Fortunately for you, elasticity and competitor considerations take center stage in this third and final post in our series about revenue management system (RMS) must-have features. Public pricing rates are the lowest non-restricted rate bookable by all guests and they impact revenue management in numerous ways. Arguably the most important is how their price sensitivity is measured and analyzed. Attempting to increase or decrease hotel rates without considering how the change will affect demand is like betting all your black chips on a hunch you only feel is right. Does that mean hotel managers are all seeking that one magical price point and — voila! — they just wait for revenue to roll in? Not quite. What makes pinpointing the best rates so complex is the elasticity of the industry. Elasticity can vary by market segment, time to arrival, day of the week, season and many other factors. That means there’s no single magic number. What’s more, competitor rates play a huge role in understanding price sensitivity. Get the full story at IDeaS