Automated Revenue Management with AI Dynamic Pricing Workflow

Automated Revenue Management and Dynamic Pricing Workflow

1. Data Collection

1.1 Identify Data Sources

Utilize various data sources such as:

• Booking engines
• Property Management Systems (PMS)
• Market demand data
• Competitor pricing
• Customer reviews and feedback

1.2 Implement AI Tools for Data Aggregation

Leverage AI-driven tools like:

• Revinate: For guest data analytics.
• STR: For market performance benchmarking.

2. Data Analysis

2.1 Predictive Analytics

Utilize AI algorithms to analyze historical data and predict future trends.

• Tools like IBM Watson: For advanced predictive analytics.
• Duetto: For revenue strategy optimization.

2.2 Market Segmentation

Segment customer data to identify target markets and tailor pricing strategies.

• Utilize Google Analytics: For segmentation insights.

3. Dynamic Pricing Strategy Development

3.1 Establish Pricing Algorithms

Develop algorithms that adjust prices based on real-time data inputs.

• Implement tools like PriceLabs: For dynamic pricing solutions.

3.2 Incorporate Competitor Pricing Analysis

Utilize AI tools to monitor competitor pricing and adjust accordingly.

• MarketMinder: For competitor rate tracking.

4. Implementation of Pricing Strategies

4.1 Automated Pricing Adjustments

Deploy automated pricing adjustments across booking platforms.

• Use OTA Insight: For real-time pricing updates.

4.2 Communication with Distribution Channels

Ensure all distribution channels are updated with the latest pricing strategies.

• Integrate with Channel Managers: Such as SiteMinder for seamless updates.

5. Performance Monitoring and Optimization

5.1 Continuous Performance Tracking

Monitor the performance of pricing strategies using KPIs.

• Tools like RevPAR Guru: To track revenue performance.

5.2 Iterative Strategy Refinement

Utilize AI to refine pricing strategies based on performance data.

• Employ DataRobot: For machine learning model refinement.

6. Reporting and Insights

6.1 Generate Reports

Create automated reports to share insights with stakeholders.

• Use Tableau: For data visualization and reporting.

6.2 Stakeholder Review Meetings

Conduct regular meetings to review performance and adjust strategies as necessary.

• Utilize collaboration tools like Slack: For ongoing communication.