Revenue Managers work closely with sales teams, reception desk employees and the hotel general manager in areas of promotion, business planning and reservation costs. They might conduct analyses of prices offered by other hotels to develop competitive prices and discounts.
Revenue Managers work primarily for hotels, motels, spas and resorts.
Revenue Manager Duties and Responsibilities
- Create Pricing Strategies: A major function of the Revenue Manager is to determine and set room rates and other prices in order to keep hotels competitive and earn revenue. This aspect of the job might include assisting in creating promotional campaigns in order to generate business, work with front desk personnel to track customer trends and reservations, and communicate with sales teams to gather sales figures. Revenue Managers will also forecast future demand and pricing trends.
- Conduct Competition Analyses: In order to determine competitive prices to ensure increased reservations and more revenue, Revenue Managers will periodically evaluate the prices of their competition. They will also analyze economic trends to determine the demand for hotel reservations based on tourism and business travel.
- Track Hotel Revenue: Revenue Managers will work with various departments within a hotel to create a budget and use accounting processes to determine the hotel’s revenue after expenditures. They will report financial information to general managers and make suggestions for increasing revenue through changes in pricing and efforts in generating more business.
- Revenue Manager Skills: As expected, a Revenue Manager would need excellent analytical, communication, customer service and organizational skills in order to be effective in this position. Both written and verbal communication skills are a must, as Revenue Managers typically conduct meetings and submit reports. They should be strong team leaders who can focus a group on achieving the same goal of creating revenue for a lodging establishment. An attention to detail, above average math skills and the ability to meet deadlines are all important aspects in revenue management. In addition to these general skills, a Revenue Manager could be expected by potential employers to possess the following skills.
- Developing pricing strategies, including building rates for rooms and packages and determining discounts and specialty rates
- Forecasting pricing and revenue based on demand and market trends
- Evaluating trends in the economy and hospitality industry
- Creating promotional plans to increase revenue
- Understanding inventory management processes
- Generating revenue reports
- Ability to communicate in multiple languages
- Proficient in Microsoft Office applications