AB Apartment Barcelona’s team of 50 employees manages 700 apartments in Barcelona.
We spoke with Eloi Cirera from AB Apartment Barcelona to find out how he optimizes his revenue. Eloi has been working in revenue management for almost 2 years and has previous experience in Market Research.
Can you describe your methodology?
We use dynamic pricing based on demand.
During major events in the music scene, for example, the tickets go on sale at a particular date. Normally, they are cheaper at the beginning. It is important to have the day that tickets go online in mind when setting the rate accordingly. You can progressively increase the rate as you fill-up more rooms while keeping stock for the last-minute bookers . Knowing how much stock to keep is key.
What tools do you use day-to-day?
RMS software, macroeconomic indicators, event calendars, news and articles industry specific.
What is the worst revenue management mistake you have made?
Not reacting in time.
Which moment in your career are you most proud of?
Increasing occupation in a difficult year.
What would be your advice for a beginner in revenue management?
Follow market trends. For example, during major events in the music scene, checking the calendar regularly is a must. Sometimes the dates of the event changes, or are shortened, or a new event comes up. Do not forget the macro-environment, especially when a low-cost airline opens direct flights within your city.