S. Domínguez Menchero, E. Torres Manzanera
Hotel room rates and available rooms via online channels vary from day to day. It is natural to ask when a tourist should book a room to get a lower price or when the hotel manager should monitor competitor pricing or to seek out other sales channels with lower commissions. Isotonic regression techniques allow us to estimate a reliable model that analyses the evolution of room rates.
The model detects when dynamic pricing is applied, and makes it possible to collect a great deal of specific information on the dynamic pricing strategy of a selected destination. For overnight stays during periods of high demand, a generally recommended strategy is to make the booking at least 15 days prior to the arrival date.
Regarding managerial implications, the study suggests the importance of monitoring prices of competitors no more than 15 days in advance. Hotel managers are recommended to raise their online room price rather than seek out other sales channels with lower commissions.
Palabras clave / Keywords: dynamic hotel pricing, online prices, optimal time of purchase, isotonic model
Programado
Sesión M02 Aplicaciones de la Estadística
30 de mayo de 2018 10:50
Sala 4
