Recently, Atomize’s Chief Customer Officer, Viktoria Skraba had a chat with Fredrik Ternsjö, Head of Revenue, System and Distribution at Ligula Hospitality Group. During their sit-down, Fredrik shared how Atomize, and one new feature in particular, was helping his hotels seize more revenue opportunities and gain market share.
About Ligula Hospitality Group
Ligula Hospitality Group AB is a fast-growing Swedish company that owns, manages and develops a variety of concepts and brands in the hotel and restaurant industry. Currently, Ligula’s hotel division runs over 40 properties under six brands across Sweden, Denmark and Germany. The company’s F&B branch operates seven distinct brands of restaurants and bars such as Angelini, La Gare and Sofiehof.
Putting Atomize’s new Min/Max feature to the test
As a long-term Atomize client, Fredrik has had many opportunities to leverage the RMS to drive revenue for Ligula Hospitality Group. And while he’s happy with the results, he’s always eager to try new functionalities that promise further topline growth.
When Atomize’s new Min/Max feature launched in August 2022, of course he was among the first to put it to the test. In short, this new setting lets revenue managers impose custom rate floors and ceilings for selected dates and room types even when the system is running on full autopilot.
“The new Min/Max option enables me to influence pricing on one or several room types on a given date without completely restricting the pricing algorithm,” Fredrik explains.
“This is practical when I believe the current price recommendations aren’t optimal and that Atomize has not yet picked up on a specific trend. In that case, I can steer the system in a certain direction without having to use rigid restrictions that could lead to lost revenue.”
Seizing more revenue opportunities by directing the automatic pricing range
The goal of Atomize’s autopilot setting is clear. It’s meant to automatically set optimized rates 24/7/365, so hotels can make the most of every demand shift and market trend. While the RMS is able to handle all day-to-day rate adjustments, revenue managers can always step in and make changes. The new Min/Max feature allows for an even better balance between full automation and manual updates.
“Now, I can influence the pricing range for a specific day or period ahead of that stay date’s pick-up window. Once we enter that arrival date’s booking window, I can rely on the system to make pricing recommendations within the minimum and maximum prices I specified,” Fredrik elaborates.
This gives him more chances to maximize his properties’ revenue by guiding the algorithm but without restricting it too much:
“With the Min/Max option I no longer have to lock the system into a fixed price through a manual override. Instead, I give it a new range to operate in. So, if I believe that we’re heading into a day or period with a certain amount of demand, I can influence the RMS in that direction. And if the actual demand is higher or lower than what I anticipated, the system has the flexibility to pick optimal rates within that range rather than being forced to stick with a price I set. That way we now capture revenue opportunities which we would have missed in the past due to restrictive overrides.”
Results of implementing the new Min/Max feature in the Atomize RMS
Despite the new feature only having been live for a brief time, Fredrik has already seen some impressive results:
“In the two months we’ve been using the Min/Max setting, we’ve seen amazing growth in market share. The RGI of one of our brands has grown by 20% compared to the same time last year. While I know that not all of this can be attributed to this single new feature, I’m sure it played a role in this development. In any case, I’ll continue using it because it provides an extra option to fine-tune our pricing and improve our topline.”