IHG Revenue Services

1. IHG Revenue Services
SEAK
N o v 2 0 2 1

2. The world of Revenue Management has changed
The landscape has become complex creating a need to have a team of experts driving the revenue strategy.
Manual Search OTA &
Brand Sites
Wholesale, Meta
Pricing parity
Holidex Plus IHG® Concerto™
Platform capability
Single Factor
(Rooms)
Multiple Factors
(Total revenue)
Revenue optimisation
Excel Sheets Cloud Based
Intuitive AI (Tableau)
Insights and analytics
Then Now
Then Now Then Now Then Now
Then Now
Market Pricing
Data Driven Pricing
Pricing technique
Automated Reports
Rate monitoring
Then Now
Then, 2000 Now, 2021
One person rooms
focused approach
Growing complexity from multiple variables
Team of trained experts from analysts to
Performance directors

3. IHG Revenue (RMH) is an off-property resource solution offering:
• A team of highly skilled, trained and experienced revenue
management specialists who partner with hotel teams to:
• Maximize total revenue performance,
• Leverage IHG’s system & tools better and faster,
• Drive the distribution & segment strategy.
• Deliver RGI, RevPAR & Total Revenue growth.
IHG Revenue Services
3

4. 2.1%
0.3%
1.2%
0.3%
100.8
107.5
RGI YoY
SEAK Performance in a Normal Year - 2019
4
Comparison of KPI
uplift delivered by IHG
revenue (RMH) vs
Non IHG Rev for FY
2019 vs FY 2018
Comparable hotels SEAK
IHG Revenue (RMH)
hotels in EMEAA 2018
RGI +1.3pts
vs
RGI -1.1pts
RGI MPI YoY
ARI YoY RevPAR YoY
Total Revenue YoY
+0.9 +1.8
+0.4 +11.3
+3.3
IHG Revenue
Non IHG Rev
*Only comparable hotels for each respective FY results
*Revenue Services Status based on 2021
-0.9%
0.0%

5. Hotel Revenue Manager VS IHG Revenue Talent
1–2 people > An organisation of revenue experts
Annual leave / sick pay affects
business continuity
> Always-on
Requires training at hotel’s expense >
Assessed and trained at
IHG’s expense
Subject to talent availability
and capability in market
>
Skilled at leveraging IHG’s
proprietary systems and tools to
drive performance
Third party suppliers handle data >
Data securely managed by
IHG Revenue organisation
Hassle free and effective..

6. IHG Revenue (RMH) SEAK service level overview
RevMANAGE RevASSIST RevADVICE
• Works in partnership with
GM, DOSM and on
property Revenue
Assistant to drive
performance.
• 1 Resource shared
between 3 hotels
• Fee range: $1,200 -
$4,000 per month
depending on market and
complexity.
• Senior IHG Revenue
resource to compliment
on-site RM leader and
assist hotel in RM
Strategy.
• 1 Resource shared
between 4 hotels
• Fee range: $900 - $3,500
per month depending on
market and complexity.
• Provides strategic
guidance, daily reporting
and a weekly call.
• Popular with Franchise
estate.
• 1 Resource shared
between 8 hotels
• Fee range: $700 - $2,000
per month depending on
market and complexity.

7. © 2017 IHG 8
There is
support at
every step
IMPLEMENT
ATION &
ADOPTION
IHG
REVENUE
& HOTEL
COLLABORA
TION
DEFINE
WAYS OF
WORKING
APPLY
RIGHT
RESOURCES
TARGET
HOTEL
NEEDS

8. 12
Appendix

9. Service Levels & accountability - SEAK
REVassist: Strategic or Tactical
Strategic: For Managed, ToRE focused, big box properties who need a
senior Revenue resource to compliment on-site Revenue Manager /
Assistant. IHG Revenue assists the hotel in the leadership of RM
strategies and actions. 1 PRM to 3/4 hotels.
Tactical: Managed, ToRE focused, big box properties who need a tactical
Revenue resource to compliment on-site Revenue Director / Leader. IHG
Revenue tactically assists the hotels by implementing strategies set by
the on-property DOR. 1 PRM to 2/3 hotels.
REVmanage: Bespoke or Manage
Bespoke: For highly complex Managed, big box properties with specific
revenue criteria. IHG Revenue (RMH) assumes role of hotel Revenue Manager,
Full Time and dedicated to the hotel.
Manage: For Managed properties that are weighed more heavily to rooms
revenue generation. Shared resource, IHG Revenue (RMH) assumes role of
hotel Revenue Manager, working in partnership with GM, DOSM and on property
Revenue Assistant to drive strategies and initiatives. 1 PRM to 2/3 hotels.
High touch
High touch

10. The Revenue Cycle – How does it work?
Using Rev-Gen cycle to drive strategy and keep tactical actions SMART
There are many components to consider to enable a
successful revenue management culture and process in a
hotel. For simplicity, we can summarize these into four main
areas:
• Forecasting demand
• Creating demand
• Managing demand
• Retaining demand
The four areas can be placed together to form a revenue
management cycle illustrated here. Each area interacts with
one another, and play an equally important role in the revenue
management cycle.

11. IHG® Revenue Generation meeting
The Revenue Generation Meeting is not to be confused with the other
revenue related meetings that may already be taking place in the hotel.
Based on our findings, except for the Revenue Generation Meeting, the below table shows the common
types of revenue related meetings that are already happening in most of our hotels. Each of these
meetings have different objectives that are necessary to ensure that the hotel’s revenue operations are
being run efficiently. It is critical that a Revenue Leader understands the purpose of each meeting and how
it relates to one another – this will prevent overlap of content covered in each of these meetings.
Price meeting Yield meeting Conversion meeting Forecast meeting
Revenue
Generation Meeting
Frequency Daily Weekly Weekly Monthly (Second week of the month) Monthly (Fourth week of the month)
Duration 30 minutes 60 minutes 60 minutes 45 minutes 90 minutes
Objective A daily view with tactical
conversation of the next 30 days to
ensure optimum pricing, yielding,
demand and shifting share
opportunities are taken across all
market segments.
A detailed and tactical conversation
of the main booking window which
works through actions to ensure
yielding, demand and shifting share
opportunities are taken across all
market segments.
Provide update of tentative
Group/MICE business and assist in
conversion.
To gain alignment on the forecast
submission.
To discuss hotel’s commercial plan
and decide on strategies to
implement for the next 12 months
that is aimed at generating more
demand and beating the
competition.
Participants
(suggested)
Revenue Team, DOSM,
Reservation Lead.
General Manager, Director of Sales
& Marketing, Director of Catering
Sales, Reservations Lead, Director
of Revenue, Director of Food &
Beverage.
Director of Catering Sales, Director
of Sales & Marketing, Director of
Revenue Management.
GM, FC, DORM, DOSM, DOFB. GM, DOSM, DORM, DOFB,
DOCS, DOR, EC + HOD of
Revenue generating departments.

12. IHG® Revenue Cycle – People
IHG® Revenue is a critical member of the hotel team, with a focus on
driving total revenue and building a revenue culture, as well as assisting
to further enhance Commercial capabilities within the team. They are
committed in assisting to further build Commercial capability.
Leveraging robust data, supported by an extended team, along with in
market insights allows well defined Commercial strategies to be made
by IHG Revenue, GM and HOD’s of revenue driving departments.
Clear processes allows an integrated Commercial mindset amongst all
the team. It is imperative for hotel teams to also business partner and
attend all scheduled calls/meetings.
IHG Revenue Director
Sets tactical revenue strategy by sub-region for IHG
revenue & non IHG revenue sets
IHG Senior Portfolio Revenue Manager
Leads & develops revenue talent & regional
performance strategy
IHG Portfolio Revenue Manager
Manages portfolio of hotels to drive performance
IHG REVanalysis & Manila Ops
Insights & Reporting – ensuring decisions are
informed by data and insights, enabling Revenue
Manager to make faster & more agile decisions
It is critical that every team member is involved
and understand their role and responsibilities.
This One Team approach is critical to the
success of our business, across all revenue
streams, in order to be a leader in our market.
Only then can a true performance culture
and results be achieved.

13. IHG® Revenue Cycle – Forecast
The monthly Forecast Meeting allows for the GM,
Finance, Sales & Marketing, R&B Leads and IHG
Revenue to obtain alignment prior to forecast submission.
Accurate forecasting is not only for IHG as a whole, it is
also essential for all departments to ensure efficiencies
are made that eliminates unnecessary spend, adjust
manning as required and allows more maximum
profitability flow through, resulting in optimum GOP.

14. IHG® Revenue Cycle – Create Demand
Where your total revenue Commercial plan is discussed with a
strategic long-term lens (next 12 months) for all revenue streams,
that is derived from the monthly Revenue Generation Meeting.
Focus is on creating demand in order to beat the competition.
Key components, outside of the meeting itself are:
• Prework: Uncovering trends, identifying gaps / opportunities as
well as identifying any drivers for the current state of business.
Quality of the prework is critical as it will influence outcomes.
• Action plan: Outlining your gaps and opportunities, these would
also need to incorporate both Market and Channel mix
strategies. Provides clear goals, commitment and requirements
that drives Commercial revenue performance and builds a solid
revenue culture.

15. IHG® Revenue Cycle – Manage Demand
Varying between daily pricing call and weekly yield meeting, focus
is purely on tactical outcomes for all market segments and revenue
streams to ensure all opportunities are leveraged in order to shift
market share.
The daily pricing call is a short conversation with IHG Revenue,
DOSM and Reservations leader looking at the next 30 days.
The weekly yield meeting focusing on the booking window with IHG
Revenue, GM, Sales & Marketing, Catering & Sales, Reservations
and R&B Leads.
All outcomes with clear responsibilities and timelines are discussed.

16. IHG® Revenue Cycle – Retain Demand
Part of any retention strategy that sits outside of the
customer service profit chain includes Commercial Levers,
such as Loyalty. With retention strategies in mind, it allows
a clear focus within the weekly Conversion Meeting.
Updates need to be provided by the respective leader on
all tentative Groups/MICE business and as a team,
discuss options and actions that will assist in conversion.
Clear outcomes and action will be decided and distributed
amongst the attendees of Sales & Catering, Sales &
Marketing, Reservations Leads and IHG Revenue.

17. In summary; the key benefits
With today’s hospitality industry related challenges, more than ever before, having a constantly
trained team who are perfectly knowledgeable of both IHG’s systems and the fast changing
conditions is crucial to the performance of your hotel considering the market & complexity.
Market and hotel complexity
• Importance of understanding client behaviour
(segment and channel approach)
• Necessity to deal with volatile demand:
depending on location, city events and
economical conditions means we need to be
agile and fast to adapt
• The need to define a long-term strategy as well
as to focus on current tactical aspects (pricing,
system optimisation) to drive the highest
revenue possible and protect margins
Hotel’s daily operation
• Hotel teams are focussing on guest
satisfaction and daily operations, lacking time
to train on Revenue Management.
• Especially in mainstream brands and
during opening or
re-opening, hotels don’t have enough time to
focus on the strategy and the system
• Employee turnover generates a loss of
knowledge and gaps in strategy
implementation and brand/system knowledge