Spain’s largest hotel group engages IDeaS Advisory Services
Meliá Hotels International is one of the world’s largest hotel companies in the world and Spain’s leading hotel group. It currently provides more than 370 hotels in 40 countries on four continents under its brands: Gran Meliá, Meliá, ME, Innside, Tryp by Wyndham, Sol and Paradisus.
Meliá Hotels International (MHI) recently received the highest hotel industry award after being named Best Hotel Group in Europe 2015 in the sixth edition of the annual European Hospitality Awards, which recognizes Europe’s most outstanding hotels.
MHI credits its success to an ethos that continually seeks a better way to do business. “Year after year, our hotels are named among the best because we review every aspect of our business to see how we can work smarter and raise our performance,” explained Marta Varela, global director revenue management. “For revenue management, this meant exploring how well we were progressing on our journey towards Total Revenue Performance.”
The hotel group uses its diversified brand portfolio to target several different segments and categories, appreciating the challenge of ensuring a consistent revenue management strategy across its portfolio. After five years in a senior revenue management role, Varela knew the hotel group was ready for a new Total Revenue Management model. She also recognized that involving external advisers to leverage their revenue management capabilities and insights could contribute significantly to a more holistic and comprehensive analysis that enables more optimal outcomes.
Professional advisers can bring a fresh perspective to business planning by providing insights and facilitating the development of a new vision. IDeaS Advisory Services offers over 25 years of revenue and pricing experience from an industry-leading team of research and development scientists and analysts. Employing a team with such unparalleled pedigree gave MHI the confidence that they would guide them through creating a new revenue management strategy vision.
IDeaS Advisory Services collaborated with MHI to align the Revenue Performance Opportunity Analysis with MHI’s strategic revenue management plan. Together, IDeaS and MHI reviewed their people, process and technology through interactive discovery sessions, serving as an internal audit of their revenue management approach. Following these sessions, necessary adjustments were identified and a road map to enhanced performance was created.
“I am extremely grateful for the work conducted by our IDeaS adviser and the contribution to the progress of improving revenue management in the company,” said Varela, “I would not hesitate to refer my IDeaS adviser to any other internal and/or external colleagues. It has been an excellent opportunity to sum up all the different areas where we need to focus and plan ahead. The support, advice, analysis and feedback received were of the highest standard.”
MHI continues to enjoy robust trading results thanks to the excellent performance of the hotel business in delivering significant RevPAR out-performance and EBITDA growth. Through the dynamic partnership with IDeaS, MHI continues to innovate in revenue management, delivering sustainable performance improvement.