To listen to the podcast, simply click play above or download the file to your device (mobile or computer) to listen to it later.
Here is also a (less complete) summary of the exchange just after.
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I'm delighted to welcome to our podcast today Elsa Biscaut who is a hotel general manager for Machefer Hotels Collection .
In this interview Elsa shares with us her experience of revenue management as a hotel manager.
You will discover:
- how revenue management became addictive for her,
- what are his concrete tips for getting started
- and its preferred method of encouraging guests to book directly with the hotel rather than going through OTAs (Online Tourism Agencies) . (only in the podcast)
Hello Elsa, tell us about your background.
I am Elsa Biscaut Hotel Director at the Machefert collection in Paris. I came by swimming: because I am from the depths of Texas! Concerning studies, we don't have quite the same process there, so I had to make a small adaptation in Switzerland. And even though the school is prestigious, I really learned everything from my mentors during my internships and my first jobs.
I worked in reservations for the Méridiens in Paris, in events at the Nikko, at the reception at the Montalembert, and in customer relations at the Sofitel Grand Arch which became the Pullman flagship. Then I was given a crazy chance: I had the honor of taking my first direction at the age of 24 in Paris. A very beautiful 4-star boutique concept hotel at the Arc de Triomphe. Since then, opening hotels has become a passion, I am on my 4th opening.
How long have you been doing revenue management?
I was somewhat forced into it when I took office. At the time, I knew about fax confirmations and what came close to revenue management was: the establishment of show dates, the comparisons to N-1 and the comparison to compsets… (Elise note: compset = competitive set i.e. set of competitors) Our hotel sold mainly directly, because the owners were avant-garde, they understood the system and had put in place a strategy that worked very well. This has evolved significantly since then. We have had to adapt to new technologies and new lifestyles which have a huge impact on our actions.
I have the impression that each season we have to relearn everything, the market fluctuates, there are rarely two periods that are alike and we have to know how to cope with them brilliantly. I very admire the more experienced colleagues, they have an exceptional memory. It is said that the best director is not the one who makes his budget "on show date" or in a good year, but the one who pulls out of the game when everything is going badly. That's where I learned that revenue management made all the difference.
How did you get started and why?
My hand was forced a little to be honest. Unfortunately, when I asked my local colleagues for advice, they tended to keep all their schemes and schemes to themselves. I was a little self-conscious being so young, I requested training from SYNHORCAT which was very informative. I didn't learn anything new compared to what I already knew, or what I already imagined, but it removed a fundamental thorn, fear.
I was too afraid of taking risks, of missing a budget, of doing anything and risking my job (8 months of trial period is a long time!) I was put under more and more pressure to to do even more, always more, but I didn't know concretely how to achieve it.
So I started with little: applying a long-term strategy, so if I made a mistake, I still had time to catch up.
In the end, the little things worked and I got a taste for these successes which become very addictive. We get into the game very quickly.
I established relationships with my distributors, who, contrary to what one might believe, provided good advice, because they are often veterans of the field. I read a phenomenal amount of articles and forums and each time, I had more and more courage to take risks, to form different partnerships, to approach my business clients and to improve sales. direct.
Why do you think some hoteliers may hesitate to embark on a revenue management strategy?
I would say simply for comfort. We are all afraid of the unknown, of being titillated, of leaving our comfort zone. I was the first to be reluctant! Why change a formula that works well?
In fact no, the formula that worked yesterday, or even today, will be a has-been tomorrow. We hide our faces and don't want to see the frightening truth in front of us. So we bury our heads in the sand... Until there is a crisis, an attack or until the neighbor who is less good than us does BETTER than us. And now is the time to ask the right questions and question ourselves. We always have something to learn. Methods and technologies are moving at lightning speed. Knowing that all hoteliers have a slight bureaucratic tendency when it comes to setting things up, the sooner we get started, the sooner we'll get our share of the pie. Who goes hunting loses his place, right? He who does nothing will have nothing either.
What advice could you give them?
I can advise you to educate yourself, get closer to generous colleagues, and participate in discussions at forums and fairs. Revenue management is not an exact science, but with a few basic reflexes anyone in any scenario can succeed. SYNHORCAT and UMIH have very interesting training courses often supported by the FAFIH . I was even able to benefit from a masterclass at Accor with Fastbooking financed by the OPCA .
Those who have a budget can get help from consultants for the beginning, while they get started. It's a good investment, because the time wasted floundering alone is lost revenue potential. We have to talk to each other among competitors, we are all in the same boat and it is always pleasant to share the adventures of our daily life. We have what it takes to write books.
What direct benefits do you see in your business thanks to revenue management?
The most obvious is the increase in turnover and RBE! But not only that, but also the peace of mind of being certain that you have tried everything and not being in panic all the time. For example, avoid drastically lowering your prices to fill at the last minute. Revenue management also brings peace of mind, having made up your mind (of reservations) and seeing the months to come more clearly, and that is priceless!
Do you have a favorite revenue management technique or tip that helps your hotel’s performance?
In my last hotel, I established a strategy by always putting myself in the customer's place. If I see prices, anywhere, anyhow, with alarming differences, that does not inspire confidence in me. I therefore maintained “public” parity between OTAs, with obviously a cheaper rate on my site and with an additional benefit for direct reservations.
In low season, I favored opaque offers which give the customer the impression of having found the promotion made for them. One shot at one distributor, one shot at the other, so as not to make anyone jealous. Because in the end, they know that we are small players against them. The important thing is to remain fair between the 2 – 3 giants, so that there is no favoritism. This makes it possible to improve its ranking as well as its consistency with the customer.
Thank you for reading this podcast summary.
And how do you manage the relationship with famous OTA? (Online Tourism Agency)
Share your experience below, Elsa and I will be delighted to read and discuss.