phone+49 (30) 726225-0

personLog In

CultSwitch Users Dynamically Optimize Their Room Rates with RoomPriceGenie

CultSwitch channel manager with new interface to automated revenue management solution

Berlin, 8 September 2020. Hotels generally react to fluctuations in demand by adjusting prices. In peak demand periods, they maximize their revenues, if demand is low, they optimize capacity utilization. These time-consuming price adjustments increase the competitive pressure on smaller supplier providers with fewer resources. With RoomPriceGenie, even smaller hotels and accommodations automatically adjust their room rates to the market situation, thereby optimizing their revenues while reducing manual effort. The adjusted prices can now be updated directly in the CultSwitch channel manager.

Small hotels and accommodations in particular are facing increasing difficulties: In view of fluctuating demand and growing competition from large hotels, they have to calculate their room rates carefully. If they are too cheap, they make no profit. If they are too expensive, they do not generate enough revenue. The way out of this dilemma is dynamic pricing that optimizes rates according to occupancy and market conditions.

Large hotels use complex revenue management systems and dedicated staff to correctly price both peaks and lows in demand. However, many smaller hotels do not have sufficient resources to perform this complex task on a daily basis and often also lack the necessary market information. The optimum pricing for overnight stays depends on many factors: Capacity utilization, future booking trends (pickup) and the hotel’s own cost structure, but also the development of demand (seasonal periods, events) or competitive offers.

The revenue management system RoomPriceGenie from the Swiss company RPG AG relieves smaller hotels, B&Bs and other accommodation providers of this work. It permanently analyzes thousands of market prices, booking trends and planned events in the area (for example trade fairs, congresses, sports events or concerts) and calculates the optimal room price per period. RoomPriceGenie also takes into account minimum and maximum prices as well as seasonal cycles. If desired, new prices are automatically updated several times a day directly in selected PMS or channel managers – and now also in CultSwitch.

The 2-month test phase with a pilot user is now completed. With immediate effect the new interface to RoomPriceGenie is available to every CultSwitch user. “RoomPriceGenie is an effective way for our customers to be more competitive with dynamic pricing,” says Robert Reinsch, Head of Customer Care and Partner Management at CultSwitch. “This proven solution helps especially smaller hotels to boost their revenues and reduces the effort for market observation and calculation”.