Effective benchmarking helps you to understand where you stand in the market, identify gaps in your hotel’s strategy, and to discover opportunities for growth and profitability.
It involves measuring and analyzing various metrics of a hotel’s performance such as occupancy, ADR, RevPAR, and market share, using both historical data and forward-looking data.
The purpose of hotel benchmarking is to allow hotel operators to assess their performance relative to their compsets (hotel competitive set), and within the overall hotel market.
By benchmarking, hoteliers can gain insights into their brand’s strengths, weaknesses, and areas of improvement.
In this fast-paced environment, benchmarking has become more than just a handy tool; it’s also part of the roadmap toward profitable decision-making.
With several hospitality benchmarking tools out there, how do you choose the right one? The five key features to look for in a competitive benchmarking tool for the hotel industry are:
1)Data Quality and Relevancy: The effectiveness of benchmarking hinges on the quality of the data used and how accurately it reflects your market. It’s essential to invest in a tech solution that gathers relevant, high-quality data efficiently and presents it in a simple and timely manner.
2)Data granularity and actionable intelligence that drives decisions: Your benchmarking tool should be designed to save time you previously spent on consolidating and analyzing spreadsheets. It should efficiently deliver the crucial insights you need, utilizing the most recent data available, at the simple click of a button.
3)Intuitive interface: The ideal benchmarking tool offers an intuitive user experience that is easy to learn and allows users to do more with less so that managing multiple properties becomes a streamlined and effortless task, and clear visual insights enable better communication across internal teams, owners, and other key stakeholders.
4)How does it integrate with your other BI tools? Your benchmarking tool should integrate seamlessly with your existing business intelligence (BI) tools, to form a single comprehensive commercial platform and not merely as a standalone product.
5)Fast and easy to use with a high level of support: Customer support should be readily available whenever you might need assistance to ensure you get quick and helpful responses with minimal waiting time and fuss.
In the fast-paced and competitive hospitality industry, hoteliers are constantly on the lookout for tools that can assist them in making well-informed decisions and enhancing their business performance.
Read the full article at https://www.otainsight.com/resources/blog/top-features-hotel-benchmarking-solution and make sure to check out OTA Insight’s free beta testing of its new tool, Benchmark Insights!