A significant part of getting the most out of a hotel revenue management strategy involves keeping up with the latest revenue management trends and implementing associated strategies while investing in relevant technology. In this article, you can learn all about the latest revenue management developments in 2025 to stay ahead of the game.

Table of Contents:

Understanding the Basics of Revenue Management

Before getting into some of the specific revenue management trends you should be aware of, it is important to understand what revenue management is. Essentially, it is the practice of selling the best product to the best person at the best time for the best price using the best channel to maximize financial results.

Check out the “Revenue Management; clearly explained!” article for a much more comprehensive explanation of revenue management, the history of revenue management, why it is so valuable, how it differs from the similar concept of yield management, and the main key performance indicators (KPIs) that are used to track performance.

Keep Up to Date With the Latest Revenue Management Trends

Revenue management is vital for those in the hotel industry hoping to maximize financial results. It is a process that uses data and other information to anticipate demand to optimize pricing, distribution, and marketing. However, keeping up with the latest revenue management trends is crucial too.

After all, consumer behavior is changing all the time, and new technology emerges and becomes more important. Moreover, the distribution landscape is constantly developing, and new strategies are always being tested. By keeping up to date, you can get the most out of your business and stay ahead of your rivals.

24 Revenue Management Trends for 2025 to Stay Ahead of the Game

In this section, you can learn about six of the main revenue management trends you need to be aware of. As a revenue manager or business leader in the travel and tourism industry, understanding these trends and adopting the associated strategies can help to give you a competitive edge.

1. Omnichannel Data in Hotel Revenue Management

Among the key revenue management trends has been a greater focus on omnichannel data and effective analysis of that data. Essentially, omnichannel data refers to data gathered from all customer interactions across all channels. Crucially, this data is viewed holistically rather than keeping it separated according to those channels.

When viewed as a whole, this data can provide useful insights to assist with revenue management. For instance, it might help uncover some of the sticking points in the customer journey or some of the common customer issues. Addressing these problems can then boost revenue generation and overall financial results.

Table: Key Aspects of Omnichannel Use in Hotel Revenue Management

Key Aspect Description Benefits
Unified Booking and Service Consistent pricing and availability across all channels with uniform customer service. Reduces booking discrepancies, ensures seamless service, and strengthens brand reputation.
Data Integration and Personalization Integration of customer data across channels for tailored services and marketing efforts. Enhances guest loyalty through personalized experiences and improves marketing campaign effectiveness.
Real-Time Management Utilizes real-time data from all touchpoints for dynamic pricing and service adjustments. Enables agile response to market demands, optimizing revenue and operational efficiency.
Enhanced Guest Experience Focuses on improving the overall journey from booking to post-stay, leveraging integrated services. Increases guest satisfaction, loyalty, and the likelihood of repeat business.

2. Using Artificial Intelligence in Revenue Management

The use of artificial intelligence technology is another major revenue management trend hotels need to be aware of. AI can be extremely valuable in this area because gathering and analyzing data is crucial to revenue management. AI is able to analyze data and extract insights far quicker than humans can.

AI can also allow many of the key revenue management activities to be fully or partially automated. For instance, AI could analyze trends within data and determine that the most effective course of action would be to reduce room rates. AI could also be configured to carry out this adjustment at the ideal time automatically.

Video: Revolutionizing Hotel Revenue Management with AI and Machine Learning

3. Ancillary Revenue Management Pricing

Ancillary revenue management refers to revenue management related to additional hotel services beyond selling hotel rooms. There are many different examples of ancillary services, including on-site food services, on-site drinks services, leisure services, spa services, tours, event hosting, a gift shop, or even food deliveries.

For hotels, ancillary services provide an opportunity to maximize revenue, and optimizing these extra revenue streams has become one of the biggest revenue management trends. There is still a strong strategic element, such as setting extra services at the right price, adjusting prices based on demand, and promoting these services effectively.

4. Total Revenue Management

Among the most significant revenue management trends to be aware of is the concept of total revenue management. Within hotels, revenue management is usually focused on pricing, distribution, and marketing of hotel rooms. Yet, with total revenue management, the focus turns to generating as much money as possible from all revenue streams.

In truth, the concept of total revenue management is nothing new. Still, a combination of factors, including technological limitations and a lack of understanding within the industry, meant that the focus was often more narrow in the past. However, hotels can greatly boost their results by adopting a total revenue management approach.

Video: Total Hotel Revenue Management

5. Hotel Technology

New and emerging technology will always be one of the most critical revenue management trends to keep pace with. Some of the biggest technology trends include the use of hotel management software, the rise of specialist revenue management software, and other tools, like upselling software. According to the Revenue Management System Market Report by The Insight Partners, the global revenue management system market is projected to grow to $37,106.75 million by 2028.

Meanwhile, business intelligence software is increasingly used to facilitate and support data-based business decision-making. Of course, the nature of hotel technology is that it constantly evolves, so it is essential always to remain aware of new developments and be willing to adopt new approaches.

For more information about hotel technology, read “Hotel Technology Trends: Upcoming Innovations You Must Know.”

6. Cross-Departmental Collaboration

Another key revenue management trend to be aware of is the heightened need for cross-departmental collaboration. This has always been a major part of effective revenue management because different departments must collaborate to share relevant data and ensure their strategies align with broader business objectives.

However, collaboration has become even more critical in light of the rise of total revenue management. For instance, not only should a hotel look to upsell and cross-sell on a broad level, such as including restaurant bookings within sales, but each department should also upsell and cross-sell, such as selling larger meals or extras, like wine, dessert, etc. Revenue management forecasts can also assist housekeeping, restaurant, and kitchen staff with planning.

7. Data, Data, and More Data

Data is at the heart of any good revenue management strategy, and the array of data available to hotels is vast, including historical data, current trends, competition data, wider market data, online reviews, data in the books, and more. This requires careful use of data analytics to achieve the best outcomes.

Analysis of the data needs to be carried out in a structured way, and the data needs to be interpreted so that it can be used to inform decisions. From there, strategies can be adjusted based on what data tells you about the present market situation, future demand, and other needs, leading to better decisions and business outcomes.

8. Forward-Looking Market Demand

Historically, revenue management has relied on past data to anticipate future demand. However, one of the major revenue management trends you need to know about is the rise of forward-looking market demand data. This refers to clear data regarding future demand levels, typically from competitors.

Those involved with hotel management can access data on the books for rival hotels and other forms of data that can be used to gain a much clearer sense of what demand will look like in the future. It becomes much easier to make firm plans for strategically responding using that information.

Revenue Management Trends - Forward-Looking Market Demand

9. Data Visualization

To reach peak performance, it is essential that you continuously monitor and understand business performance. What are your main revenue streams? What is the revenue per distribution channel? What costs are associated with each distribution channel? What is the current book’s performance per hotel, room type, segment, restaurant, and bar?

With so much information to monitor, and with some of this information changing constantly, visualization can be a crucial tool for understanding your entire business. It can assist with identifying important changes, noticing revenue management trends, and giving yourself the best possible chance of reacting quickly to opportunities and risks. As a bonus, visualization can also help you to present information to different departments, making collaboration easier.

10. Competitive Pricing Strategies

Competitive pricing is one of the major revenue management trends focused on setting prices based on the behavior of rivals. It involves monitoring rates in the wider market and making adjustments to pricing accordingly. The use of competitive pricing can be valuable because it prevents your pricing from becoming out of line with industry standards. By setting prices based on market trends, you can also avoid underpricing your products and services.

A high-quality competitive marketing strategy requires real-time data analysis and artificial intelligence is increasingly playing a role with this. However, it is not the same as simply matching competitor prices, as you will need to factor in differences in service standards, guest expectations and customer demand too.

11. Accurate and Intelligent Forecasting

Forecasting is the process of using past and current data, including internal and wider market data, to predict future demand and trends. It relies on analytics technology and an understanding of market patterns. Forecasting is important because it allows you to anticipate future events and plan for them in advance. This can include spikes or drops in demand, changes in customer behavior and shifts in competitors’ strategies.

In the hotel industry, forecasting is one of the single most important revenue management trends. By anticipating demand, hotels can adjust pricing, distribution, and marketing in order to maximize demand, revenue, and profit. Many businesses use dedicated revenue management software, which can help to automate some of this too.

12. Positional Pricing Strategies

Positional pricing is a strategy where prices are set in accordance with competitors and your position in the market. It considers a variety of factors, such as the quality of what is being sold and your own reputation. This pricing strategy is useful for establishing a clear position in the marketplace. For example, hotels can be broadly divided into budget, mid-range, high-end and luxury hotels and pricing will typically reflect this.

When it comes to major revenue management trends, positional pricing helps to keep pricing in line with rivals, while still considering the fundamental differences between your businesses. Positional pricing can also serve as a way of flagging the service standards customers can expect.

13. Real-Time Data Analysis and Insights

Real-time data analysis is the process of extracting insights from data as the information becomes available. This allows your business to identify patterns or revenue management trends as they develop. The importance of real-time data analytics lies in the rapid response times it can facilitate. If you are able to draw actionable insights quickly, you can take the necessary action in a timely fashion.

Examples of some of the data it can be useful to analyze in real-time include changes in overall demand for hotels in the region, changes in competitor prices and changes in your own number of bookings. It can also be valuable to track any changes in sentiment around your brand, especially on social media.

14. Automation in Revenue Management

Automation describes use of technology to automatically perform actions that would usually require human intervention. In terms of revenue management trends, technology can be used to automatically make changes to your strategy. Some degree of automation is valuable because you may need to make changes to your strategy quickly, in response to events. Automation can also reduce human error and alleviate the workloads of your employees.

Automation within revenue management is often handled through revenue management software, which will generally include AI and machine learning components. The most advanced software can quickly analyze data, identify key trends and automatically take appropriate action, such as adjusting your prices or availability information. One of the biggest advantages of automation is it can be relied upon at all times of the day and night.

15. Use of Cloud Technology

Cloud technology refers to the delivery of computing services over the internet. The technology itself relies on a network of servers, which are able to host software, store data and provide on-demand services. Cloud computing has emerged as one of the single most important revenue management trends, offering convenience and additional security. Using the cloud can also help to provide remote access to valuable software and data.

Many of the best revenue management software solutions are now delivered on a software as a service (SaaS) basis, using cloud technology. Cloud storage offers benefits for collaboration, making it easy for data to be kept up-to-date for all users. Storing information in the cloud also avoids having a single point of failure for your data.

16. Discount Pricing Strategies

Discount pricing strategies revolve around reducing prices for hotel rooms and other services. The basic premise is to charge a lower price, in order to increase demand and attract more bookings. Offering discounts is one of the most popular revenue management trends because it helps you to attract guests who may otherwise be priced out. This can prevent situations where you have empty hotel rooms.

Discount pricing is often deployed during times of the year where demand would typically be low. In general, for revenue management, it is better to fill a room for a discounted price than to leave it empty. The discounts can take many forms, including early or late-booking discounts, package deals and discounts based on the length of the stay.

17. Dynamic Optimization

Dynamic optimization is a price management approach, where rates are adjusted through complex algorithms. This enables rates to change based on demand, market conditions and competitors’ actions. The use of dynamic optimization is beneficial because it uses a variety of data points to ensure you always have the right pricing strategy. This allows you to maximize earnings, while optimizing demand.

For hotels, it is essential to strike the right balance between rates and occupancy, so you are always optimizing the amount of revenue and profit you are making. Dynamic adjustments allow this to be achieved continually, over time. Effectively, like other revenue management trends, this strategy is about extracting maximum revenue from each guest, while still retaining a level of demand for hotel rooms that allows you to be profitable.

18. Dynamic Package Creation

Dynamic package creation is a strategy where package deals are created dynamically, based on available data. For example, a package may be created for a specific customer, according to their interests or preferences. An ability to create dynamic packages has quickly become one of the key revenue management trends, offering greater personalization. This, in turn, ensures users are targeted with relevant deals.

When used to good effect, dynamic package building means you can offer more appealing deals, which are more likely to result in a booking. Systems must be in place to manage room rates, availability data and market conditions. Packages may include a room and a combination of services, like meals, drinks, transportation, or spa treatments.

19. Customer Retention as a Priority

Customer retention is the process of building long-term relationships with customers, so they keep coming back. This is typically achieved by understanding customer expectations and meeting or exceeding them. Retaining customers is important because it allows you to maximize the lifetime value of your customers. Additionally, it can allow you to fill rooms while minimizing your marketing expenditure.

Some relevant revenue management trends include retargeting customers through marketing and analyzing customer data to identify patterns. This can potentially allow you to attract guests back at the right time. Of course, customer retention also relies on appropriate pricing and delivering excellent service.

20. Mobile Optimization Strategies

Mobile optimization consists of ensuring online services can be comfortably accessed and used on mobile devices. This most commonly refers to your hotel website and booking engine, but can also include apps and social media channels. Mobile optimization is one of the most crucial revenue management trends because a large number of bookings and searches now originate from smartphones. It is vital that these users can carry out key actions on that device.

In particular, the entire booking process must be able to be completed, from start to finish, using a touchscreen. All text should be legible and navigation should be intuitive. It is generally recommended to design your entire website with a mobile-first approach and then scale up for your desktop website, rather than creating a desktop website and scaling down for mobile.

21. Customer Loyalty Programs

Customer loyalty programs are structured programs that provide incentives for customers to regularly stay with your hotel. Generally, members will earn points over time, which can then be redeemed for rewards. Running a customer loyalty program offers a clear reason for guests to return to your hotel time and time again. As a result, you can increase customer retention and generate more revenue from these customers.

Typical rewards include discounts on rooms, free access to additional hotel services, or even free nights as part of a longer stay. Customers earn more points the more they stay with your hotel or engage with your brand. Like many revenue management trends, loyalty programs are ultimately designed to maximize demand.

22. Focusing On Predictable Demand

Predictable demand is a term used describe demand for hotel rooms that can be reasonably anticipated. By focusing on predictable demand, hotels can eliminate a lot of uncertainty and plan their finances accordingly. Unlike many revenue management trends, focusing on predictable demand can earn you some almost guaranteed wins. It is also important for taking action to prevent damage caused by anticipated periods of low demand.

To understand predictable demand, you will need to analyze all available data, including data on your own books, upcoming events, annual festivals and past data around shifts in demand and repetitive behavioral patterns. Once predictable demand is understood, pricing can be based around the anticipated number of bookings.

23. Price per Segment Strategies

Price per segment is a pricing strategy where different prices are set for different sub-sections of the market. This could include, for example, setting different rates for corporate and leisure customers. A price per segment strategy is a popular revenue management trend because it allows you to set pricing in a way that appeals to different target groups. This can maximize your earnings, while keeping demand for rooms high.

Hotel rooms may hold different value to different types of customers and a price per segment approach reflects this. Success requires an understanding of what each group is actually looking for. Therefore, price per segment strategies rely on data analysis and actionable insights about how your hotel is perceived by different groups.

24. Price Sensitivity Analysis

A price sensitivity analysis explores the relationship between changes in pricing and changes in demand. It allows you to better understand precisely what happens when you set different room rates in your hotel. This is among the most vital revenue management trends to implement and can help to shape your entire revenue management strategy. Understanding price sensitivity can prevent room rate changes that drive down demand.

It is important to understand that different customers may have different levels of sensitivity to price changes. Their response can also differ dramatically based on the extent of any price shift. High-quality price sensitivity analysis also includes visualization of data through tables, charts and graphs. This enables you to more easily understand how much pricing can change before it negatively impacts bookings.

More Revenue Management Strategies

Aside from keeping up with the latest revenue management trends in a general sense, it is also crucial that you adopt the most up-to-date revenue management strategies. From segmentation and price optimization to embracing SEO and offering incentives for direct bookings, these strategies should be intended to maximize revenue and profit.

Check out “Revenue Management Strategies to Grow Your Hotel Business” to find a complete breakdown of some of the most important strategies to adopt in this area and explain how they can assist with growth.

More Revenue Management Tips

Along with these general and strategic revenue management trends, it can also be valuable for a revenue manager to access broader revenue management tips. For instance, has your business adopted a revenue management culture? Is your record-keeping consistent? Are you using automation and focusing it on the right areas?

Read the “Revenue Management Tips for Hotels” article to learn more about the best revenue management practices within hotels and why those practices are so beneficial.

Revenue Management Trends - More Revenue Management Tips

Hotel Marketing Trends

It is also important to stress that revenue management trends are not the only trends hotel business leaders need to be aware of. Keeping up with the latest hotel marketing trends is also essential. It helps to maximize reach and reputation while also ensuring that other hotels do not gain an advantage in terms of exposure.

Read “Hotel Marketing; The Latest Trends in the Hotel Industry” for information on customer experience marketing, artificial intelligence, influencer marketing, user-generated content, and other hotel marketing trends.

The Most Important Hotel Software Solutions

Finally, alongside adopting the most up-to-date revenue management trends, keeping in touch with useful hotel software solutions constantly is essential. These solutions include property management systems, revenue management systems, reputation management software, and rate shopper software. According to the Global Hotel Revenue Management System Market Report by Verified Market Reports, the global hotel revenue management system market is projected to grow at a CAGR of 8.7% between 2021 and 2028.

Take a look at “Hotel Software: The Most Important Software Solutions for Hotels” for a breakdown of the main software applications that can assist a hotel revenue manager, marketing manager, or general manager.

Revenue Management Trends FAQs

Trend analysis requires analyzing collected data to identify patterns and leverage them into projections of future trends. Basically, by studying how the market and customers responded to events in the past, one can determine the probability of future reactions. This allows for pricing that anticipates an ever-changing market.

AI and other forms of machine learning will allow for more robust data analysis. This will in turn provide more accurate projections and allow for detailed examinations of individual data points such as singular demographics. Likewise, it will allow for easier optimization of an entire revenue stream rather than singular components like room sales.

Mobile platforms create an instant connection between the hotel and the customer. This enables direct booking along with personalized rewards and offers. It also allows for targeted marketing through location-based services.

Demand for rooms changes by the season, and rates need to reflect that in order to maximize profit. A hotel can often attract new guests by lowering prices during off-seasons.

Each segment has unique potential, needs, and behaviors. By giving each individual attention a hotel can optimize revenue streams and customer satisfaction at the same time.

Keeping pace with emerging technology and adopting strategies based on the most up-to-date revenue management trends is a major part of optimizing financial results and avoiding giving rivals a competitive advantage. The trends mentioned are among the most important now, but it is important to monitor developments as well continually.

Want to Learn More About Trends in Related Industries?

It is essential to be aware of all the upcoming trends in the hospitality & tourism-related industries. While some trends can affect multiple industries, some are specific to the industry. You can learn more about trends within different industries in the following articles.

More Tips to Grow Your Business

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This article is written by:

Martijn Barten

Hi, I am Martijn Barten, founder of Revfine.com. With 20 years of experience in the hospitality industry, I specialize in optimizing revenue by combining revenue management with marketing strategies. I have successfully developed, implemented, and managed revenue management and marketing strategies for individual properties and multi-property portfolios.