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HOW TO CHOOSE AND SET UP HOTEL ONLINE SALES CHANNELS FOR EFFICIENT REVENUE MANAGEMENT

The Kolomenskoe Hotel is located in the Kolomenskoe Museum-Reserve, the former summer residence of the Russian tsars. Kolomenskoe today is a centuries-old history, silence and protected nature within the city: ancient apple orchards and oak groves, Golosov ravine, ponds and floodplain meadows. One has only to walk through the territory of the former royal residence to feel that time flows a little differently here.
In October 2021, the hotel management turned to SEA Company to optimize the process of working with existing online sales channels, as well as adding and setting up new ones.

PROBLEM

The Kolomenskoe Hotel, which is part of the State Budgetary Institution of Culture of the City of Moscow - the Kolomenskoe Museum-Reserve, for many years accepted bookings exclusively via e-mail or by phone and was not represented in online sales channels. In 2021, the hotel decided to start cooperation with online platforms, but it was chaotic due to the legal features of working at the hotel and the lack of necessary personnel. Without a unified policy of cooperation with OTA, the loading of the hotel was uneven, and the lack of a unified standard of work led to constant blocking of online sales channels.

SOLUTION

In order to increase the profitability of the hotel, as well as analyze existing channels and set up new ones according to a single standard, it was decided to implement the Consulting service for working with online travel agencies, where SEA Company acted as an expert and aggregator for connecting the hotel to all hotel-relevant booking platforms.

IMPLEMENTATION

1. SEA Company consultants prepared a list of OTAs relevant to the hotel, and held negotiations with them to improve the terms of cooperation.
2. The SEA Company team held a series of working meetings with the legal and financial services of the hotel, and subsequently introduced a hybrid form of payment for guest accommodation.
3. The sales department of SEA Company connected and set up several interchangeable and complementary booking channels.
4. SEA Company Public Relations, Advertising and Marketing Department updated and uploaded hotel information on all online platforms.

RESULT

1. Hotel occupancy, with an increase in the average daily rate, increased:
- in the 1st quarter of 2022 compared to the 1st quarter of 2021 by 15%;
- in the 2nd quarter of 2022 compared to the 2nd quarter of 2021 by 13%.
2. Due to the growth in sales of more expensive room categories, the hotel's room revenue for the first half of 2022 increased by 55% compared to the same period last year.
3. The diversification of OTA channels of the hotel's presence helped to avoid a "collapse" of bookings after the Booking.com shutdown.
4. The hotel's sales funnel has been expanded by connecting a hybrid form of payment for accommodation.
5. Due to the outsourcing of the functions of working with OTA, the labor costs of the hotel staff were significantly reduced.

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