Breaking Travel News

Pricing and Revenue Management for Travel and Hospitality

Software Group, the leading provider of Price Sensitive Revenue Management solutions, announced that Carlson Hotels Worldwide selected JDA ‘s new Travel Price Optimiser to provide daily pricing decisions for more than 700 properties as the foundation of the Carlson Hotels Stay Night Automated Pricing initiative. Carlson Hotels operates in 74 countries under the brands Regent® Hotels & Resorts, Radisson® Hotels & Resorts, Park Plaza® Hotels & Resorts, Country Inns & Suites By CarlsonSM and Park Inn®.

        JDA’s new Travel Price Optimizer, a pricing solution architected using the JDA® Enterprise Architecture, was designed to serve the needs of travel, transportation and hospitality companies. It dynamically optimises prices based on competitive rates, capacity constraints, local market demand, and economic and company factors.

        Paula Winkler, executive vice president, operational support service and chief information officer for Carlson Hotels Worldwide said, “Two years ago, we embarked on a process of redefining revenue optimisation for our hoteliers. Our research showed that the capabilities offered by established revenue management systems were no longer relevant to our hotels or the industry. We worked with JDA to develop the Carlson Hotels Stay Night Automated Pricing (SNAP) process. While traditional Revenue Management focuses on restricting the availability of discount products, the SNAP process optimises pricing in order to maximise revenue through demand forecasting. This is a completely different strategy and with JDA’s new solution we will be able to address this business challenge for our hotels.”

        “Carlson Hotels Worldwide’s strategy is to become the first hotel group to make the paradigm shift from traditional Revenue Management to true price optimisation,” said Andy Archer, JDA group vice president. “We are seeing this change elsewhere in the travel industry, and while there have been efforts to join pricing and Revenue Management in hospitality, the Carlson Hotels SNAP process truly reinvents the discipline.”