Building on the strength of their revenue management services, Choice Hotels’ own revenue management system, ChoiceMAX proves valuable for franchisees across key metrics.
Since launching to their portfolio in May 2022, Choice Hotels Asia-Pac now has more than 50% of their eligible properties utilising ChoiceMAX, the group’s automated revenue management system integrated with their own PMS system, choiceADVANTAGE.
Purpose built by market leading revenue management software company IDeaS for Choice Hotels International, the system is live across more than 5000 Choice branded properties worldwide. The mobile-enabled solution was the first of its kind for the industry, and saw Choice Hotels International awarded the Hospitality Technology Hotel Visionary Award for enterprise innovation in January 2022.
ChoiceMAX is designed to help franchisees effectively manage hotel room rates, channels, and inventory, putting the market and seasonal insights they need to make informed rate decisions into the palm of their hands.
Locally backed by a full-year of Asia-Pac data from a broad property set, Director of Performance and Revenue Management for Choice Hotels Asia-Pac Anthony Stanley sees ChoiceMAX as the next step to empower franchisees to grow their business.
“Putting the data and insights directly into the hands of our franchisees is the perfect reflection of our vision. Everything we do is to better our franchisees’ business, supporting them to take control of maximising their revenue,” said Anthony.
The performance benefits are clear with ChoiceMAX properties leading traditionally revenue managed properties across ADR and RevPAR. At end of June 2023 properties using ChoiceMAX saw an 11% YoY ADR growth, 3%- 5% ahead of other revenue managed properties. ChoiceMAX properties also outpaced YoY RevPAR growth at 9.7% leading other revenue managed properties by almost 3%.
While technical innovation is often cited as having the potential to take roles away from skilled employees, ChoiceMAX is giving Choice Hotels Asia-Pac’s team of revenue managers the space to be more strategic and support properties to understand the true benefits of the discipline.
“Like everything in our industry, revenue management isn’t set and forget. Automated insights are one thing, knowing what to do with them is the real power and that’s where our revenue managers come in,” said Anthony.
Choice’s team of expert Revenue Managers strategically set and monitor rates for their properties giving franchisees the potential to maximise their revenues, grow their profitability, and gives them time to focus on delivering the best customer service. With some of the data load taken on by ChoiceMAX, Revenue Managers take on a strategic advisory role, supporting franchisees to learn the user-friendly system and interpret their rate insights to set the best rates now and into the future.
“In an increasingly competitive market like we’re seeing in 2023 hotel operators need support to get ahead, we saw that in our Q2 results with revenue managed properties outperforming non-revenue managed properties by 13%. We’re committed to doing everything we can to keep them ahead,” said Anthony.
Hear more about Choice Hotels Revenue Management services from franchisee Greg Winston:
To learn more about Choice Hotels Asia-Pac Revenue Management services or to find out how your hotel will benefit by joining the Choice Hotels group, contact the development team on 03 9243 2500 or visit JoinChoiceHotels.com.au.