One of the functions of the Channel Manager, which is particularly useful for the hotelier, is the provision of statistics and analytics. A key element in the reports is the evaluation of the channels in terms of how they operate and their performance. One of these elements that we should pay attention to and take into account when choosing the channel mix, and the pricing policy, is the average revenue per booking on each channel.
This depends on important factors that we need to evaluate:
- The value we set on each channel, depending on whether it is bar or nett
- The average overnight stay for each channel
- The commission that each channel holds
- Percentage of canceled reservations
As we can see in the chart, in most cases in wholesalers systems, the average revenue is lower than that of retail. The main reason is that the reservations are for fewer nights but also the net price we give in most cases.
It is also important to see how the retail and booking engine channels work, since another element that we should take into account is the cancellation rate in relation to bookings.
The analysis of such reports may work positively for the results of our accommodation if they are taken seriously but also if we can understand them.
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