Define the problem first
Weak revenue can result from demand, visibility, offer conditions or price. Each cause requires a different response. Start with a stay date and segment rather than a universal decision to raise or lower all rates.
Assess your position
Where benchmarking is available, compare MPI, ARI and RGI on a consistent basis. High ARI and low MPI describe rate and occupancy; they do not alone prove pricing is wrong. Review product, segments, restrictions and the contribution you need.
Distinguish the levers
Rate changes the offer; channels change demand access; minimum stay changes acceptable bookings; groups change future sales mix. A discount cannot solve a closed room category. A stay restriction may protect a peak night while leaving gaps around it.
Calculate alternatives
Example A: 75% occupancy at €100 ADR produces €75 RevPAR. Example B: 68% at €115 produces €78.20. B is stronger on room revenue per available room, but acquisition and operating costs still matter. These are teaching scenarios, not client results.
Use HotelMatrix to structure comparisons
Hotel results, aggregated set performance and published rates answer different questions. Record the source behind each conclusion. Set and forecast availability must be checked for the market. Pricing and sales-rule decisions remain with the team.
Review comparable outcomes
Account for seasonality, events and market movement. When all properties grow, absolute growth does not prove a new strategy worked. Keep a decision log with timing, rationale and the result of the review.
For a problem stay date, select a primary lever, an expected effect and a review date.