The Chesapeake Point of View

Revenue Management Trends 2019 – Chesapeake Hospitality

Revenue Management Trends 2019 – Chesapeake Hospitality

July 22, 2019

Although the term, cutbacks, typically has a negative connotation, Hoteliers have found ways to increase revenue by cutting costs in the Food and Beverage sector, which have had a positive influence on how hotels do business. By reaching out to their revenue management teams, hoteliers have come up with smart and efficient ways to implement cutbacks in F & B, from room service to staff, while still providing high-quality dining experiences for their guests.

Staffing and labor-related costs typically represent the highest share of operating expenses; therefore, it is no surprise that when looking to reduce costs, this is the first stop. Many hotels and restaurants plan to reduce employee hours in 2019 by turning to automated technology like self-ordering kiosks and apps to eliminate staffing needs, salaries, and benefits cost.

 

Another cost-reducer in F & B is to optimize your menus for profitability. This means knowing what the guests like, what items sell the most, and what is being wasted. Menu changes should be made accordingly to consolidate ingredients.

 

Hoteliers should also be on the lookout for quality ingredients at lower costs. It is essential to try on new vendors to find the perfect fit for your hotel, not just convenient ones. Cost-cutting techniques like offering cuts of meat like skirt steak and flank steak versus filet mignon or a NY strip are quick fixes, as well as providing seasonal menus which offer lower prices for "in season" ingredients.

 

Lastly, revamping your room service menu is an easy way to enhance efficiency while still cutting costs. Scale back menu options and only include items served within the regular dining restaurant.

Chesapeake Hospitality will implement these tactics to increase ROI, while maintaining guest satisfaction.

Thank You