If Revenue Management Were a Sport…

Welcome to the 22 new subs this week. You found your tribe. :-)

I would normally say: Close your eyes and imagine....bummer that this is a newsletter for reading so pretty pointless. right? BUT: Picture this: you’re sitting in the front row, hot dog, pretzel, cupcake - whatever is your flavor - in hand, stadium lights blaring, and the anticipation is thick.

You’re about to watch the most thrilling sport known to humankind: Revenue Management.

Forget football, tennis, gymnastics, formula 1....THIS is the ultimate test of strategy, adaptability, and maybe a bit of caffeine-induced mania. Tough as nails you gotta be Master Yoda says!

The Arena:

A conference room stocked with more screens than a NASA control center, spreadsheets cascading like waterfalls. Athletes (aka revenue managers) in their natural habitat, rocking their best “I got this” expressions. Headsets are on, fingers hovering over keyboards, ready to execute that winning play.

The Gear:

Forget jerseys and cleats. RM sports gear includes an arsenal of color-coded Excel sheets, a massive whiteboard (mandatory), and at least three mugs of coffee within arm’s reach.

The real pros have a backup mouse for when they click so hard they break the first one.

The Rules:

1. Dynamic Pricing Sprints: Adjust those rates like you’re training for a hundred-meter dash! Rates up, rates down, pivot, re-evaluate, and do it all again before anyone even takes a sip of their coffee. The crowd loves a good rate hike—but, watch out! Go too high, and you risk a penalty flag for lost bookings.
2. Competitive Forecasting: Think you know how many people will book for that weekend in November? Only if you can outpredict your competitors. Bonus points if you nail it while dodging curveballs like unexpected weather or surprise conventions. It's like being a psychic, but with more data and fewer crystals.
3. Anomaly Detection Drill: It's the penalty box for you if you miss a spike in data or, worse, an unexplained drop. Keep your eyes peeled for any anomalies, and trust no report. Think of it as the “Where’s Waldo?” of revenue management, but instead of Waldo, it’s a rogue booking trend that could tank your quarter.

The Halftime Show:

As our athletes take a breather, it’s time for the true MVPs of revenue management to shine: the dashboards.

Spectators gaze in awe at real-time updates on RevPAR, ADR, and occupancy rates projected on the Jumbotron. Coaches (or as we call them, C-Suite Execs) analyze every blip and dip, making strategy notes on who should be subbed out—aka, which tool gets cut from the budget next quarter.

Fan Favorites:

Nothing gets the crowd riled up like a dramatic “Demand Surge” overtime play.

Imagine it: the team’s behind, but thanks to some last-minute group bookings, our RM athlete pulls off a surge in ADR that leaves everyone breathless. Forget a buzzer-beater in basketball—this is the stuff legends are made of.

The Victory Lap:

Once the metrics align and the quarter’s targets are met, the champions don’t just high-five. No, they celebrate with a spreadsheet victory dance, wrapping themselves in pivot tables like they just won the World Cup. No trophy, just that sweet satisfaction of knowing they managed to make numbers go up. The ROI is the MVP, and everyone knows it.

So next time you see a revenue manager furiously typing away, just remember:

You are witnessing a world-class athlete at the top of their game.

Love,

Fabi