It’s election season somewhere – this week Germany for example – , which means politicians are out there, shaking hands, kissing babies, and promising the world to get votes. Meanwhile, in revenue management, we’re out here… doing the exact same thing.
Think about it: Revenue management and elections are basically the same game.
Not Every Voter (or Guest) is for You
In politics, no party tries to win every vote. They focus on their base—the people most likely to align with their values. They also try to win over swing voters, but they know some voters will never choose them.
Hotels? Same deal. You don’t need the entire market—you need your market.
Luxury hotels aren’t chasing budget travelers.
Business hotels aren’t bending over backward for backpackers.
All-inclusive resorts aren’t trying to lure conference attendees.
We target the right guests with the right offers, just like political campaigns tailor their messages to specific voter groups.
Different Messages for Different Audiences
Political campaigns don’t use one-size-fits-all slogans. They tweak their messaging:
Young voters? Talk about student loans.
Families? Talk about education.
Business owners? Talk about tax breaks.
Hotels do the same:
Weekend leisure guests? Highlight your spa packages.
Business travelers? Push fast Wi-Fi and late check-outs.
Group bookings? Offer block rates and meeting perks.
Same product (the hotel), different positioning depending on the audience.
Winning More “Votes” (Bookings!)
At the end of the day, elections come down to winning more people over to your side—and so does revenue management.
Loyal guests? They’re like the die-hard party supporters. They’ll book no matter what.
New guests? The swing voters. They need the right deal at the right time.
OTA shoppers? They’re like undecided voters watching a debate—you need to convince them you’re the better option.
The Strategy is the Same
Revenue management isn’t about getting everyone—it’s about getting enough of the right ones to win the race.
So, next time you’re setting your pricing and segmentation strategy, think:
Who’s my target audience? How do I win their “vote”? And what’s my strategy to outperform the competition?
Now, the key difference: In Revenue Management it is election day every day in a infinite game of demand, capacity and conversion 🙂
Love,
Revenue Management
