The hotel industry has long recognized revenue management as a critical lever for profitability, yet traditional approaches often struggle to keep pace with today’s rapidly shifting market dynamics. At HITEC 2025, industry leaders like Mark Lewis-Brown of Zucchetti North America highlighted how the next generation of revenue management systems (RMS) is moving beyond historical data to incorporate real-time, multi-source intelligence — transforming how hotels anticipate demand and set rates.
“Hotels have always relied heavily on past occupancy and competitor pricing to guide their revenue strategies,” Mark noted. “But today’s environment demands something more proactive, more granular. We need to see signals from feeder markets, airline bookings, even flight searches, well before those guests show up in reservation systems.”
This shift reflects a broader industry trend: integrating external data streams to generate predictive insights. The rise of AI and machine learning enables RMS tools to analyze millions of data points, from flight searches to booking pace, helping hotels spot demand patterns earlier and adjust pricing dynamically. For example, if airfare surges for a resort island, hotels can anticipate a possible dip in demand and adapt rates accordingly — a nuance often missed by RMS relying on lagging data.
Mark pointed out that such intelligence is not just a “nice-to-have,” but essential in volatile markets marked by fluctuating international travel, economic shifts, and unexpected factors such as reductions in government travel programs. “Right now, with inbound traffic from Canada down and federal travel reduced, you have to be able to pivot quickly,” he said. “If you’re only looking at what happened last month, you’re already behind.”
Beyond data sophistication, there’s also a growing emphasis on flexibility and automation. Many properties face lean staffing on weekends or holidays — times when demand might spike unexpectedly. Modular RMS solutions that can automate rate suggestions during off-hours, while allowing manual control during peak periods, offer a practical way to balance efficiency with strategic oversight.
Operational efficiency is another pressing concern. Mark emphasized how automation can free revenue teams from the laborious, repetitive tasks of rate shopping and manual updates, allowing them to focus on strategic initiatives and guest engagement. “Hotels often spend hundreds of hours annually just managing pricing manually,” he said. “Smart automation is a game-changer for productivity.”
At the same time, the role of the RMS is expanding within broader hotel technology ecosystems. Seamless integration with PMS and CRS platforms is becoming a must-have, ensuring that pricing recommendations flow smoothly into booking engines without costly or complex implementations.
Zucchetti’s approach, as Mark described, is to thoughtfully curate and integrate technologies that complement their existing suite rather than overwhelm users with disparate tools. This reflects a wider recognition in hospitality tech: vendors must balance innovation with simplicity and support.
While the technology itself is advancing rapidly, Mark reminds us that market intelligence and human insight remain critical. “AI and data give you tools, but knowing your property, your market, and your guests is irreplaceable,” he said. “Technology is there to augment, not replace, that expertise.”
As hotels navigate an increasingly complex marketplace — with shifting travel patterns, competitive pressures, and evolving guest expectations — the evolution of revenue management systems offers a glimpse into how AI and integrated data are reshaping decision-making. Those that can harness real-time, predictive insights while maintaining operational agility will be best positioned to maximize revenue and stay ahead of market volatility.
