SPECIAL REPORT : THE REVENUE MANAGER
“ RM Pass ,” supported by 17 training academies around the world . Through this training program , Accor is currently putting out 30 to 40 revenue manager job offers worldwide per month .
IHG , Denham , U . K ., is planning to hire additional regional revenue managers to assist its hotels with strategic direction on revenue management . Currently the company employs 160 personnel to act as a hotel ’ s remote revenue manager and 20 who have regional revenue management responsibilities .
Onyx Hospitality Group , Bangkok , has made hiring a revenue manager for each of its properties a top priority . “ I joined Onyx Hospitality Group on November 1 , 2011 , and my first priority was to get a revenue manager in each of our properties ,” says Stefan Wolf , vice president , revenue management , at Onyx . “ Within the current structure , we have just my role at the corporate level , and we are working toward having an on-property revenue manager throughout our portfolio .” Another reason hotels are on a revenue manager hiring spree is that the industry is looking more closely at total revenue management . “ When we talk to companies , especially the biggest brands , there is a very strong vision to look to total revenue management . When group revenue and spa revenue are added in , the RevPAR index is no longer the key metric . Over the next 12 to 14 months we ’ ll see more total revenue performance ,” says Klaus Kohlmayr , senior director of consulting at Ideas Revenue Solutions , Minneapolis .
Kohlmayr adds that this could bring changes to the bonus criteria for hotel sales staff and revenue managers . Hilton says total revenue is already a top priority for its revenue managers at resorts as well as full-service hotels in Japan and the Middle East .
‘‘ WE ALSO
HIRE FROM SCHOOLS around the country — not just hospitalityfocused schools , but also business schools .”
– Chris Silcock , global head of revenue management , Hilton Worldwide
Communication , influence critical Regardless of whether the revenue manager is working in the hotel or remotely , in addition to data-analysis skills , the position now requires equal finesse to communicate with and influence a hotel ’ s general manager and sales team to help the hotel draw the optimal business mix .
“ You want a geek who can speak ,” Kohlmayr says . “ In the past it was more like an analyst — give me the report and let me make the decision .
Now they have a place at the table . It used to be more reactive ; now it is more proactive .
“ First of all , it ’ s not always about driving rate ,” Kohlmayr adds . “ It ’ s about optimizing performance across the board . It ’ s a combination of occupancy and rate . When it comes to the channels , the revenue manager must ask and determine , ‘ Is whatever channel we ’ re using a good long-term proposition for our business ?’”
This is primarily due to how the position has changed over the past decade , especially as technology has dramatically shortened the amount of time previously spent compiling and analyzing data manually on spreadsheet programs .
“ It ’ s evolved over the last 10 years from managing inventory to managing inventory and price ,” Silcock says . “ Now revenue managers sit on a wealth of information that is invaluable to the sales teams and online teams . More and more of their time is spent on analyzing business trends to make sure they are delivering the right business to the right hotel at the right time .”
Indeed , simply saying yes or no to a sales team ’ s proposals based on optimal rate is not what hotel companies are looking for revenue managers to do — they need to be more involved in working out how to bring the best mix of business to the hotel .
“ The revenue people attend all the sales meetings ,” says Janelle Cornett , corporate director of revenue management at Coastal Hotel Group , Seattle . “ We all work very well together . I think that the role of revenue manager is really changing . They are becoming more like marketers and salespeople to make sure we are not only getting the best rates , but where it makes sense for the hotel individually .
“ You are often not the most popular person in the room because you have to say no ,” Cornett adds . “ You have to be okay with not everybody always
www . hotelsmag . com March 2012 HOTELS 27