april 30, 2015
Experient, MGM Whitepaper Explains How Dynamic Housing Models Work For Meetings and Events Industry
VERNON HILLS, Ill.
The challenge for all meeting planners and event organizers is to sell the right rooms to the right customer at the right time for the right price. Planners and organizers need to obtain as many rooms as possible for the lowest rate in order to fill room blocks, while hotels need to ensure they are at the highest occupancy at the highest possible rate. The whitepaper explains how utilizing a dynamic flex pricing model, or rate yielding, is the best way to bridge this gap.
AEMÍs CONEXPO-CON/AGG 2014, the largest show in North America for the construction industries, proved that a win-win can be achieved through the use of dynamic flex pricing. The results for AEM included greater revenue that could be used for show services, more inventory for longer time frames, additional inventory access, lower entry rates contributed to earlier bookings and increased traffic for the event website.
ñThe whitepaper captures the positive experience we had working with ExperientÍs Housing team to implement a dynamic flex pricing model,î said Dana Wuesthoff, AEMÍs Director of Event Registration and Housing. ñAfter seeing such positive results for our attendees, weÍre believers that this model is the way to go to help us offer improved service to show participants.î
For the major entertainment company, MGM Resorts International, results included room block growth beyond the original contracted block, leverage to gain additional inventory for the next event based on stronger pick-up history, additional room nights, competitive rates and increased credibility with attendees finding the best rates available. The implementation of the dynamic flex pricing model increased credibility for the show organizer, hotel partner and the hotels.
According to Deanna Burgess, Director of Citywide Corporate Hotel Sales for MGM Resorts International, ñWe saw room block growth in 13 hotels by more than 15% from the original contracted block at lower-than-market rates. ThatÍs something weÍve never seen before.î
The whitepaper, downloadable http://info.experient-inc.com/modernize-room-block-pricing, explains how dynamic flex pricing, or rate yielding, works when there is a need to increase existing room blocks during the booking process and there is flexibility to adjust rates based on demand.
MGM Resorts International (NYSE: MGM) is one of the world's leading global hospitality companies, operating destination resort brands including Bellagio, MGM Grand, Mandalay Bay and The Mirage. The company also owns 51 percent of MGM China Holdings Limited, which owns the MGM Macau resort and casino and is in the process of developing a gaming resort in Cotai, and 50 percent of CityCenter in Las Vegas, which features ARIA resort and casino. For more information about the company please visit www.mgmresorts.com.
The Association of Equipment Manufacturers is the North American-based international trade association providing innovative business development resources to advance the off-road equipment manufacturing industry in the global marketplace. AEM membership comprises more than 850 companies and more than 200 product lines in the agriculture, construction, forestry, mining and utility sectors worldwide. AEM is headquartered in Milwaukee, Wisconsin, with offices in the world capitals of Washington, D.C.; Ottawa, Canada; and Beijing, China. Visit www.aem.org for more information.