N&C’s view, RM’s problems
Like theme parks, this sector is complex because of its dual inventory. Generally, a transport inventory (flights) is combined with a land inventory (hotels). Of course, there are also many other components, but they are less significant from a revenue management point of view.
Most of the time, inventory does not belong to the operator and it is necessary to separate inventory at risk – with financial commitment – and inventory in free sale, without guarantee but without risk. The uncertain stock makes the Tour Operator’s activity very volume, promotion and sales oriented. What’s more, some players have missed the digital turn and have to manage many different data sources by hand.
The missions carried out
- Framing projects to identify the constrained resources and establish rules to manage the double inventory
- Work on each of the two components, transport, and land, to equip teams and give them visibility on enriched indicators, particularly to qualify stocks at risk.
- Placement of consultants over a long period to carry out in-depth work on enriching practices, processes, and tools.
INDICES E.M.D.P by N&c
The market is not very mature in RM due to culture and volume tradition, but also because floating stocks make the approach difficult. A sector that deserves better, with untapped potential.