SUCCESS STORY
Grand Hotel et Des Palmes
Combining many variables in order to predict market demand pressure for large booking windows and performing fast room pricing changes to optimise distribution and maximise revenue
Grand Hotel et Des Palmes
Art, heritage and glamour in the center of Palermo, Sicily
Historic icon of Palermo hospitality, the Grand Hotel et Des Palmes renews its image and enters a new era of glamour, innovation and tradition.
Challenge
Optimizing hotel pricing for wide booking windows across many online distribution channels.
Solution
Using a revenue management system that is integrated with the property management system and allows data-driven price optimisation base on machine-learning.
Results
- Enhanced competitive positioning thanks to rapid responses to market changes
- 12% ADR increase
- 12% minimum revenue increase
Interview With
Pietro Vitale Cluster Yield & Revenue Manager at Grand Hotel et des Palmes, Metropole Hotel and Cefalù Resort
Why did you decide to use a revenue management system? What are the factors that drove this decision?
I believe that from the perspective of modern revenue management, it is essential to use an RMS (Revenue Management System), which is indispensable for properly managing the pricing of the entire online distribution. The share of the business mix in this area has now reached significant percentages. Therefore, the ability to independently combine the many variables in order to predict market demand pressure, even for large booking windows, is an essential tool for optimising distribution and maximising revenue.
Why did you choose Lybra Assistant RMS over another? What feature of Lybra Assistant did you like the most?
The main reason is certainly the distinctive feature of having developed the interface with our current PMS, which is Alyante by TeamSystem. Additionally, the interesting ability to autonomously update pricing through the autopilot function based on machine learning is noteworthy.
How has Lybra Assistant changed the way you perform daily and strategic revenue management operations? What are the main benefits you have experienced in your work thanks to our RMS?
The contribution of the RMS in terms of rapid pricing updates in real-time constitutes an almost scientific ability to continuously reposition the property within its competitive set, for speed and timeliness, without omitting variables such as demand pressure, historical data, and competitive set positioning. These are undoubtedly the KPIs upon which the effectiveness of our sales strategy largely depends.
What are the results you got thanks to working with our RMS? (in terms of kpi improvement or revenue increase)
Already during 2023, we managed to increase our ADR by 12%, and for 2024 we expect to grow by at least 10% in ADR and at least 12% in revenue. I believe these deltas are certainly also due to the support of LYBRA.