The hotel industry is highly susceptible to fluctuations in demand. It can be challenging to understand what decisions will be best in your market when faced with these constant shifts. How do you determine exactly what business to target? How do you know if your current market outreach is working? Assessing future demand is critical for hotel revenue managers to develop proactive strategies to maintain profitability.
As a manager or top executive, you likely hold regular review meetings that pore over data from the previous month. The goal of these meetings? To determine what can be done throughout the current month to improve performance.
Reviewing your hotel’s performance data is non-negotiable — historical data helps you learn from previous mistakes or scenarios, leading to growth and success.
But what if you could get predictive data about future demand and mix of business, with insights into how your competitors are likely to perform in these future scenarios? With these insights into expected trends, you can make smarter revenue decisions and outperform your competition.
How do you get data and insights to impact future results and take corrective measures to improve your target market prioritization?
In this article, we’ll review leading hotel demand data tools, such as Demand360®, that help revenue managers to assess short-term demand trends, travel intent, and future demand for the hotel industry.
Prosper Hotels helps you leverage the power of demand data to create unique revenue strategies to outperform your competition and reduce future uncertainties.
What is Demand360®?
Demand360® (an Amadeus business intelligence solution) provides revenue managers with reliable, real-time, future demand data to develop revenue management strategies and support data-driven decision-making.
How does Demand360® do this?
As part of the Amadeus group, Demand360® (formerly TravelClick), has proprietary partnerships with hotel chains, vacation rentals, and independent hotels, with access to their advance room bookings data for future dates, allowing Demand360® to show you forward-looking trends.
Demand360® aggregates demand data from thousands of hotels to give detailed trends around KPIs such as occupancy rates, ADR, and RevPAR.
It also allows you to view demand data from various market segments and different source channels (such as direct bookings, central reservation system (CRS) data, bookings via OTAs, etc.).
Moreover, it allows you to compare the future performance of your hotel to your competitor’s predicted performance over the next 30-90 days.
Advance insights into future trends give your revenue managers time to adjust their strategies and allow them to shift share from competition to your property.
Prosper’s experienced consultants use future demand data and competitive set data from Demand360® to create dynamic revenue optimization strategies in real-time.
Let’s look at some of the features of Demand360® in further detail.
Features of Demand360®
How does Demand360® paint the complete picture that revenue managers and hotel owners require?
It looks into the past, present, and future.
With Demand360®, you gain access to one year of forward-looking occupancy data from over 35,000 participating hotels, including leading hotel chains, small and independent hotels, plus over 27 million short-term or vacation rentals.
Forward-looking data about expected occupancy, pick-up trends, group business data, and room rates for your hotel and your competitors helps you optimize your pricing and promotions to keep your occupancy rates high and maximize revenue.
You can filter data by segment, sub-segment, channel, and sub-channel trends to uncover market segments in which your hotel is underperforming. This means there is potential for higher revenue and profitability from these segments if you have data-based insights about what to improve.
Demand360® updates data five days a week, so you’re always sure you have the latest data available for precise, actionable insights.
Demand360® delivers a unique metric: your forward-looking ADR and RevPAR rank compared to your competitive set.
You receive reports and alerts that give you insight into what’s happening with your competitors.
The key to success with Demand360® is to choose your competitive set carefully. If the competition you choose to look at is not properly defined, the resulting data and insights will not be precise enough to get you the results you are looking for.
You can use Demand360® to understand your competition’s most successful segments and channels. Set customized alerts about critical market demand changes delivered directly to your inbox.
Prosper Hotels works with clients to sift through Demand360® data to arrive at actionable strategies to win over the competition and shift market share in your favor.
Organize your market data easily
When you work with large amounts of data, it can be tedious and time-consuming to filter it into different segments and organize it to reveal patterns and make the data meaningful and insightful.
Demand360® automates filtering and organization of market data so you can quickly and easily build multiple competitive sets. You can drill down into each competitive set’s segment, distribution channel, or sub-segment trends.
Prosper’s consultants work with you to study Demand360® reports and dashboards to derive strategies to drive your business toward high-potential segments and lower-cost channels.
Supplement Demand360® with Additional Insights
Demand360® gives you access to a large amount of data. But data is only useful if you can derive business insights and actionable strategies from it. You can use several tools and resources to supplement your Demand360® data with additional insights.
Here are just a few of them:
Whether you use Demand360® or any other Business Intelligence or hotel market intelligence tool, Prosper Hotels’ industry experts derive and deliver insights and actionable steps to optimize hotel occupancy rates and maximize profits.
Our consultants and revenue experts work with you continuously to review and analyze forward-looking demand data and search intent data from various tools and sources, empowering you with growth insights to improve your competitive position and shift market share in your favor.
Based on the data, we recommend tweaks and adjustments that could significantly impact your revenue.
We help your revenue managers build the optimal and most profitable strategies for each season and time period.
Google Hotel Insights
When people want to travel, they’re likely to search online. Google is the leading search engine, and any trends you gather from Google’s search data are likely to give you powerful insights into what people are searching for and where they are searching from.
Google Hotel Insights is a free service from Google that shows valuable insights about recent searches for hotels in a specific area — on demand.
You can see when searches for your area start rising and understand where these potential customers are coming from, so you can ensure you are targeting the right audience and country.
For example, if you select New York, you can view search trends for the last 12 weeks and see if interest in hotel stays in New York has increased or dropped compared to the previous year. Also, you can learn where the demand comes from (domestic searches vs. international) and which countries people are searching from. This will give you an idea of the potential submarkets you could target.
However, Google Hotel Insights does not specifically reflect forward-looking reservation data — it only pinpoints a rising or dropping trend in interest and implies an intent to travel or book hotels in a specific location.
OTA Market Insight
Market Insight from OTA Insight is a predictive market intelligence solution to capture hotel booking intent in real-time.
It aggregates millions of data points from different sources such as OTAs, GDSs, flight data, holidays, alternative lodging, and meta-review sites. And you get location-specific, segmented demand insights.
Using Market Insight, revenue managers can estimate future demand and view them via market heatmaps. You can access segmented data for future demand by sub-location, geo search, stay pattern, and accommodation types.
Available at a monthly subscription, it is a user-friendly tool, allowing you to set dynamic competitive sets and configure smart alerts. Hoteliers voted OTA Insight as the #1 Rate Shopping & Market Intelligence provider in the 2023 HotelTechAwards.
TripAdvisor Market Spotlight
Tripadvisor created this business intelligence solution, providing hotels access to future demand data.
It leverages data from two industry leaders — travel search data from Tripadvisor and OTA Insight’s aggregated data on flights, alternative accommodations, and more.
It provides forward-looking, actionable data, enabling hoteliers to anticipate future demand.
Tripadvisor’s Spotlight is a reliable tool to assess future demand, compare rates against those of competitors’ across various room types, identify rate parity issues, and compare public and member rates.
Prosper’s hotel industry consultants work with you to review and analyze this data and use it creatively to maximize RevPAR and set attractive and competitive pricing.
Google Travel Analytics
Google Travel Analytics is a service Google offers to its commercial travel partners.
Hoteliers and revenue managers can access current and future insights and trends on travel demand and destination popularity and find campaign benchmark metrics for origin and destination markets.
It is available for registered Google Travel Partners, where the insights data can be combined with the partner’s own data to provide unique insights.
Gain Control of Your Revenue with Prosper Hotels
Prosper Hotels helps you gain control of your revenue using data from a tool like Demand360® or OTA Market Insights and services such as Google Hotel Insights or Travel Analytics.
Our revenue reporting services deliver insights on the micro details you need to run your business — directly to your mailbox every day.
Our consulting team is on hand to provide advisory services for your revenue managers and top management.
So, let’s leverage forward-looking demand data and predictive market intelligence to keep you a step ahead of your competitors and keep your hotel rooms full!