Revenue Management

This is the first of a two-part article on managing wine lists as a revenue system. Part I examines how price shapes perceived value and why fragmented lists suppress trade-ups. Part II will isolate relevant commercial behaviours and translate the architecture into sourcing, service and performance management. A wine list does not perform simply because every label meets its target cost percentage. It performs when it shifts the sales mix towards higher-contribution choices, strengthens the credibility of the offer and increases contribution per cover without creating friction from guests. When beverage cost drifts upwards, the conventional response is to reassess each product, estimate the guest’s willingness to absorb a higher price, de-list or reprice selected references and rebuild the spreadsheet until the consolidated ratio looks acceptable. Yet wine spend per cover often deflate, sales stay concentrated at entry level and the high-contribution bottles continue to turn slowly. The problem is seldom a lack of choice. It is a lack of commercial architecture. Too many wine lists are still built as static pileups of appellations, producers, vintages and prices. They should operate as revenue systems in which every reference has a defined role: to reassure, anchor, convert, trade the guest up, serve a particular occasion or reinforce the property’s positioning. Price laddering creates that progression. It is neither a sequence of mechanically spaced prices nor a method for pushing the most expensive bottle. It is a clear hierarchy of value in which each tier gives the guest a credible reason to consider the next. The objective is not to maximise the margin on each bottle in isolation but to optimise portfolio contribution and guest satisfaction. Price Is Part of the Product Mix A markup is a calculation. It protects cost discipline, but it does not constitute a complete commercial proposition. Consider two Sauvignon Blancs with the same landed cost of $17: a New Zealand Sauvignon listed at $75 and an estate-produced Touraine at $85. Viewed in isolation, the Touraine appears superior: a lower beverage cost percentage, a higher unit gross profit and a price more consistent with an upscale position. The guest, however, sees the two bottles together. The New Zealand Sauvignon makes the category immediately accessible. Its style is familiar and its price establishes the opening reference point. The Touraine is therefore no longer an abstract $85 purchase. It becomes a $10 upgrade to a more mineral, linear and recognisably Old World expression. The first product does not necessarily cannibalise the second; it creates the conditions for its sale. This is the central principle of laddering. Price is not merely the outcome of cost and markup; it is part of how the product is perceived. A wine list does not sell isolated prices. It sells differentials, comparisons and progressions in value. Without the $75 anchor, the $85 bottle may feel expensive. With it, the Touraine becomes a reasonable step and establishes the route towards a Pouilly-Fumé at $95 and a Sancerre at $110. A Fragmented List Forces the Guest to

Marriott’s corporate room nights fell last quarter while its rate rose. The discounts hotels still grant for volume are priced for a customer who stopped sending more people. Aug 14,…

ARLINGTON, Va. – The U.S. hotel industry reported another week of positive year-over-year comparisons, according to CoStar ’s latest data through 8 August. CoStar is a leading global provider of online real estate marketplaces, information and analytics in the property markets. 2-8 August 2026 (percentage change from comparable week in 2025): Occupancy: 70.0% (+3.0%) Average daily rate (ADR): US$166.85 (+4.1%) Revenue per available room (RevPAR): US$116.77 (+7.2%) Among the Top 25 Markets, Philadelphia saw the highest increases in occupancy (+14.2% to 74.6%) and RevPAR (+27.4% to US$116.29) as well as the second-highest gain in ADR (+11.5% to US$155.79). Chicago reported the largest ADR lift (+15.2% to US$206.21) and the second-highest jump in RevPAR (+23.8% to US$176.93). Miami experienced the steepest declines in occupancy (-7.2% to 65.8%) and RevPAR (-8.5% to US$107.60), while the largest ADR decrease (-4.1% to US$158.12) was reported in Nashville . For more information about the company and its products and services, please visit costargroup.com . Additional Performance Data CoStar’s world-leading hotel performance sample comprises 95,000 properties and 12.2 million rooms around the globe. Members of the media should refer to the contacts listed below for additional data requests.

🏆 Philadelphia anticipated 450,000-500,000 visitors with an economic impact up to $770 million, seeing hotel revenues rise over 50%. Atlanta's hotel revenue increased 15%, despite lower bookings. In Kansas City, hotel occupancy rose 8%, with spending growth driven by matches involving Algeria, the Netherlands, and Argentina. Miami benefitted from team base camps. Marriott's RevPAR rose 5% in Q2 of 2026, while Mexico City saw booking growth above 150% compared to the seasonal norm. Toronto and Vancouver gained international visibility.

🏨 Philadelphia and St. Louis hotels saw notable performance gains from July 26 to August 1, 2026. Philadelphia's ADR rose 19.6% to $175.02 and RevPAR increased 32.1% to $137.55, aided by Morgan Wallen concerts. St. Louis experienced a 15.1% occupancy lift, ADR grew 13.5% to $140.98, and RevPAR rose 30.6% to $106.27. Las Vegas faced declines with occupancy at 66.2% (-11.7%), ADR at $145.87 (-6.2%), and RevPAR at $96.63 (-17.1%). CoStar's data encompasses 95,000 properties globally.

💸 Choice Hotels International, Inc. reported second-quarter 2026 results in North Bethesda, Maryland: net income reached $64 million, yet declined 21% from 2025. U.S. room openings rose 27%, with 6,400 new rooms. Adjusted EBITDA hit $175 million, while adjusted EPS was $2.02. Global net rooms grew 2.6%, with U.S. RevPAR rising 1.3%. Choice returned $139 million to shareholders and reported $475 million in liquidity. Global franchise agreements increased by 20%, reaching 11,200 new rooms.

📈 Cloudbeds and Lighthouse expanded their partnership in January 2023. Their integration now allows Cloudbeds PMS data to flow directly into Lighthouse Performance and Distribution, automating reporting for single and multi-property hotels. This enhances decision-making by analyzing pickup trends, booking pace, and occupancy rates without manual input. Lighthouse services 80,000 hotels across 185 countries. Cloudbeds, founded in 2012, operates in over 150 countries, serving tens of thousands of properties.

📅 Wedding venues typically achieve show rates of 70%-85%, indicating successful operations. However, event no-shows can reach 40%-60% for free events and 10%-30% for paid ones, impacting venue costs. Dynamic pricing has proven to increase revenue by 25% over three years and boost off-peak attendance by 60%, compared to a 38% drop in static pricing venues. Tracking the gap between bookings and actual attendance is essential for optimizing venue utilization and revenue.

🏨 £3.5 billion in UK hotel revenue is at risk annually due to abandoned online bookings. Profitroom's study reveals 26.4% of travelers have "rage-quit" bookings, with 69% facing confusion or technical issues. Over half (55%) prefer online travel agents for smoother processes. Ancillary revenue losses total £32.6 million annually, equating to £154,000 per hotel. Simplifying booking could boost extras purchases, as 65% of 2,000 UK adults experienced difficulties adding services. Profitroom stresses the need to streamline direct booking.

💰 Marriott International reported second-quarter 2026 results in Bethesda, Maryland. RevPAR rose 3.4% globally, with U.S. & Canada seeing a 5% increase, while international RevPAR fell 0.5%. Net income was $766 million, with adjusted net income at $844 million. Adjusted EBITDA reached $1,592 million. The firm added 17,900 rooms, totaling over 1,814,000 rooms globally. Marriott repurchased 3 million shares for $1.1 billion. Their development pipeline reached 629,000 rooms, with 44% under construction.