Cargando…
Hotel dynamic pricing, stochastic demand and covid-19
We develop an innovative framework to study how hoteliers apply inventory control and price discrimination taking into account seasonality. We end up with a time-varying model that, using publicly available information, connects the early booking and last-minute pricing decisions. In doing so, we ac...
Autores principales: | , , |
---|---|
Formato: | Online Artículo Texto |
Lenguaje: | English |
Publicado: |
Elsevier Ltd.
2022
|
Materias: | |
Acceso en línea: | https://www.ncbi.nlm.nih.gov/pmc/articles/PMC9597536/ https://www.ncbi.nlm.nih.gov/pubmed/36311899 http://dx.doi.org/10.1016/j.annals.2022.103495 |
_version_ | 1784816114670239744 |
---|---|
author | Guizzardi, Andrea Ballestra, Luca Vincenzo D'Innocenzo, Enzo |
author_facet | Guizzardi, Andrea Ballestra, Luca Vincenzo D'Innocenzo, Enzo |
author_sort | Guizzardi, Andrea |
collection | PubMed |
description | We develop an innovative framework to study how hoteliers apply inventory control and price discrimination taking into account seasonality. We end up with a time-varying model that, using publicly available information, connects the early booking and last-minute pricing decisions. In doing so, we account for the expected demand size and price elasticity, the inventory put on sales, and the last-minute demand shocks. An analysis focused on 100 hotels in Milan (Italy) shows that during the Covid-19 last-minute discounts/surcharges remain stable over long periods while the role of advance booking as a lever for revenue management is reduced. Moreover, the pandemic has increased the last-minute adjustment at the short advance booking, especially for midweek days. |
format | Online Article Text |
id | pubmed-9597536 |
institution | National Center for Biotechnology Information |
language | English |
publishDate | 2022 |
publisher | Elsevier Ltd. |
record_format | MEDLINE/PubMed |
spelling | pubmed-95975362022-10-26 Hotel dynamic pricing, stochastic demand and covid-19 Guizzardi, Andrea Ballestra, Luca Vincenzo D'Innocenzo, Enzo Ann Tour Res Article We develop an innovative framework to study how hoteliers apply inventory control and price discrimination taking into account seasonality. We end up with a time-varying model that, using publicly available information, connects the early booking and last-minute pricing decisions. In doing so, we account for the expected demand size and price elasticity, the inventory put on sales, and the last-minute demand shocks. An analysis focused on 100 hotels in Milan (Italy) shows that during the Covid-19 last-minute discounts/surcharges remain stable over long periods while the role of advance booking as a lever for revenue management is reduced. Moreover, the pandemic has increased the last-minute adjustment at the short advance booking, especially for midweek days. Elsevier Ltd. 2022-11 2022-10-26 /pmc/articles/PMC9597536/ /pubmed/36311899 http://dx.doi.org/10.1016/j.annals.2022.103495 Text en © 2022 Elsevier Ltd. All rights reserved. Since January 2020 Elsevier has created a COVID-19 resource centre with free information in English and Mandarin on the novel coronavirus COVID-19. The COVID-19 resource centre is hosted on Elsevier Connect, the company's public news and information website. Elsevier hereby grants permission to make all its COVID-19-related research that is available on the COVID-19 resource centre - including this research content - immediately available in PubMed Central and other publicly funded repositories, such as the WHO COVID database with rights for unrestricted research re-use and analyses in any form or by any means with acknowledgement of the original source. These permissions are granted for free by Elsevier for as long as the COVID-19 resource centre remains active. |
spellingShingle | Article Guizzardi, Andrea Ballestra, Luca Vincenzo D'Innocenzo, Enzo Hotel dynamic pricing, stochastic demand and covid-19 |
title | Hotel dynamic pricing, stochastic demand and covid-19 |
title_full | Hotel dynamic pricing, stochastic demand and covid-19 |
title_fullStr | Hotel dynamic pricing, stochastic demand and covid-19 |
title_full_unstemmed | Hotel dynamic pricing, stochastic demand and covid-19 |
title_short | Hotel dynamic pricing, stochastic demand and covid-19 |
title_sort | hotel dynamic pricing, stochastic demand and covid-19 |
topic | Article |
url | https://www.ncbi.nlm.nih.gov/pmc/articles/PMC9597536/ https://www.ncbi.nlm.nih.gov/pubmed/36311899 http://dx.doi.org/10.1016/j.annals.2022.103495 |
work_keys_str_mv | AT guizzardiandrea hoteldynamicpricingstochasticdemandandcovid19 AT ballestralucavincenzo hoteldynamicpricingstochasticdemandandcovid19 AT dinnocenzoenzo hoteldynamicpricingstochasticdemandandcovid19 |