Editorial Board   

Mr. Smith

Donald R. Smith

Executive Vice President, Nor1 Inc.

Don Smith, a noted expert in ecommerce for hospitality, is responsible for developing strategic supply partners worldwide and creating additional revenue opportunities through innovative upgrade processes and other up-selling related modules and processes. Mr. Smith also oversees the implementation of the Nor1's suite of revenue enhancement products with these suppliers. Prior to Nor 1 Inc., Mr. Smith most recently headed up Business Development at SideStep from their early stages in 2004, maximizing SideStep's revenues and building the most comprehensive supply network in online travel, positioning the company for the successful sale to Kayak Software in December 2007. Prior to SideStep, Mr. Smith headed up the sales efforts at WorldRes, the first the real-time internet based hotel distribution platform. Mr. Smith was the founder of Performance Marketing, a corporate meeting planning, representation and consulting group. Mr. Smith has also held senior level sales and marketing positions at Le Meridien Hotels and Resorts, Pan Pacific Hotels and Princess Hotels International. He currently plays leadership roles in a number of different hotel industry associations, including the American Hotel & Lodging Association (AHLA) and the Hotel Electronic Distribution Network Association (HEDNA). Mr. Smith lives on the San Francisco Peninsula with his wife and three children.

Mr. Smith can be contacted at 408-996-7417 or don.smith@nor1.com

Coming up in October 2019...

Revenue Management: Focus On Profit

Revenue Management is still a relatively new profession within hotel operations and as such, it continues to evolve. One significant trend in this area is a shift away from using revenue as the foundation to generate key performance indicators (KPIs) and to instead place the emphasis on profit. Traditionally, revenue managers have relied on total revenue per available room (TrevPAR) and revenue per available room (RevPAR) as the basis of their KPIs. Now, some revenue managers are using gross operating profit per available room (GOPPAR) as their primary KPI. This puts profit at the center of revenue management strategy, and managers are increasingly searching for new ways to increase the profitability of their hotels. Return on Investment is the objective of any hotel investment, so it is only logical that profitability and ROI will be emphasized going forward. Another trend is an expanded focus on direct hotel bookings. Revenue managers know that one way to increase profitability is to steer guests away from online travel agencies (OTAs) and book directly with the hotel. This tactic also reinforces brand identity and loyalty, and encourages repeat business. In addition, it provides a valuable platform to market the hotel directly to the customer, and to upsell room upgrades or other services to them. Another trend for revenue managers involves automation in their software programs. Revenue management systems with automation are far more desirable than those without it. Automating data entry and logistics increases efficiency, allowing managers to spend more time on formulating strategy. As a bonus, an automated system helps with aggregating and interpreting data. The October issue of the Hotel Business Review will address these developments and document how some leading hotels are executing their revenue management strategies.