Managing the hostel inventory effectively can maximize revenue in the hospitality industry. Controlling and selling your rooms in a targeted way makes sure you achieve this goal. For optimal sales you need to implement strategies behind pricing, distribution and market segmentation.
What does hostel inventory management mean?
Hostel inventory management in a nutshell refers to understanding and overseeing your hostel’s room inventory with an aim to control perishable inventory. Perishable inventory means inventory that cannot be sold after that time has passed.
What is a hostel Inventory Management System?
This Inventory Management System helps companies to make sure they have enough stock on hand to meet their customer’s demands. For the hostel industry, rooms are the primary inventory. This helps owners to ensure they have adequate openings at rates to attract customers to book them. If these rooms do not have a competitive price, they will remain unoccupied and can not grow revenues for properties.
Secondary inventory refers to supplies for guest rooms, restaurants, and gift shops. Stock such as toiletries, towels, blankets, and other items should be sufficiently present. If inventory management is not handled the right way, it can cause property owners to lose money, because they can’t sell their rooms.
How does a hostel management software help grow revenue?
Online Distribution Through Multiple Channels
Millennial are online bookers by default. A hostel inventory management software with an integrated booking engine and channel manager has a lot of benefits. The two as parts of the hostel PMS software makes sure that the above-mentioned dual inventory is always synchronized and properly distributed to all sales channels. Rates and availability may vary depending on the real occupancy so that more beds and/or rooms can be sold, but never too much.
Thus the hostel can sell through their own website and the most popular OTAs without worries about overbookings. And with various sales rules and rate types, prices may vary automatically to guarantee higher revenue.