How to? Set up Yield Management on RezKey

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Morticia's picture
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05/22/2008

Specific question on how to set this up with these scenarios:

Certain dates are filling up and I want to: (either or both of these things)

  • A) raise rates for remaining rooms;
  • B) make remaining rooms 2 night minimum.

If you are doing this, I would appreciate the detailed how to.

 

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Arks's picture
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05/22/2010

I don't know about rule precedence. You'd have to ask on the chat board.

Click the menu dropdown on the upper right of the ResKey screen (looks like 3 short lines stacked horizontally, one on another), and pick Forum.

There IS some feature in ResKey that will draw a red line through the regular price and show a lower one, but I've never used it and can't remember how. I doubt it would do it in Yield Management because it would have to be smart enough to only do it on rules that lower prices, and I doubt he thought to put that in.

If you ask for the feature on the forum, he might add it. But he'll probably say "good idea but I have 60 similar good ideas in the queue ahead of it."

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Morticia's picture
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05/22/2008

Dope slap. I will just make one rule 31-90 days and the other one 1-30 days. Problem solved.

Morticia's picture
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Thanks!

Arks's picture
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I LOVE the ResKey Yield Management feature. It's there making money for me and I never think about it. When I DO notice that it has "kicked in", it's a case where the guest willingly paid more to get my last room or something.

In all cases, if they contacted me directly I'd probably be afraid to charge more. I'd probably charge them the usual rate. But when they book through ResKey directly, it does the dirty work for me, and they willingly pay it. Love it!

Of course, I also use it to discount when it's like 2 or 3 days away and I still have 3 to 5 rooms available. I want to encourage someone to book one of them.

Morticia's picture
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Arks wrote:

I LOVE the ResKey Yield Management feature. It's there making money for me and I never think about it. When I DO notice that it has "kicked in", it's a case where the guest willingly paid more to get my last room or something.

In all cases, if they contacted me directly I'd probably be afraid to charge more. I'd probably charge them the usual rate. But when they book through ResKey directly, it does the dirty work for me, and they willingly pay it. Love it!

Of course, I also use it to discount when it's like 2 or 3 days away and I still have 3 to 5 rooms available. I want to encourage someone to book one of them.

How? That's the question! I need specific directions for how to set this up. I already did the 'drop the 2 day min 3 days out' but I can't figure out how to set up the YM piece to raise the rates when there are only 3 rooms left. So, can you email me a screen shot of your page setup?

Arks's picture
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Morticia wrote:

How? That's the question! I need specific directions for how to set this up.

In ResKey...

  • Select Properties tab on upper right
  • Select Yield Management
  • Select Add Yield Management Group
  • Give a Group Name. Mine is YM1. Can't imagine what that stands for Eye-wink
  • Select rooms it applies to. Mine are all selected, with date range from now to 2032, so it doesn't expire.

To set up a new rule, fill in the "When the number of days between the booking..." section the way you want it, then select Add Rule. Below are how my two rules are set up. Once you have your first rule added, you can fill in the "When the number of days..." section again  and select Add Rule to add a second rule, etc.

My first Rule uses this setup:

When the number of days between the booking date and the reservation start date is within:
0 to 60 days, and available capacity* is between 0 to 1 units,
increase the room/unit price by  10 $ per day

In plain English, if they are booking a room within the next couple of months, and I only have 1 room left for the date(s) they plan to come, it will cost them $10 more, per day, to book that last room. If room supply is low and demand is there, price goes up.

My second Rule uses this setup:

When the number of days between the booking date and the reservation start date is within:
2 to 2 days, and available capacity* is between 3 to 5 units,
decrease the room/unit price by 10 $ per day

In plain English, if they are trying to book 2 days from now, and I still have a bunch of rooms unbooked (I only have 5), they will get a $10 discount to book now. If room supply is high and demand doesn't seem to be there, price goes down.

When done entering all the rules you want, select Save Changes to...save changes.

Morticia's picture
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05/22/2008

So, you can write rules that take place over the same time frame? Which one gets precedence? I'm thinking that 90 days out the rates go up $x if the rooms are filling up fast, but 30 days out they go up $xx.

And, like you, if it's 3 days out and the place is empty, the rates go down. (BTW, if there is a YM rule that lowers the price, does it show a / thru the old price or does it just look like that's the price all the time?)

But, with 2 rules that do essentially the same thing - raise rates - does the 30 day one override the 90 day one?

Thanks for the step by step, it was helpful.

 

Arks's picture
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05/22/2010

Morticia wrote:

How? That's the question! I need specific directions for how to set this up.

In ResKey...

  • Select Properties tab on upper right
  • Select Yield Management
  • Select Add Yield Management Group
  • Give a Group Name. Mine is YM1.
  • Select rooms it applies to. Mine area all selected, with date range from now to 2032, so it doesn't expire.

To set up a new rule, fill in the "When the number of days between the booking..." section the way you want it, then select Add Rule. Below are how my two rules are set up. Once you have your first rule added, you can fill in the "When the number of days..." section again  and select Add Rule to add a second rule, etc.

My first Rule uses this setup:

When the number of days between the booking date and the reservation start date is within:
0 to 60 days, and available capacity* is between 0 to 1 units,
increase the room/unit price by  10 $ per day

In plain English, if they are booking a room within the next couple of months, and I only have 1 room left, it will cost them $10 more, per day, to book that last room. If room supply is low and demand is there, price goes up.

My second Rule uses this setup:

When the number of days between the booking date and the reservation start date is within:
2 to 2 days, and available capacity* is between 3 to 5 units,
decrease the room/unit price by 10 $ per day

In plain English, if they are trying to book 2 days from now, and I still have a bunch of rooms unbooked (I only have 5), they will get a $10 discount to book now. If room supply is high and demand doesn't seem to be there, price goes down.

When done entering all the rules you want, select Save Changes to...save changes.

Morticia's picture
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05/22/2008

Thanks! I'll check that out tomorrow.

Momma Smurf's picture
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12/06/2010

YM specifically gives you a place to specify when the Availability Capacity is between x and x units. Do you see that?

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JerseyBoy's picture
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12/29/2016

We have generally been doing this process manually, monitoring the demand every few days or every day during our peak season.   The yield management tools can do this automatically to some degree but they do not automatically update the pricing on OTA's which creates a problem.  First it can cause you to violate your contract with the OTA but also if demand should increase and the yield management automatically raises prices on your site, it will leave them lower on the OTA's which is not what you generally want.

Momma Smurf's picture
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12/06/2010

It works both ways.  Sometimes, I may actually want to reduce rates and remove the minimum.  Best way to do this is to apply a manual Rate Adjustment rule as I monitor.  The Yield Manager will auto raise or lower rates.  Just choose your appliable rooms and rate plans, specify how many days away you wish this to happen, the units available threshold, and how much you wish to increase or decrease the rate.  Not sure if there is an auto change the minimum nights up or down, I have always used the Rate Adjustment.  If using daily prices, it's also simple to go in that way and change the minimums.

 

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