than a transient property, but this is where you need to get agreement on forecast performance and not necessarily forecast accuracy.

*Agile Forecasting: to efficiently and continuously forecast (and re-forecast) to swiftly adapt to market changes

I once worked at a property where the forecast accuracy was measured by using the mean percentage error (MPE)—which is easy to calculate and understand; however, the view of multiple periods using MPE becomes quite misleading since a -4.5% and +4.5% average to 0.0%. Using the mean absolute percentage error (MAPE) removes this illusion and provides a much better representation of how good (or bad) the forecasts were. This is a simple and common example of a lack of agreement on what is being measured, how it is done, and, most importantly, why are we measuring it.

The “why” should drive the entire process. There are many different forecasts at a hotel, and they each provide their own set of data points. It may be strictly financial or perhaps a glimpse into expected check-ins/check-outs/covers or even the unconstrained demand for unqualified transient business. Each of these provides your owners, operations managers, finance folks, revenue managers, and salespeople with the insights to adjust accordingly. Whatever you are measuring is, hopefully, done for a purpose. Understanding what that purpose is and how the consumers of it are using the forecast will allow you to provide a more accurate output (and save some time, too).

Now, if only the budget process could be simplified…

Steve Green

Emerging Innovations

Steve Green has held high-level sales, marketing, and revenue management positions with some of the hospitality industry’s most recognized names, including Radisson, Hyatt, Wyndham, Sofitel, Red Lion, Interstate Hotels, Ecolab, and TSA Solutions. He is a Certified Revenue Management Executive (CRME), an HSMAI Minnesota chapter board member and president, the recipient of the “Outstanding Sales Achievement” award from Hyatt Hotels & Resorts, and has been nominated for multiple awards by the Minnesota Chapter of MPI. Steve is a frequent guest speaker at industry events and academic institutions. He holds a Bachelor of Science in Hospitality and Tourism from the University of Wisconsin – Stout and an MBA from the Carlson School of Management at the University of Minnesota.

Through automation and scientific forecasting, IDeaS RevPlan™ will enable Asia-Pacific Hoteliers to build out forward-looking total revenue plans

Singapore—March 5, 2020—IDeaS Revenue Solutions, the world’s leading provider of revenue management software and services, announced today IDeaS RevPlan™, a cloud-based module built to complement its flagship RMS products. The module is designed to take the pain out of budgeting and forecasting a hotel’s total business, including food and beverage outlets.

Until now, hotels have relied on manual forecasting and data collection to plan operations for their total business. This error-prone, time-consuming process leads to inefficient labor costs, siloed decision-making and smaller profits.

Utilising advanced revenue science, RevPlan enables revenue managers, finance directors and hotel leaders to effectively budget, plan and strategise using automation and scientific forecasting.

“Hoteliers face many challenges when it comes to the planning and budgeting of their total business. Essential data is spread out and isolated, the manual process is prone to errors and non-rooms revenue is left on the sidelines. That’s why we developed RevPlan, a budgeting and planning solution built for and by hoteliers,” said Sanjay Nagalia, co-founder and chief operating officer, IDeaS.

With RevPlan, hoteliers will be able to increase the profitability of all revenue streams, from guest rooms to food and beverage, with scientific forecasting for more precise planning.

RevPlan consolidates hotel data at the enterprise level to easily drive more strategic decision-making by revenue stream, region or brand. The solution will also help boost hotel operational efficiencies with automated data collection and intelligence.

About IDeaS

IDeaS, a SAS company, is the world’s leading provider of revenue management software and services. With over 30 years of expertise, IDeaS delivers revenue science to more than 13,000 clients in 140 countries. Combining industry knowledge with innovative, data-analytics technology, IDeaS creates sophisticated yet simple ways to empower revenue leaders with precise, automated decisions they can trust. Results delivered. Revenue transformed. Discover greater profitability at

#hotelier #hotelierindo #indonesia #hospitalityjobs #hotelierindonesia #hotjobs #hotel #job #loker #lowongan #HotelCareer #Jobs #JobsNews #CareerInHotels #lowongankerja #Bali #Jakarta #othercities #middleeast #asia #hiring #work #tourism #sector #industry #staff #hospitalityindustry #chef #manager #team #jobopening #management #hospitalitysector #instajobs #instahiring #instajob #instawork #instabusiness

Concerns relating to the spread of the COVID-19

By Rachel Grier, Area Vice President, Asia Pacific

Concerns relating to the spread of the COVID-19 and large-scale travel restrictions put in place are having a direct impact on hoteliers across the Asia-Pacific (APAC) region. While the full picture of reduced demand for hotel rooms across the region is only beginning to be understood, STR Global has indicated that “Singapore, Bangkok and Bali, all popular markets for outbound Chinese travelers, have seen the decline continue in occupancy from their normal respective levels.” In particular, the tourist destination of Phuket is forecasting challenging operating conditions with hotels’ on the books occupancies for March in the 40-50% range, versus last year where 70-80% was on the books for the same period.

Markets that source a large portion of their guests from mainland China, and other affected regions like Korea, are being most affected by the current travel restrictions. However, as no one can accurately predict the extent to which the virus will spread, hoteliers across the wider APAC region are understandably concerned. So, what should hoteliers consider when seeking to address the business challenges posed by the emergence of COVID-19?

Firstly, hoteliers must avoid making ‘gut-instinct’ or emotional decisions in the face of current market uncertainty. Rather they should focus on rational, analytical and data-based strategic approaches to pricing. For example, when faced with a high volume of cancellations or low demand from countries affected by COVID-19 hotels might be tempted to offer short-term discounts and to start relying on more expensive distribution channels to try and attract bookings from other markets. While this might seem like a good strategy for the short term, it is a very long road to recovery from these decisions.

A key lesson learnt from previous instances of market uncertainty—such as the global financial crisis—is that although price cuts may deliver a brief spike in volume in the short run for a hotel, they can also result in long-term pain for any hotel that pursues this strategy. Hotels that instigate aggressive downward price action in the face of market uncertainty tend to face challenges when demand picks up. These properties experience resistance to any price increases from customers who have a lower reference point value for a hotel’s rooms and services. Additionally, if competing properties also reduce prices as a reaction to your own discounting efforts, these rival properties may not follow your attempted price increase in the future, making it difficult for you to return your prices to previous levels for some time to come.

Hoteliers should not panic when faced with market uncertainty resulting from lower demand due to COVID-19. Slowdowns happen in all regions and business (nearly) always comes back. Do not implement anything you might regret later—such as giving too much business to costly third-party booking channels. Rather, take a long-term view of what is best for your business.

It is not only tourist destinations popular with Chinese travelers and hotel room revenues that are being impacted by COVID-19. The viability of major conferences and events are also being affected due to travel restrictions. Already the HSBC Singapore Rugby Sevens has been postponed from April to October over COVID-19 fears, and many corporate conferences with potentially lucrative event-space reservations may be similarly at risk of disruption.

Any hotelier who currently is, or may in the future, be impacted by lower demand due to COVID-19 related travel restrictions needs to have a plan, even if it will not be fully implemented. As hoteliers deal with increased demand uncertainty, it is critical they map out and stress test best-to-worst case scenarios and the activities to counter each. Activities should be multi-functional and cover varying “what-if” scenarios. For example, what if corporate demand drops by 10 percent? What if group bookings fail to materialise? What if weekend demand declines by 25 percent? Hoteliers need to explore how their marketing teams could redeploy and reassign planned campaign funds to generate and secure alternative business and new markets.

Revenue managers are instrumental in finding alternative revenue sources and helping create new ones in times of uncertainty. If weekday demand declines significantly due to lower destination visitation numbers as a result of lower traveler numbers from China, revenue managers should work with their sales and distribution teams to explore alternative revenues to make up some of the lost demand (e.g., locally sourced business, meetings & events, etc.). How much revenue can a hotel protect by locking in contracts for longer periods of time? Hoteliers should also look at if their post booking pre/at arrival upsell activities are optimised and always take a long-term view with any decision-making.

The best way to prepare for future uncertainty is by being certain about your own business strategies under any condition. Hotels looking to implement new promotions should look to simulate what-if analysis and run A/B testing on potential pricing scenarios, so they aren’t blindly launching new campaigns at critical times for their business.

Hoteliers must continue to execute a revenue management strategy focused on not just the next few months, but the next several years. The overall trend for the hotel industry is and will remain positive, tied to predicted sustained growth for business and leisure travel at a global scale. The bottom line for hotels operating across the APAC region is that this is no time to panic, but it is time to plan.

For more information, please visit:

#hotelier #hotelierindo #indonesia #hospitalityjobs #hotelierindonesia #hotjobs #hotel #job #loker #lowongan #HotelCareer #Jobs #JobsNews #CareerInHotels #lowongankerja #Bali #Jakarta #othercities #middleeast #asia #hiring #work #tourism #sector #industry #staff #hospitalityindustry #chef #manager #team #jobopening #management #hospitalitysector #instajobs #instahiring #instajob #instawork #instabusiness

Hotelier Indonesia

How can a Revenue Management System (RMS) add tangible value and bring defined business benefits to Indonesian hotels in 2020?

Written by – Rachel Grier, Area Vice President, Asia Pacific for IDeaS

As we move into the new year and the new decade, any Indonesian based hotelier without an automated revenue management system is operating at a severe disadvantage. In a competitive operating environment, like Bali, where every pricing decision and booking control counts, all hotels need to ensure that they are maximising their revenue opportunities while minimising operational costs and attracting the right guests at the right rates.

While revenue management is not a new industry practice by any means, it is not always fully understood or appreciated by property owners. So how can a Revenue Management System (RMS) add tangible value and bring defined business benefits to Indonesian hotels in 2020?

Grow your property revenues

In the past, manual-based revenue management approaches have looked at a hotel’s booking history and current activity levels to forecast demand. During periods of high demand, revenue managers would increase rates. When demand is low, they would discount them, thereby generating best-case revenue under both scenarios. However, in 2020, forecasting, inventory controls and pricing decisions will rarely be this simple. The reality is that today, amid heavy reliance on online travel agents (OTAs) and flash sales, it’s almost impossible to look at a hotel’s booking history and identify trends because the booking patterns are changing constantly driven by rapid changes in consumer behaviours. It is therefore incredibly challenging for revenue managers to recognise small changes, which indicate shifts in demand, and then to react in time to leverage the opportunity and drive profit.

In a high-speed environment, manually collecting, evaluating and calculating data via spreadsheets is not only a tedious process, it’s also slow and highly susceptible to mistakes and missed opportunities. This is where an RMS makes a huge difference to both the top and bottom line. Through a series of specialised algorithms and calculations, an RMS automatically assesses hotel performance and market demand and deploys pricing decisions across the distribution ecosystem accordingly. Combined with highly visual user dashboards, an RMS enables team members across the organisation to quickly understand future and current market demand using data at both the market and hotel level – all of which are vital to both deliver and grow hotel profitability.

Attract the right business

Not all business is equal. Hotels in Indonesia need to balance lower-rated, longer lead time business with higher-rated, short lead time bookings (which are often business guests who are more likely to stay again in the future and have a higher total guest value). To help avoid turning away higher-rated business, accurate data that highlights who their most valuable customers are is essential.

To properly understand the value of a guest, a holistic view of a customer’s lifetime contribution must be obtained, not just their room-rate spend. Data from all transaction systems should be integrated to provide a true picture of a guest’s preferred activities and their overall value to also include ancillary value: food service to the day spa usage, guest rooms to gift shop purchases, the cost of the booking channel, etc.

By using an RMS to help identify their most valuable guests, hoteliers can deploy strategies to make those guests feel welcome and recognised, to inspire long-term loyalty (and direct bookings!).

Eliminate pricing errors, make profit focused decisions

In general, a typical hotel will make roughly five million pricing decisions every year. Yes, $5 MILLION. The sheer volume of data that requires consolidation, analysis and action means it is not humanly possible for any revenue manager to get every decision right, every day. Powered by sophisticated revenue science to produce accurate pricing decisions and inventory controls, an automated RMS is critical in the age of big data. Forward-looking, predictive analytics embedded in today’s RMSs help hoteliers uncover emerging trends and identify more profitable opportunities earlier.

An advanced RMS not only generates prices that adapt to market changes, but anticipates these variations in advance. In a competitive hotel market, slight pricing changes can have a significant impact on demand. Therefore, any hotelier operating without systems that can analytically decipher the impacts of a specific price change (i.e., $7 higher or lower) on occupancy and the resulting revenue benefit (or lack thereof) for their property, is operating at a disadvantage.

Reduce operational costs

Maximising the guest experience while minimising operational costs, including labour costs, is perhaps the Holy Grail for most hoteliers. Accurate demand forecasting provided by an RMS can greatly enhance a hotel’s labour scheduling and purchasing decisions. Through integrating forecasts across a hotel’s operations, hoteliers can use the forecast to inform their staffing decisions and account for periods of higher or lower demand. Once demand forecasting data is made available, staffing managers can determine which areas are most affected by the number of guests staying in the hotel. The number of occupants a hotel carries can directly influence housekeeping needs, the number of staff needed on the front desk to check guests in and out, the number of servers required in restaurants and valets to park cars, etc.

Another factor to consider is food and beverage, a large source of potential waste for hotels, especially when it comes to those items with an expiration date. Knowing when there will be periods of high and low demand, as well as from which segments will be the key consumers of these perishable items, will help hoteliers ensure they order the products at the right time and avoid costly spoilage.

Improve the value of your hotel

Increased revenue leads to higher cash flow, from giving the hotel greater day-to-day liquidity, to having money in the bank generating interest and leveraging return on capital. Driving brand value, as well as competitor set performance are both key to asset assessment. The additional revenue delivered by the proper use of an RMS and strategies directly impacts a hotel’s bottom line, making it an essential tool for increasing a hotel’s valuation—a keystone in any owner or asset manager’s lens, in particular at a time of investment, refinancing or sale.

To learn more about how your hotel can benefit from using an advanced, automated RMS in 2020, please visit:

#hotelier #hotelierindo #indonesia #hotelierindonesia #hotnews #hotelnews #hospitality #breakingnews

Hotelier Indonesia

Live Webinar on Friday, 30 August 2019 

Uplift Calculator › Blog REQUEST A DEMO

We Saved You a (Virtual) Seat!

Webinar Series #3: How to Revenue Manage By Exception
Live on: Friday, 30 August 2019 at 11:00AM SGT
Duration: 1 hour

On 30 August, we’re going beyond the basics of unconstrained demand forecasting and exploring how to revenue manage by exception.

Learn & Discover
Grab your notebook, sit back and take notes as we explain what it means to revenue manage by exception.

Hear from the Experts
Tracy Dong, Lead Advisor at IDeaS with special guest speaker Jeff Young, Director of Revenue Management Development at Minor Hotels.

See the Future
Discover how you can transform from a revenue manager into a revenue strategist.


P.S. - If you can't make the live webinar, be sure to register anyway, and we'll send you the recording afterwards!
Hotelier Indonesia

IDeaS - Revenue Opportunity Uplift

How much revenue is your missing out on?Find Out in 60 secondsCalculate Your Uplift Now! Click here or here :

Based on the attributes selected the uplift range represents hotels similar to you that have experienced these results. Results are not guaranteed and may vary based on system usage, market conditions, data sample and/or baseline policies.

Harness the power of revenue science.IDeaS infuses its leading analytics technology with deep knowledge of your business to deliver precise, automated decisions you can count on.

Bold IDeaS for your business.
Forecast accurately, price confidently, and achieve greater profitability faster with the world's most trusted revenue management solutions.

Calculate Your Uplift Now! Click here

Revenue Science 101: A Better Way to Revenue

Whether you're a hotel revenue management pro or a novice in an industry on the cusp of automated, demand-based pricing disruption, revenue science will incite a transformational change to your company's bottom line.

Discover how IDeaS uses revenue science to deliver results and transform revenue across the planet.



5 Signs Your Revenue Strategy Is Behind the Times

Technology moves fast—no, make that really fast. However, even with all the advancements to date, many hoteliers still rely on limited processes and technology—to the detriment of their productivity and bottom-line revenues. Is revenue technology forcing your strategy to fall behind the times?


Revenue Management for Meetings & Events: Measure, Monitor, Improve
Many hoteliers have been moving beyond rooms-only revenue management and are aiming for total property approach, especially in the Asia-Pacific region. In fact, M&E revenue represent up to 60 percent of total revenue. Now is the time to analyze your hotel's M&E approach and capitalize on all your revenue opportunities.

Find Out More ›

The Phoenicia Malta: Achieving Success from the Start
Watch how The Phoenicia Malta found immediate revenue results following a major renovation. Director of Revenue, Karl Sapiano, reports seeing double digit growth year over year with IDeaS G3 RMS providing a 7% uplift in rooms revenue.

Watch Now ›

The Magic of Technology & The Connected Customer

Automation is inevitable. In a world where structured data is exploding, the reality is there are far too many data points to look at. And certainly, too many decisions to be made for any human. We must trust technology and automation to keep us afloat and better serve the connected customer


Taking an Economic Downturn in Stride: How Effective Revenue Management Can Help
While the U.S. hotel industry experienced yet another strong year in 2018, economists and experts agree it may be time to tighten our belts and prepare for a potential reduction in overall net operating income with effective revenue management.

Learn More ›

Bringing Home the Bacon: Four Execs Talk Revenue Innovation at ALIS
What role does technology and revenue innovation play in helping determine the value and bottom-line success of a hotel property—and what role can it play in the future? Read the panel discussion lead by four hospitality executives and find out how to bring home the bacon.

Read the Discussion ›

There are countless reasons to automate how you manage your pricing and booking decisions, but all it takes is one decision to transform how you manage your revenue. Contact us today to start your transformation.


IDeaS - A SAS Company
1 Wallich Street
#16-01/02, Guoco Tower, Singapore 078881
+65 6398 8988

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Hotelier Indonesia

HOTECH 2020: Redefining Sales, Marketing and Revenue in Asia

We are excited to host our first IDeaS & Hotel ICON Leadership Forum on 11 Oct – HOTECH 2020: Redefining sales, marketing and revenue in Asia and we'd love for you to join us and other industry leaders and technologists of tomorrow to explore what 2020 will bring and what it may mean to hospitality.

This is an exclusive event intended to foster conversations and learning about the hottest hotel technology and consumer trends that you should watch out for. For young hoteliers - this is the perfect platform to network and be inspired by industry leaders, learn lessons relevant to boost your careers in hospitality and the travel industry.

AGENDA8:00 - 9:00 Registration

9:00 - 9:10 Welcome address from Hotel ICON and IDeaS

9:10 - 9:30 APAC online travel in the next 5 years – consumer trends
Travel has become a popular lifestyle choice among the growing middle and upper classes in Asia, and gross travel bookings are projected to register high single-digit annual growth from 2017 to 2021. It’s critical for hoteliers to understand the traveller behaviours, attitudes and preferences, identify key trends across demographics, trip types, travel incidence and spend, online information source, booking behaviours, and the usage of mobile devices and social networking in relation to travel

9:30 - 10:15 Panel Discussion – Smart technology for smart hotels serving smart guests
  • What are the new problems that need addressing as our consumers habits and expectations evolve?
  • How are legacy systems adapting and innovating?
  • How to integrate new technologies into legacy systems?
  • How should tomorrow's leaders upgrade their capabilities to thrive in an age of accelerating technology
  • The future of emerging technology trends
  • Moderator: Rachel Grier, Managing Director, Asia Pacific, IDeaS Revenue Solutions
  • Richard Hatter, General Manager, Hotel ICON
  • Oracle
  • Sabre
10:15 - 10:45 Morning Break
10:45 - 11:30 Panel discussion: Having a personal touch in your marketing strategy
  • Understanding the complete customer journey at every touch point
  • Why smart segmentation and targeted personalization is important?
  • Data-driven personalization to enhance guest experiences and drive loyalty
  • Personalization privacy paradox: where is the fine line?
  • How to achieve personalization at scale?11:30 - 12:00 Innovation in travel marketing, direct bookings via Google hotel ads
12:00 - 1:15 Networking Lunch
1:15 - 2:00 Panel discussion: The ongoing disruptions in travel distribution
  • Booking a trip via Amazon Alexa? Checking your booking from apple watch? Booking a hotel on Airbnb? Skipping OTAs and intermediaries with Blockchain? What’ hype and what’s reality?
  • The multifaceted and ever-changing dynamics between OTAs, and between OTAs and hotels
  • How the need for personalization is changing hotel e-commerce
  • What’s more to come?Panelists:
  • Estella Hale, Chief Product Evangelist, SHR
  • Boon Sian Chai, Senior Director of Market Management, Expedia
2:00 - 2:20 What hoteliers need to know about advanced analytics in revenue management
  • How analytics improve your business strategy
  • Different types of analytics and what you get out of them
  • How to get big data right
  • How to get the most out of your technology
2:20 - 2:40 Case Study:
  • How Hotel ICON use RMS software to improve the profitability by optimizing occupancy of the higher room categories Patrick Sin, Director of Sales, Marketing and Revenue Management, Hotel ICON
2:40 - 3:10 Afternoon Break
3:10 - 3:30 Artificial intelligence – what does it really mean to hotels?
  • Artificial intelligence (AI) – such as machine learning, voice activation, chatbots, facial recognition, natural language processing, and robotics – drives innovation in a wide range of industries.
  • Where has AI already begun to be used from guest facing to behind-the scenes? Where else do we see possibilities?
  • What are the concerns and risks?
  • The success of AI depends on data. Data here there and everywhere – It’s a great story, but talk is cheap; what are we really doing about data management in hospitality?
  • How will AI and big data enable hotels to personalize guest experiences from booking to post-trip
3:30 - 4:15 Panel: Millennials guests- are we really ready?
  • What do millennials expect on hotels and travel in general?
  • How hotel industry is evolving to meet the demand of this generation?
  • Understand millennials' point-of-view on hospitality technology and what they want to see
4:15 - 4:30 Closing Remark
4:30 - 5:30 Networking cocktail
  • Together with our partners, we will be discussing:
  • Data-driven personalization to enhance guest experiences and drive loyalty
  • The ongoing disruptions in distribution - Amazon Alexa, Airbnb, and block chain
  • Artificial intelligence – what does it really mean to hotels?

And a lot more, check out the agenda here

Register now for the only event dedicated to super-charge your understanding of hotel technology and your sales and marketing strategy to deliver revenue growth for Hotelier Indonesia!


#hotelier #hotelierindo #indonesia #hotelierindonesia #hotevents #expo #hotel #event #food #beverages #restaurants #events

Hotelier Indonesia

Strong Hotel Revenue Growth Predicted for Asia-Pacific in 2018 Cautiously optimistic hoteliers indicate reliance on OTAs and emergence of Airbnb are concerns

Kuala Lumpur – A survey of 100 leading hospitality industry professionals from across Indonesia and the Asia-Pacific region has predicted a positive outlook for the regional hotel sector in 2018, with 61 percent of respondents forecasting 10 percent or more revenue growth in the year to come.

The ‘APAC Hotel Market Trends’ research was organised by IDeaS Revenue Solutions, the leading provider of revenue management software and advisory services, and drew key insights from hotel owners, general managers, revenue managers and sales directors from Indonesia and the wider APAC region.

According to research findings, the healthy outlook for the regional hotel sector would largely be driven by increased room sales (53 percent). However, hoteliers also expect sustained growth in revenues from food and beverage sales (24 percent) and meeting and event spaces (20 percent) in 2018, highlighting the growing diversity and focus across multiple hotel revenue streams.

“The outlook for the regional hotel sector is positive, with many property groups confident about their growth prospects in 2018. The key challenge is finding balance in the distribution ecosystem and creating a level playing field of customer choice. Also, fair rewards must be agreed upon for the efforts provided by the varying forms of distribution in reaching audiences hoteliers can’t. With the rapid innovation from online travel agencies (OTAs), metasearch and operators like Airbnb, there is no time to be complacent,” said Bryan Bailey, vice president revenue & distribution for Minor Hotels.

“To succeed in today’s hospitality sector, hoteliers need the right online presence, advanced operating systems like revenue management and the right people in place to optimise their total ecosystem and performance.”
While revenue growth is expected from the regional hotel sector, many hoteliers continue to have a strong reliance on OTAs to drive business, with 84 percent of respondents indicating that OTAs made up 30 percent or more of their bookings. Close to a quarter of all respondents even indicated that OTAs made up 50 percent or more of their total bookings.

“OTAs can charge between 15 and 25 percent commission for every booking they secure. These third-party costs influence the amount of revenue hotels are able to secure from each guest – ultimately impacting a property’s bottom line,” said Rachel Grier, managing director Asia Pacific for IDeaS. “The most cost-effective online booking channel for a hotel remains its own website. To secure these valuable direct bookings, hoteliers need to focus on improving their online targeting, pricing and web presence to not only attract visitors, but convert them into paying guests.”

To address the regional imbalance in bookings from OTAs, it is no surprise that all hoteliers surveyed indicated they would grow their direct bookings over the coming year. While 79 percent of respondents indicated they are looking to grow their own direct bookings from 10 to 20 percent, 20 percent of hoteliers predicted they would grow their direct bookings by 30 percent or more.

In addition to challenges presented by OTA bookings in the region, 81 percent of respondents said they believed sharing accommodation sites like Airbnb are a threat to the regional hotel sector, with 18 percent believing Airbnb and its rivals are a ‘significant’ threat.

“Sharing economy rivals like Airbnb are undoubtedly digitally savvy and should continue to be taken seriously. To compete effectively with these online platforms, hoteliers need to identify what makes their property unique and offer customised guest experiences. They should not look to simply reduce their rates to counter new competition, but instead, focus on emphasising value to their guests to drive those direct bookings,” added Rachel Grier.
IDeaS is committed to helping hotel organisations throughout the Asia-Pacific region reach their optimal revenue and profit levels in 2018 through advanced systems and by focusing on education that supports the development of a strong revenue management culture.

About IDeaS 
With more than 1.6 million rooms priced daily on its advanced systems, IDeaS Revenue Solutions leads the industry with the latest revenue management software solutions and advisory services. Powered by SAS® and with nearly three decades of experience, IDeaS proudly supports more than 10,000 clients in 124 countries and is relentless about providing hoteliers with insightful ways to manage the data behind hotel pricing.

IDeaS empowers clients to build and maintain revenue management cultures – from single entities to world-renowned estates – by focusing on a simple promise: Driving Better Revenue.

IDeaS has the knowledge, expertise and maturity to build upon proven revenue management principles with next-generation analytics for more user-friendly, insightful and profitable revenue opportunities – not just for rooms, but across the entire hotel enterprise. For more information, visit

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[Webinar] Hotel Performance in 2017 & Outlook in the New Year

How can we do better in 2018?

Hello Hery Sudrajat,

Happy New Year! It's time to start again! What are your new goals in 2018? Are you planning to improve your hotel's pricing strategy? Are you targeting to increase your ADR and RevPar? Are you going to better utilize internal and external data?

IDeaS and STR are putting together a live webinar - Looking Back & Looking Forward: Hotel Performance 2017 in Review. Knowing where we stand in the past year and planning improvement going forward.


Session 1 - Australia & New Zealand in Focus
11 Jan, 2pm Sydney | 4pm Auckland
Session 2 - Southeast Asia in Focus
12 Jan, 11am Singapore/ Kuala Lumpur/ Manila | 10am Bangkok/ Jakarta/ Hanoi

We look forward to seeing you at the webinar!

Warm regards,
The IDeaS & STR Team

1 Wallich Street
#16-01/02, Guoco Tower, Singapore 078881
+65 6398 8988 | [email protected]
© 2018 Questex Asia Ltd., a division of Questex LLC
13/F., 88 Hing Fat Street, Causeway Bay, Hong Kong
Customer service telephone number: 852-25891307 email: [email protected]

Hotelier Indonesia

Connecting the Dots

How top-performing hotels use PMS data to maximize revenue performance

As the technological hub of a hotel, the PMS contains an abundance of valuable data about guests and their booking behavior. In this joint eBook, Starfleet Research, leading PMS provider Sabre Hospitality Solutions and IDeaS Revenue Solutions take a look at those key strategies utilized by top performing hotels to harness this insightful data to maximize revenue performance.

All revenue is not equal. Some revenue costs too much to capture. Other revenue could have earned you more.

IDeaS Channel Performance:
A Guest-Centric Revenue Strategy

Why Automated Revenue Management?

So much data. So much complexity. So much change. Such realities have moved pricing and forecasting beyond manual processes and the unaided mind.

Advanced algorithms and processing speeds help revenue managers make fast, complex decisions that are based less on gut instinct and more on empirical science. This enables services to be optimally priced on an ongoing basis. 

Only IDeaS delivers the technology, expertise and support it takes to recognize these scenarios and optimize your revenue quality. IDeaS pioneered automated hotel revenue management more than 25 years ago — a technology that is now a global industry standard and a competitive necessity. Today, our diverse portfolio of cloud-based solutions makes revenue automation an affordable reality for hospitality and travel businesses everywhere.

We want our guests to do their own thing, and our take on revenue management is similar. We need to be able to do our own thing. My team couldn't be happier that IDeaS RMS will help us catch trends and booking patterns more quickly - allowing us to price ourselves ahead of the competition.- Director of Sales and Marketing, ACME Hotel Company



A pioneer and global technology leader, IDeaS offers industry-leading revenue management solutions for business of all types and sizes in the global hospitality and travel industries.

Throughout our 25-year history, our mission has been the same. We want to make revenue management so user-friendly, insightful and profitable that you wouldn’t dream of doing it any other way.

Learn More  →

© 2016 IDeaS. A SAS Company. All rights reserved.

Hotelier Indonesia

The Walking Dread: Why Indonesian hotels need an overbooking strategy

Written by: Tracy Dong, Lead Advisor, APAC, IDeaS Revenue Solutions

No hotel in Indonesia likes having to walk a guest due to an overbooking situation – just ask any front desk manager who has to deal with irate customers when they have been informed the room they booked is not available, and they have to be relocated. Walking a paying guest can be hard and unpleasant, so why do hotels need to overbook in the first place? 

Consider this all-too-common scenario: A high-profile international trade fair is occurring in your city and your hotel has been sold out for more than two weeks. There’s not a single room left within a 10-kilometre radius. Your forecasted revenue numbers for the week are significantly outperforming the actual bookings from the same period the year before. However, as the morning reports rolled in, your hotel only finished at 96% occupancy opening day which led to a revenue underperformance compared to your forecast.

Rather than trying to figure out who’s to blame for this situation, hoteliers should instead see the situation as an opportunity to enhance the property’s systems and technology and rethink their overbooking strategy. From a revenue management point of view, to maximise occupancy and revenue during peak demand dates, overbooking can be a necessary evil driven by several internal and external factors.

Internal Factors:
No-Show: Paying guests may turn out as a no-show on the arrival day due to various reasons, which leads to empty rooms at a hotel

Cancellation/Wash: Prior to arrival day, hotels typically have cancellations from transient bookings or group wash. If hotels are not able to pick up bookings to compensate cancellations or wash, it will impact on hotel revenues 

Extension/Contraction: Besides no-shows and cancellations, revenue managers should track in-house guests’ extensions, especially for hotels with a high portion of long-stay guests. Although in-house guests’ extensions are subject to availability, it has to be taken in consideration when setting up overbooking scenarios 

External factors:
If a hotel has a sister property to relocate their walked guests to based on a pre-negotiated rate, then they can be a lot more flexible with their overbooking strategy. However, if a hotel has to relocate guests to a non-affiliated or competitor hotel, then management has to be very careful. The overbooking risks in this situation are compounded when the market demand is high, such as during a major event and guest relocation price, or ‘cost of walk,’ is prohibitively expensive. 

The practice of overbooking weaves art into science to calculate risks against their rewards, and today’s advanced revenue management systems help hoteliers analyse and produce decisions for a customised overbooking strategy. Below are some considerations and insights hotel revenue management systems can provide to maximise strategic overbooking opportunities:

  • What is the expected transient wash for each market segment?
  • What are the booking windows for transient business? Hotels could use revenue management systems to analyse booking pace by market segment at various days to arrival. 
  • When is the hotel’s group cut-off and how well are group blocks managed? Is the hotel consistently managing groups by days-to-arrival and adjusting overbooking accordingly?
  • How is the hotel’s room type overbooking strategy established? Are they deploying room type overbooking strategies only when they’re expected to sell out? Deploying room type overbooking strategies over non-sold-out periods can be an effective way to maximise property yield in both need and busy periods.
  • Is the hotel’s room type overbooking strategy static all year long, or is it deploying different strategies by day-of-week or season?
Hoteliers need to understand overbooking is a long-term strategy that requires constant review. By analysing overbooking numbers months in advance, hotels can better compensate for expected group wash with high-paying transient guests
Consider a hotel that only overbooks their base room type all year long. Assume this hotel has a significant rainy season and struggles to find business to fill their weekends. However, during this period, they do remain consistently busy with corporate travel during the week. How can they adjust their overbooking strategy to accommodate for this distinct day-of-week need? Perhaps their base room type is open for generous overbooking on the weekends (keeping their hotel as competitively priced as possible), but a conservative strategy is employed during the weekdays to encourage bookings into upgraded room types. If the new strategy helps a hotel book just five upgraded room types every weekday at a $75 upcharge, they’ve pulled in over an additional $80k in annual revenue by selling the same amount of rooms.

And at the end of the day, it’s critical that hoteliers focus on their net maximum revenue. The aggressiveness of any overbooking strategy needs to be balanced with an understanding that net revenue for a night can be impacted by high or frequent walking of guests. Sometimes, it may be a better net revenue result to be one or two rooms short of a sell-out than to pay for a number of replacement rooms in another hotel for previously booked guests.  

It’s also extremely important to evaluate how well the hotel’s front desk handles guest recovery. One of the greatest opportunities afforded to any front desk is the ability to take a guest problem (such as being walked to another hotel) and convert it into guest loyalty. To do this, though, hoteliers need to ensure that hotel staff are properly supported and trained to accommodate walking guests. Guest recovery in ‘walking’ situations should also be supported by amenities; complimentary room upgrades or no-walk / VIP statuses for future reservations.

In today’s world, it’s not enough to book a reservation for every room a hotel has to sell – and not overbooking can result in lost revenue and missed occupancy at the property’s highest price-point where profits can be maximised. When overbooking is established strategically through analytics, hotels can better understand the wash and cancellation patterns of their market segments. This means hotels can then plan ahead to overbook with exceptional revenue results.