As a property owner or manager, one of the most important aspects of successfully managing your property and maximizing revenue is having a well-managed inventory. A key part of this is maintaining a good inventory distribution across different room categories.
Of course, and first and foremost, it allows you to maximize your revenue by optimizing the rates for each accommodation unit. By having a clear understanding of the demand for different room categories, you can set appropriate rates that reflect the value of each unit type. This helps ensure you're not leaving money on the table by undercharging for premium rooms, while also avoiding overpricing less popular room categories.
Last week, during a class at the University of Alicante, a discussion arose with students about this topic, and it made me reflect. "How could I not call my most basic room 'Standard'?" they asked. "Because no one wants to enjoy a getaway with their partner in a 'standard' space," I replied.
And we're no longer just talking about room categories based on their attributes, but also about marketing and how to use nomenclature to position them.
A very good example of this is the Villa Agrippina Gran Melia, with its 14 different room categories: with balcony, terrace, jacuzzi, these or those views, penthouse, etc. The name itself gives a clear description of what we are going to find.
And this is something that's been happening in gastronomy for years with increasingly elaborate dish names. On the menu, we no longer find "steak" but rather "Iberian secret grilled over oak charcoal on a bed of sautéed vegetables with truffle oil," for example. Doesn't that description make it more appetizing? The same effect is produced by the difference between "basic room" and "Supreme Room with private Jacuzzi," as in the example.
And this is something Lufthansa is now launching, offering up to 14 seat configurations on its Boeing 787-9 Dreamliner aircraft. Thus, you'll have the option of flying in Premium Economy, Sleeper Row, or Suite Plus on the same plane. Or fly with Ryanair. It's your choice as a customer.
The advantages of a good inventory distribution
And, returning to accommodations, having a good inventory distribution can help you attract different types of guests. By offering a variety of accommodation categories, you can cater to a variety of preferences and budgets, helping to increase your occupancy rates and revenue.
It also allows you to better manage your staffing levels. By knowing which room categories are in high demand, you can ensure you have the right amount of staff available to provide a high level of service to your guests.
Finally, a good inventory distribution can help you better manage the maintenance and upkeep of your room. By having a clear understanding of which room categories are in high demand, you can prioritize maintenance and repairs. This can help ensure all rooms are kept in good condition, which can improve guest satisfaction and minimize the need for costly repairs in the future.
In conclusion, having a good inventory distribution based on different room categories is essential for any hotel that wants to maximize revenue, manage staffing levels, attract different types of guests, and effectively maintain its rooms. By taking the time to understand the demand for different room categories and managing and naming your inventory accordingly, you can set your hotel up for success and provide a great experience for your guests, setting yourself apart from the competition.
