Annual Incremental Revenue
Incremental Room Nights
Leading operator was looking to improve booking revenues on their brand’s website, but had a number of challenges to consider:
Advanced segmenting and targeting a highly heterogeneous consumer base.
Coveted destinations in a competitive industry, with continuous price benchmarking.
Rapid competitor price reaction to any promotions or discounting.
The hospitality chain's goal was to create seamless user experiences that increase hotel booking revenue from their brand’s website.
A pilot test of Adaptive Pricing was implemented in just six weeks, requiring minimal IT integration. As the algorithm learned, and integration refined, iterative performance improvements were achieved for 18 months after initial deployment, resulting in:
Tailored promotional adjustments based on the customer’s individual elasticity
Predictive capabilities at the level of each individual visitor
A consistent, yet personalized experience for each visitor
Hard-to-detect technology, protecting the brand against competitor reaction
Significant revenue uplift on traffic within scope that have high elasticities
Additional lift in Average Basket Value – natural upselling despite incentives
Continued algorithm improvement and revenue lift for 18 months after initial deployment
AP integration across additional marketing, promotion, and reinvestment activities