The origin of the new revenue (Table 3) is a result of two important strategies.
Strategy One: All distribution channels are incorporated into a single-image inventory, creating a perfectly synchronized distribution channel that allows the Hotel to sell down to the last room and at the best rate based on occupancy.
Strategy Two: The Hotel will implement the most advanced technology in the travel industry in the form of the Hotel’s Website. The website not only allows guests to make a Hotel reservation, but it offers them the opportunity to make reservations for activities, car rentals, travel packages, etc. at the same time. The Hotel will earn commissions on these additional services, all without the added cost of GDS fees. The Hotel will also offer booking services to Travel Agencies and corporate travel.
As a conservative example, Table 3 demonstrates a conservative increase in reservations of 5%.
Simply click on the number of Hotel rooms in your Hotel from the list below to see the projected increase in revenue.
|
Propose Revenue Increase for a Chain with 5,000 Rooms |
Table 3: New Revenue
| 1. % of Brand Website Reservations |
15% |
| 2. % Increase of Hotel Reservations |
5% |
| 3. Average Room Rate |
$ 150.00 |
| 4. Car Rental Reservations |
15% |
| 5. Activities Reservations |
15% |
| 6. Average Car Rental Rate |
$ 80.00 * |
| 7. Average Activities Rate |
$ 50.00 * |
| 8. Number of New Hotel Reservations |
7,500 |
| 9. Car Rental Reservations |
1,463 |
| 10. Activities Reservations |
1,463 |
| 11. Monthly Revenue Increase from New Hotel Reservations as a result of the new strategies implemented with the UniVisit 5-4-3 Total Solution |
$1,125,000.00 |
| 12. Monthly Car Rental Revenue—10% commission |
$11,700.00 |
| 13. Monthly Activities Revenue—10% commission |
$7,312.50 |
| 14. Total New Revenue—Monthly |
$1,144,012.50 |
| 15. Total New Revenue—Annually (5%) |
$13,728,150.00 |
| 16. Total New Revenue—Annually (10%) |
$27,456,300.00 |
The Cherry On The Top of The Cake
The cherry on the top of the cake is the increased value our UniVisit 5-4-3 Total Solution offers your Hotel. Most any Hotel Appraisal Company will agree that our Total Solution will immediately increase the overall value of the Hotel taking into perspective the numbers mentioned in the last slide, One: the immediate reduction in reservation cost and Two: that with an overall increase of new revenues of a conservative 5%, using the normal capitalization rate for the Hotel Industry of 12 times based on the increase in revenue of approximately $13.7 Million annually as mentioned earlier the Hotels value automatically increases by approximately $164 Million dollars and as mentioned earlier, 10% is more the reality.
|
Propose Revenue Increase for a Chain with 2,500 rooms
|
Table 3: New Revenue
| 1. % of Brand Website Reservations |
20% |
| 2. % Increase of Hotel Reservations |
5% |
| 3. Average Room Rate |
$ 150.00 |
| 4. Car Rental Reservations |
15% |
| 5. Activities Reservations |
15% |
| 6. Average Car Rental Rate |
$ 80.00 * |
| 7. Average Activities Rate |
$ 50.00 * |
| 8. Number of New Hotel Reservations |
3,750 |
| 9. Car Rental Reservations |
914 |
| 10. Activities Reservations |
914 |
| 11. Monthly Revenue Increase from New Hotel Reservations as a result of the new strategies implemented with the UniVisit CDMS |
$562,500.00 |
| 12. Monthly Car Rental Revenue—10% commission |
$7,312.50 |
| 13. Monthly Activities Revenue—10% commission |
$4,570.31 |
| 14. Total New Revenue—Monthly |
$574,382.81 |
| 15. Total New Revenue—Annually (5%) |
$6,892,593.75 |
| 16. Total New Revenue—Annually (10%) |
$13,785,187.50 |
The Cherry On The Top of The Cake
The cherry on the top of the cake is the increased value our UniVisit 5-4-3 Total Solution offers your Hotel. Most any Hotel Appraisal Company will agree that our Total Solution will immediately increase the overall value of the Hotel taking into perspective the numbers mentioned in the last slide, One: the immediate reduction in reservation cost and Two: that with an overall increase of new revenues of a conservative 5%, using the normal capitalization rate for the Hotel Industry of 12 times based on the increase in revenue of approximately $6.8 Million annually as mentioned earlier the Hotels value automatically increases by approximately $81 Million dollars and as mentioned earlier, 10% is more the reality.
|
Propose Revenue Increase for a Chain with 1,000 rooms
|
Table 3: New Revenue
| 1. % of Brand Website Reservations |
20% |
| 2. % Increase of Hotel Reservations |
5% |
| 3. Average Room Rate |
$ 150.00 |
| 4. Car Rental Reservations |
15% |
| 5. Activities Reservations |
15% |
| 6. Average Car Rental Rate |
$ 80.00 * |
| 7. Average Activities Rate |
$ 50.00 * |
| 8. Number of New Hotel Reservations |
1,500 |
| 9. Car Rental Reservations |
366 |
| 10. Activities Reservations |
366 |
| 11. Monthly Revenue Increase from New Hotel Reservations as a result of the new strategies implemented with the UniVisit CDMS |
$225,000.00 |
| 12. Monthly Car Rental Revenue—10% commission |
$2,925.00 |
| 13. Monthly Activities Revenue—10% commission |
$1,828.13 |
| 14. Total New Revenue—Monthly |
$229,753.00 |
| 15. Total New Revenue—Annually (5%) |
$2,757,037.50 |
| 16. Total New Revenue—Annually (10%) |
$5,514,075.00 |
The Cherry On The Top of The Cake
The cherry on the top of the cake is the increased value our UniVisit 5-4-3 Total Solution offers your Hotel. Most any Hotel Appraisal Company will agree that our Total Solution will immediately increase the overall value of the Hotel taking into perspective the numbers mentioned in the last slide, One: the immediate reduction in reservation cost and Two: that with an overall increase of new revenues of a conservative 5%, using the normal capitalization rate for the Hotel Industry of 12 times based on the increase in revenue of approximately $4.5 Million annually as mentioned earlier the Hotels value automatically increases by approximately $54 Million dollars and as mentioned earlier, 10% is more the reality.
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