Revenue Management is an approach adopted by businesses that want to optimize their revenue stream. This is achieved by gaining a thorough understanding of the marketplace, the manipulation of product supply and demand, careful competitive positioning, and timing. The goal is to optimize income revenue from a fixed, but perishable inventory and use information to segment markets and adjust products through distribution channels. The ultimate challenge is to sell the right product to the right customer at the right time for the right price.
The revenue management concentration area focuses on the evolution of revenue management principles and practices within the hospitality sector. Revenue management concepts are addressed from a comprehensive perspective as they pertain to the importance of generating business revenues and contribution to overall financial performance within the hospitality industry. This field has advanced in both sophistication and complexity, increasing the need for enhanced development of human capital, investments in data analytics, and systems integrated approaches to successful revenue generation.