A central conflict cripples AI’s potential for a unified commercial strategy: the siloed structure of our hotel teams. For decades, Marketing, Sales, and Revenue Management have operated in distinct worlds with different goals and data.
NB: This is an article from Demand Calendar
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An AI cannot align strategies if the teams behind it are not aligned themselves. Every hotelier now faces a critical crossroads: In this new AI-driven landscape, how do you structure your team for success? Deciding which functions to keep and which to outsource requires building a commercial foundation strong enough to support the immense power of AI.
The Rise of AI in Revenue Management
Revenue management involves two key components: the strategic brain that crafts long-term commercial strategies and the operational tasks that execute daily tactical work. AI now unequivocally handles the operational side better than any human. Modern Revenue Management Systems (RMS) are the new standard, utilizing powerful algorithms for tasks such as rate updates and monitoring pick-up. The real question is who should manage the strategy guiding the tool: an in-house team or an outsourced expert
The In-House Argument: Owning the Strategy
Keeping the strategic function in-house ensures a leader who lives your brand and aligns the AI’s execution with your hotel’s vision. An in-house strategist provides crucial human oversight and owns the “why” behind your rates. Finding and retaining such multi-talented leaders proves costly, and even the best can develop tunnel vision that misses broader market shifts.
The Outsource Argument: Renting the Brain
An outsourcing strategy provides immediate access to high-level expertise, particularly for hotels that lack a clear commercial direction. Consultants bring broad industry experience to build your plan from the ground up, giving your team and RMS the direction they need. The primary risk is a disconnect from your hotel’s unique culture, which can potentially result in a technically sound but soulless strategy.
Marketing and Sales: The Heart and Voice of the Hotel
Marketing and sales represent the heart and voice of the hotel, creating emotional connections with guests and customers. AI supercharges this function, enabling hyper-personalized engagement through tailored ads and intelligent lead scoring. The question remains: who should control this powerful engine?
