Improving revenue management offers great potential value because it goes right to the bottom line without additional capital spending. Moreover, it is needed in a world where pricing is getting faster.
What exactly is revenue management? The application of disciplined analytics that predict customer behavior at the micro-market level and optimize product availability and price to maximize revenue growth. It is an example of “analytics in motion,” which uses real-time streaming data (that can be big, fast and noisy) and dynamic optimization to improve the quality of an organization’s continuous decisions such as: pricing, order acceptance, resource allocation, scheduling, routing, and forecasting supply/demand.