In today’s competitive world, the management of five star hotels are being flexible and innovative in playing with new set of conventions and strategies to achieve edge and profits. The hotels, being huge and significant investments for both the investors and the national economy, need a long-term strategic planning and management so as to be successful. Improved customer service, better quality, operational effectiveness, bottom line profits and ability to engage with customers are more important to survive in this stiff competition. Revenue Management has been one of the contributors towards business profitability and its wide adoption by most service organizations especially hotels evidence its success and strong future. There has been little research in the Indian context to probe rather lethargic absorption of Revenue Management practices in India due to around its acceptance from customers. The purpose of this research was to explore the existing revenue management practices, emerging opportunities and the challenges in the luxury segment from hotel operator’s perspective. A qualitative approach was adopted for the investigation through personal in-depth interviews with Revenue managers and General Managers (in absence of Revenue Manager) of five star luxury hotels. This study aimed to explore the revenue management practices and the challenges faced by Indian Revenue Managers of five star luxury categories. This research helped in identifying the level of achievement of five star luxury hotels in applying Revenue Management practices and also thrown light on the knowledge and awareness of Revenue and General Managers. This study also uncovered the challenges faced by Indian Hospitality Managers while implementing Revenue Management in five star hotels of India. The practical implication of this study was to suggest strategies that Indian Hotel Managers can adopt to overcome challenges and implement revenue Management effectively in other parts of the hotel and make Revenue Management as “Responsible Revenue Management”.
Singh, A Competing profitably with other hotels: The role of Revenue Management as a Strategy in Munjal, S. for the book, “Balancing growth and profitability: Scenario of the Indian Hospitality sector”, Apple Academic Press, Inc., USA.
March 9th, 2017