revolutionSM Rate Optimizer
The revolution Rate Optimizer is the central component of the Revenue Management system that drives bottom line profitability
The Rate Optimizer:
The Rainmaker Group's revolution System pioneered the inclusion of additional revenue streams beyond sleeping room revenue in the forecasting and optimization processes.
The Revenue Management 'product' is the optimized recommendation delivered by revolution, and includes:
The revolution optimization process utilizes advanced mathematical modeling to determine the best customer mix based on forecasted demand and supports the following features:
Overbooking Manager:revolution overbooking calculation determines the number of rooms that should be sold to maximize value and accounts for variables including early outs, stay-overs, cancellations and walk-ins. The optimization process also establishes the optimal mix of business to be accepted into the available capacity.
Special Events: revolution incorporates a sophisticated Special Events module that allows users to define periods of unusual activity, characterized either by exceptionally high or low demand. Based on these definitions and computed historical event statistics, revolution determines event demand in terms of variance from demand if it were not for the event. The revolution Special Events module accounts for events that affect the entire property (e.g. a holiday weekend) or only specific customer segments (e.g. an invitation-only event targeting particular value segments).
Booking Pace: The revolution user interface provides a booking pace screen that displays for a given day of arrival, currently sold (reservations-on-hand), forecast by days left (anticipated reservations) and final forecast. In addition, the revolution booking pace screen provides the functionality to compare the pace for a given day with any other day of arrival provided the date exists in the database. This is helpful in reviewing how a given day is pacing compared to a similar day prior, week prior or even prior year.
Reporting revolution provides a robust reporting module that includes:
The revolution Rate Optimizer is the central component of the Revenue Management system that drives bottom line profitability
The Rate Optimizer:
- Optimizes prices and allocates availability to reflect changing demand
- Ensures acceptance of most valuable business
- Accounts for different sources of customer value
- Optimizing inventory utilization by managing overbooking to the room-type level
- Providing stay pattern controls that maximize revenue on peak periods, shoulder dates, and troughs
- Providing Special Events management that optimizes revenue according to each event's unique demand characteristics
The Rainmaker Group's revolution System pioneered the inclusion of additional revenue streams beyond sleeping room revenue in the forecasting and optimization processes.
- revolution considers gaming revenues, food and beverage revenues, and other sources of customer value in determining optimal availability conditions and optimum rates
- revolution accepts a variety of data that best reflects total potential value from expected demand, accounts for length of stay effects and other revenue data, and calculates the most profitable business mix across a 13 month time horizon
- The revolutionuser screens are intuitive and easy for anyone to interpret with minimal training so staff may become productive quickly
- To facilitate the most flexible Revenue Management analysis, nearly every element of the system can be exported to Excel™ with a mouse click
- All revolutionreports are rendered in Excel™ for easy performance analysis
- Reports can be quickly reconfigured by individual users to change scope (what data and, depending on user permissions, which properties they encompass), frequency (when they will run), and where the output will be sent
- In addition, all reports can be run on-demand as well as according to a pre-set schedule. The database can also be made available to ad hoc reporting tools such as Crystal Reports or Cognos
The Revenue Management 'product' is the optimized recommendation delivered by revolution, and includes:
- Arrival Date
- Length of Stay
- Room Category
- Control Segment
- Customer Value Segment
The revolution optimization process utilizes advanced mathematical modeling to determine the best customer mix based on forecasted demand and supports the following features:
- Overbooking calculations performed before the optimization process to determine the optimal booking level
- Special contractual obligations such as last room availability
- On-demand re-optimizations run during the day to update inventory controls, if necessary.
- Optimization is performed across all room categories simultaneously.
Overbooking Manager:revolution overbooking calculation determines the number of rooms that should be sold to maximize value and accounts for variables including early outs, stay-overs, cancellations and walk-ins. The optimization process also establishes the optimal mix of business to be accepted into the available capacity.
Special Events: revolution incorporates a sophisticated Special Events module that allows users to define periods of unusual activity, characterized either by exceptionally high or low demand. Based on these definitions and computed historical event statistics, revolution determines event demand in terms of variance from demand if it were not for the event. The revolution Special Events module accounts for events that affect the entire property (e.g. a holiday weekend) or only specific customer segments (e.g. an invitation-only event targeting particular value segments).
Booking Pace: The revolution user interface provides a booking pace screen that displays for a given day of arrival, currently sold (reservations-on-hand), forecast by days left (anticipated reservations) and final forecast. In addition, the revolution booking pace screen provides the functionality to compare the pace for a given day with any other day of arrival provided the date exists in the database. This is helpful in reviewing how a given day is pacing compared to a similar day prior, week prior or even prior year.
Reporting revolution provides a robust reporting module that includes:
- Multiple variations for each criteria setting, such as DOW, date ranges, room type, customer segment/control segment, Weekend/Weekday
- A sophisticated scheduler program that allows both immediate and scheduled runs
- Report delivery in Excel so analysts are able to perform additional analysis using the full range of Excel functions
- The ability to format and deliver reports across properties.
