What is the definition of Open Pricing in the hotel industry?
The great thing about pricing by most hotels in the region of the globe is that nothing is set in rock. That is, there can be elasticity where prices have to sometimes be inclined at conflicting levels, according to the variety of aim markets and distribution channels occupied. This pricing approach, known in the Hotel Industry as Open Pricing, is a perfect choice for hotels operating autonomously, but it can also be an adopted technique for whole hotel chains and groups!
Having the choice to set prices openly also means that hotel income management teams can more precisely forecast expected income from many sharing channels.
Open Pricing gives them the alternative to set rates for all channels, room types and dates autonomously of each other, without concluding any off in their hard work to maximize income.
To better understand Open Pricing, let’s consider an anticipated scenario expressed by so many hotels worldwide looking for to enhance revenue in what is an strongly competitive industry.