Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

You're the Revenue Manager of a 153-bedrooms property, the strategy for October 2021 was to drive more group bookings at your hotel by lowering

You're the Revenue Manager of a 153-bedrooms property, the strategy for October 2021 was to drive more group

You're the Revenue Manager of a 153-bedrooms property, the strategy for October 2021 was to drive more group bookings at your hotel by lowering the rates for this segment. You have received the final reports to analyze whether this new strategy was successful and you need to report the results to your General Manager. The group business mix increased from 20% to 40% in comparison to October 2020. Your hotel achieved an occupancy rate of 78%, 4 points higher than last year, at the ADR of 187 which represents a 3% RevPAR growth to last year. The RevPOR was at 255, 7% growth compare to October 2020. The STR report shows your ARI at 96.0, 5 points below last year and your RGI at 105.0, down from 109.0 last year. The accounting department just informed you that the GOPPAR increased by 15% year-on-year. Calculate the 6 KPIs (10 Points) Was the new strategy successful? Explain your answer with a minimum of 3 KPIs in your commentary (3 Points) Monthly Capacity Occ% ADR RevPAR RevPOR Room Revenue Ancillary Revenues Total Revenue TrevPAR GOPPAR 40% Oct 2021 153 78.0% 187.0 255.0 691,814.0 20% Oct 2020 153. 74.0% 191.37 238.3 671,664.1 Variance 0% 5% -2% 3% 7% 3% Occ% ADR RevPAR MPI ARI RGI Oct 2021 78.0% 187.0 145.9 96.0 105.0 Hotel Oct 2020 74.0% 191.4 109.0 Variance KPIs to be calculated for points Oct 2021 CompSet Oct 2020 Variance

Step by Step Solution

There are 3 Steps involved in it

Step: 1

SOLUTION To calculate the additional KPIs we can use the given information Occupancy Rate Occ October 2021 780 October 2020 740 Variance 40 Average Da... blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Advanced Accounting

Authors: Gail Fayerman

1st Canadian Edition

9781118774113, 1118774116, 111803791X, 978-1118037911

More Books

Students also viewed these Accounting questions

Question

What is meant by the term realization of prot?

Answered: 1 week ago