Revenue Management

The pros and cons of rate parity

​Most hotel marketers that I have spoken with are convinced that rate parity - offering the same rate to all distribution partners is something that must be done to ensure successful distribution. While rate parity can make sense for some types of hotels and distribution channels, I believe that there are multiple scenarios where rate parity is a bad strategy - one that can cause lost revenue. There are multiple factors that should be examined before determining that a “one rate for all channels” strategy will generate the most revenue for the hotel.
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