The Chedi Luštica Bay Gains Revenue Automation & Adaptability with IDeaS

The Story

The Chedi Luštica Bay is the pinnacle of luxury, boasting 111 rooms that highlight the beauty of its location. The Chedi rests at the intersection of the Adriatic and Mediterranean Sea and offers a romantic getaway in Montenegro, with quick access to the resort town of Luštica Bay.

The Chedi was designed to provide high-end service to its guests, and to offer a variety of amenities, such as their private beach and restaurants. In such a competitive market, and with so much to manage at the property, Predrag Tomasevic, Revenue Manager of the Chedi, needed a sophisticated revenue management system (RMS) to meet the resort’s high standards for quality.

A First-Class RMS for a High-End Resort

To create a sophisticated revenue management program for its newly opened resort property, the Chedi adopted the industry-leading IDeaS G3 RMS in 2018.

“With the Chedi, I saw the need for a dynamic daily rate—not fixed prices alone—to maximise revenue,” said Tomasevic. “We selected IDeaS to help with our pricing, forecasting, and budgeting processes from the start.”

As a new property with no historical data, the Chedi utilised IDeaS’ Limited Data Build feature to start optimising revenue faster. Now three years on, IDeaS G3 RMS has helped the Chedi create well-informed pricing decisions and elevate forecasting, allowing them to focus on what matters most: their guests.

“IDeaS is very compatible and well-connected with our other systems,” said Tomasevic. “G3 RMS helps us switch rates easily and set different BAR levels. It also helps predict better wash, no-shows, and allows us to rely on greater forecast accuracy.”

An RMS that Learns as We Learn

In the wake of the pandemic’s disruptive effect on the hospitality industry, the Chedi has had to adjust to constantly changing travel levels and alter their cancellation policies and market segments accordingly. Throughout the ups and downs, G3 RMS proved particularly beneficial. The resort was able to rely on their RMS to gather data from the market and provide well-informed insights for pricing decisions.

“The market is quite volatile these days,” said Tomasevic. “No year is the same, and every season is different, but we have found G3 RMS to be instrumental in our forecasting and pricing process. The system learns as we learn.”

As conditions change, G3 RMS responds accordingly to optimise revenue for the Chedi in a volatile industry. The hotel needed a system that would be able to roll with the punches of the pandemic, and G3 RMS provided that. Through cancellation changes, last minute-room fills, and altering travel restrictions, IDeaS has assisted the Chedi and maximised profitability.

We can make better decisions, and we can predict better—that’s why we rely on IDeaS. It’s important to let the machine do its job. It simplifies our work while growing revenue. We’re happy with IDeaS and look forward to continuing our contract.