- Complex and varied room types
- Efficient response to demand changing events
- Lean revenue department managing an expanding property portfolio
- Achieved an ADR increase of 10- 15% across portfolio
- Occupancy increase of 8+%
- Improved revenue forecast accuracy, actualizing within 1-3% of forecast
Stoney Creek Hospitality is a U.S.-based independent hotel company with a rich history spanning over 30 years. Operating 11 properties across five states, Stoney Creek Hospitality is known for creating a “home away from home” experience for its guests. With the implementation of G3 RMS and Optix they have experienced remarkable success across their portfolio.
A large, complex portfolio presents revenue management challenges
With a small revenue department, they faced the near-impossible challenge of efficiently managing 37 different room types across their 11 hotels, each featuring diverse amenities such as whirlpools, fireplaces, and bunk beds. Additionally, their properties’ proximity to concert venues and football stadiums meant that they needed to respond quickly to fluctuating demand, especially during event dates. Because of this, Stoney Creek Hospitality’s leadership team recognized the need to leverage technology and systems to optimize their operations and thrive as a nimble company.
An effective tool for revenue management at scale
IDeaS G3 RMS empowers Stoney Creek Hospitality to make informed decisions by providing valuable insights into market trends, competitor pricing, and demand patterns. The system’s automation streamlines inventory management and improves efficiency, saving valuable time that was previously spent on manual reporting and spreadsheet creation. “Automation is important for us, not only for its role in enhancing scalability and enabling dynamic pricing but also for its impact on efficiency and time savings,” said Stoney Creek’s Chief Operating Officer, Katie Wienen.
The adoption of IDeaS G3 RMS empowers Stoney Creek to implement dynamic pricing, effectively optimizing rates based on demand and room types. This capability proves to be critical during events such as concerts and football games, where the system can swiftly adapt rates to rapidly evolving circumstances. A notable instance of this occurred at the Stoney Creek property in Moline, Illinois, adjacent to the Vibrant Arena. When a concert date unexpectedly changed due to an artist’s decision, instead of causing a frantic rush among the staff to adjust, G3 RMS seamlessly adapted to the new circumstances. This prompt adjustment ensured that the property did not experience any revenue loss and capitalized on the opportunities presented by the rescheduled concert date.
“Dynamic pricing is where it’s at!”
IDeaS G3 RMS’s dashboards allow Stoney Creek to analyze their data effectively. They can easily visualize key metrics, which prove invaluable when communicating with investors and property teams.
“Utilizing G3 RMS has been a game-changer for us. The ability to access data instantly is incredibly valuable. Within moments, we can present a comprehensive snapshot of our entire business, which leaves an impression when communicating with investors.” said Wienen.
In addition to G3 RMS, Stoney Creek also utilizes IDeaS Optix to delve deeper into their data. Optix allows them to break down data by ownership groups and gain insights into their different types of business such as extended stay guests. By reevaluating their approach to extended stay offerings, they were able to optimize length of stay, leading to significant financial benefits.
“Being a data backed company is who we are, and we totally own it.”
Success and operational changes build trust
With the assistance of G3 RMS, Stoney Creek is experiencing notable increases in revenue and enhanced operational efficiency. The utilization of precise forecasting, rate optimization, and overbooking functionalities empowers the company to maximize revenue and bolster overall profitability.
The implementation of IDeaS G3 RMS has resulted in several positive outcomes for Stoney Creek Hospitality, demonstrating their success in revenue optimization. These outcomes include an impressive 10 to 15% increase in average daily rate (ADR) across their portfolio, an 8% boost in occupancy, and achieving revenue forecasts within a remarkable accuracy range of 1 to 3%.
G3 RMS plays a pivotal role in enabling Stoney Creek to proactively manage rates and group bookings, while instilling confidence in property teams to strategically overbook, leading to higher occupancy rates and increased revenue. By leveraging enhanced insights to establish optimal rate ranges and optimize by room category, Stoney Creek experienced substantial revenue growth. Furthermore, they introduced a “sell out” incentive program, where employees received a bonus equal to the ADR for the day whenever a hotel achieved full occupancy. This initiative not only fostered trust in G3 RMS’s overbooking decisions but also allowed the teams to reap the benefits of the increased ADR they consistently achieved.