Covid-19
Data, facts & support

 

The effects of the corona crisis on the hotel and tourism industry are becoming increasingly clear and evident. The Covid-19 crisis for hoteliers will not be over by the end of April, but will continue beyond the summer.

In any case, national markets will feel the effects until the summer, and international hotel markets will not return to the level they were at last year until the middle of next year at the earliest.

We will keep you up to date with facts & figures and will are happy to answer your questions either via our live chat or via email.

Find out more information on our Covid-19 Hub here

Welcome to mrp hospitality consulting. European hotel experts

We support hotel property owners with various consulting tasks related to their hotel property from hotel development to management and we do this during all phases of a project. In addition to exceptional know-how, our experts also have many years of experience in the global hotel and real estate industries.

Specialist expertise and first-hand know-how.

Excellent qualifications, many years of know-how in the hospitality industry and significant international experience allow mrp to offer its customers a comprehensive portfolio of services. Whether you require strategic hotel consulting, asset management, or state-of-the-art technologies for a hotel of the future, our consulting team can support you in all your needs when it comes to the hotel business.

Pan-european presence.

Our offices are spread across Europe – that enables us to provide our clients with specific market insights.

Vienna

Head Office
Getreidemarkt 14
1010 Vienna, Austria
office@mrp-hotels.com

London

5 Cedarland Terrace, 21A Copse Hill
Wimbledon, London
SW20 0NB
United Kingdom

Amsterdam

Plein 1945 #27
1251 MA Laren
Netherlands

Berlin

Savignyplatz 9/10
10623 Berlin
Germany

Luzern

Gesegnettmattstrasse 2
6006 Luzern
Switzerland

Istanbul

Gayrettepe Mah. Vefabey Sk. 9/14
Besiktas, Istanbul
Turkey

How does revenue management deal with declining demand in “crisis-related” times?

Do not reduce rates

A reduction in rates will not increase demand: guests who have to or want to travel will not change existing travel plans. The important thing is not to repeat the mistake made in 2010 and reduce rates, but to remain true to the motto “the right price, for the right customer, for the right product”. A price correction – upwards – after the end of the crisis is, therefore, a greater challenge

Overwrite revenue management systems

RMS systems tend to want to reduce rates due to the lack of pickups. The coronavirus is an unforeseen event, similar to the outbreak of Eyjafallajökull. It is explained to the system that the missing pickup has nothing to do with a normal decrease in demand.

loosen cancellation conditions

In the current situation hotels have sufficient rooms available. To give guests flexibility, relaxed cancellation conditions at “normal” daily rates are worthwhile. This ensures that business with customers willing to pay is crowded out – full-paying business is unlikely to be rejected as a result.

Offer promotion rates

This seems to contradict points 1 and 3, but if large discounts are required, then at least not via the daily rate (BAR, RACK) – but via promotions. It is important to communicate clearly that a cancellation or rebooking is not possible.

Group cancellations

The handling of the cancellation costs is left to the discretion of each hotelier. However, it is recommended to insist on cancellation costs. As a concession to the customer, 20% of the cancellation costs can be deducted from future bookings as a reduction for new bookings.

Contact for revenue & distribution

Gilbert-André Ghammachi

m +491522 98 79 862

e gilbert.ghammachi@mrp-hotels.com

in inkedin.com/in/gilbertandréghammachi

International network.

Due to many years of experience across various management levels within the hotel industry, as well as a wide array of successful business relationships, we are supported by an international network that also significantly contributes to our specialist expertise.