Classification of Lodging Facilities using Questionnaire data on Revenue Management
Authors: Emi Iwanade, Kohei Otake
Abstract: The COVID-19 epidemic has drastically changed our way of life. Especially in Japan, the lodging industry was hit hard by the trend toward self-restraint in travel. The situation is now returning to what it was before the epidemic, and businesses need to review their future facility operations. The purpose of this study is to typify and understand the characteristics of lodging facilities by focusing on their revenue management methods. Specifically, we use a questionnaire of employees involved in decision-making regarding the facility. First, we performed principal component analysis on 13 question items related to current profit management among all questionnaire items. We summarized the questionnaire items into 6 principal components by this analysis. For each principal component, we interpreted the first principal component as focusing on constancy, the second principal component as focusing on demand forecasting, the third principal component as focusing on room occupancy, the fourth principal component as focusing on customer demand, the fifth principal component as focusing on competitors, and the sixth principal component as focusing on company policy.Subsequently, we performed cluster analysis using the principal component scores obtained by principal component analysis. We calculated the average principal component score for each cluster, and named and discussed each cluster with reference to the calculated value.This study allowed us to develop a classification of facilities based on their revenue management methods.
Keywords: Revenue Management, Hotel Industry, Principal Component Analysis, Cluster Analysis, Questionnaire
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