“Once the IDeaS Revenue Management System went live, our managers were a bit skeptical as its recommendations sometimes conflicted with our traditional pricing strategies and booking decisions. However, significant improvements began to be seen almost immediately, and the software produced such good results that it paid for itself within a few months.”
Comprised of seven luxurious properties located throughout London, each Firmdale Hotel is characterized by a unique look and style, mixing the modern with the classic. Their portfolio includes: The Pelham and Number Sixteen in South Kensington, the Knightsbridge, just a block from Harrods, the Covent, the Charlotte Street Hotel, the Soho, located in the West End and the Haymarket, residing in the heart of the theatre district.
In the past, Firmdale Hotels, a pioneer of the boutique-luxury concept, determined its pricing strategy on a manual basis, which wasn’t helping them grow their average room rate and practice better yielding. They decided to explore more strategic forecasting which they thought might be their ticket to capturing more valuable, longer-staying guests. What they needed was a technology-based solution to provide more tactical management of the demand.
“Many of our employees had firsthand knowledge of IDeaS Revenue Management System, having used it previously at other hotels, and so they were enthusiastic about the implementation.”
IDeaS Revenue Management System met Firmdale’s needs to a tee. Their employees found it highly intuitive to use, and appreciated the fact that it still allowed users to override the system in exceptional circumstances.
IDeaS Services provided a two-day onsite training workshop for Firmdale Managers. The implementation process took only three months from start to finish. Historical data was gathered and analyzed and data extracted three times a day in order to monitor how the bookings and reservations progressed.
The IDeaS Revenue Management System was implemented at the hotel with the following modules: IDeaS Multi-Property, which allows authorized users to view data from multiple properties, and benefit from reporting; CRS decision deployment in addition to sending decisions to the PMS, which ensures that the customers have rate parity, and IDeaS Group Pricing, which was found to be particularly beneficial, as it is specially designed to support decision making for enquiries including both bedrooms and event/meeting needs. In particular, it evaluates group requests, analyzes displaced revenues, finds alternative dates and includes additional revenues and produces a total value assessment.
Due to the performance at Soho Hotel following the installation, Firmdale Hotels installed the IDeaS Revenue Management System in their other properties. The Haymarket Hotel opened in May 2007 with IDeaS Revenue Management System already installed.
Following the deployment of the IDeaS Revenue Management System, average length of stay, room rate, and occupancy increased at all Firmdale Hotels. The group succeeded in its desire to deploy strategic guest optimization, increase room occupancy rates and give a significant boost to revenue growth.