REVENUE FORECASTING MODELS FOR HOTEL MANAGEMENT By Seyed-Mahmoud Aghazadeh The Holt-Winters model works well with data that contain seasonality and trend … to optimize revenue, companies need a formal forecasting process … hotels geared toward skiing and golf are very much affected by a change in the weather. E E very organization operates under some kind of uncertainty. Forecasting helps to manage uncertainty. There are two main approaches to forecasting. One is based on the cause-andeffect approach where a forecast is based on the value of factors that drive the event. The other is based on the extrapolation of historical data. Between the two, the former approach is a little more difficult than the latter. However, regardless of forecasting method used, all organizations benefit from forecasting. SKI RESORT AND CONFERENCE CENTER The hotel under study is a ski resort and conference center located in southwestern New York state. The hotel offers several options for lodging with 108 rooms, including condominiums that are designated for use as rentals, ownership, and timeshares. The hotel alters its market focus throughout the year because of the seasonal nature ...

From Issue: Fall 2007
(Fall 2007)

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Revenue Forecasting Models For Hotel Management