Dalmata Hospitality group manages a portfolio of approximately fifty properties situated across France, primarily affiliated with renowned Accor brands like Ibis, Ibis Styles, Ibis Budget, and HotelF1. Additionally, they manage fourteen Choice hotels operating under the Comfort brand.
Navigating the dynamics of limited-service accommodations, Dalmata Hospitality has faced the challenge of a limited booking window, which was further exacerbated by the pandemic. To address these challenges, they transitioned to the innovative Mews PMS (Property Management System) and sought a compatible Revenue Management System (RMS) to enhance their operations and performance.
In a conversation with Marie-Eugénie Sabatier and Paul Airoldi, members of the revenue management team, we gained insights into their strategies for adapting revenue management practices during the pandemic while sustaining their industry-leading standards.
Transitioning from Conventional Approaches
"Prior to this, we had not employed an RMS in our operations. Given that there are only two of us managing revenue for 41 hotels, our primary objective was to identify a user-friendly platform. It was imperative that the chosen system aligned with our operational structure. During our search, FLYR emerged as one of the top contenders as indicated by numerous sources.
"Our experience with FLYR has yielded commendable outcomes, especially for our one-star properties. Previously, we adjusted pricing twice daily, but now the process is fully automated."
The selection of an RMS was preceded by a thorough comparative analysis of three different systems. The plan involved assigning six hotels to each solution and assessing their performance over six months. Within three months, FLYR's approach resonated most with our demand-driven and adaptable revenue management philosophy, leading us to select it as our preferred option.
Working closely with 41 general managers introduced us to various personalities and requirements. Hence, our chosen solution needed to be universally accessible. FLYR's user-friendly dashboard and intuitive design were pivotal in this regard. The platform's simplicity and intuitiveness facilitate a comprehensive understanding of ongoing operations. Personally, I find the calendar view extremely beneficial, allowing me to select specific days while maintaining a high-level overview effortlessly.
We integrated FLYR with the Mews PMS, relying on recommendations from their Marketplace. Legacy RMS solutions were disregarded due to our preference for direct price integration into Mews PMS and automated price adjustments. The flexibility offered by FLYR, suited for navigating the dynamic circumstances brought about by Covid-19, stood in contrast to traditional providers' more complex and input-heavy approach.
Our evaluation eventually led to a trial between FLYR and a single competitor. FLYR's transparency and the ability to assess pricing proved decisive. As revenue managers, we value retaining some level of control, and FLYR acknowledged this aspect.
Exceptional Support and Customer Success
"Our initial experience with FLYR involved four hotels in September 2020. Within two months, we extended the trial to two additional hotels. Subsequently, in January, we opted to implement FLYR across all properties–an impressive achievement considering our diverse range of brands and properties.
"Importantly, the onboarding costs were notably reasonable. FLYR's emphasis on cultivating trust and fostering a partnership with us was evident throughout, with their team consistently available for assistance."
Immediate Impact
"Our successes have been significant, particularly in our one-star hotels. FLYR's pricing models demonstrated effectiveness, leading to substantial optimization. Despite the pandemic, our occupancy rates have remained competitive within the market. Several properties, such as those in Bourges, France, maintained 100% occupancy on various days in May. FLYR played a crucial role in stabilizing our ADR (Average Daily Rate) in such cases.
"Throughout the pandemic, our strategy involved price reduction, which FLYR facilitated adeptly. As we transition toward normalcy, FLYR continues to guide our ADR toward pre-pandemic levels.
"I wholeheartedly endorse FLYR's algorithm, particularly their emphasis on primary data over secondary data. This aligns with our belief that demand governs all aspects. FLYR's pricing algorithm's adaptability, driven by demand rather than CompSets, surpasses alternatives we evaluated, which relied on excessive input factors. In a world marked by Covid-19 and uncertainty, this input-heavy approach was deemed unsuitable.
"Furthermore, historical data's relevance is limited for most properties. While selecting an RMS, we considered this factor, prioritizing systems that weren't overly reliant on historical data.
"We are eagerly anticipating FLYR's upcoming features related to restrictions, as they promise to be transformative for our operations."
FLYR Analytics: A Valued Addition
"We're enthusiastic about FLYR Analytics' alerts feature. It offers a mechanism to promptly detect anomalies without requiring us to log in, seamlessly integrating with our existing BI tools and providing tailored insights.
"Our transition from an antiquated static system to FLYR Analytics aligns with our goal of greater adaptability. The combination of upgraded features in our legacy tool and FLYR Analytics has yielded a modern and versatile toolset. We're excited about the ongoing product enhancements and investments in Analytics by FLYR."
