For many years, hotels have worked with dynamic pricing on rooms. Especially after Covid, and with rising costs across the hospitality industry, most hotels have had to become more active in finding ways to increase revenue and protect profitability.
But increasing revenue is not always about charging more for the room itself. For many hotels, the opportunity lies in creating more value around the guest stay: packages, add-ons, experiences, meals, spa treatments, golf, activities and other products that encourage guests to spend more while they are on property.
Packages and add-on products have therefore become a natural part of the commercial strategy for many hotels. They help increase total revenue, improve the guest experience and make the stay more attractive. But until recently, managing package pricing dynamically has often been complicated, time-consuming and difficult to control.
The challenge is that a package usually consists of several different parts. The room is one part. Breakfast, dinner, spa, greenfee or other activities are other parts. These different components do not always have the same margin, cost structure or commercial purpose. This is where many hotels risk losing control.
If a hotel gives a discount on the entire package, the discount may also reduce the value of the more costly package components, such as dinner, spa or greenfee. That may make the offer look attractive, but it can also reduce profitability in the wrong place. The smarter approach is to control the room component dynamically, while keeping full value on the parts of the package where the hotel needs to protect its margin. This is what PMHR makes easier.
With PMHR, hotels can build a pricing structure where the room price remains dynamic and demand-driven, while package components can be managed separately. This means that a hotel can apply a discount to the accommodation part of a package without automatically discounting the more cost-heavy elements such as dinner, spa, golf or other add-ons. In practice, this gives the hotel much better control.
When demand is low, the hotel can use packages to create attractive offers and drive occupancy. When demand is high, the hotel can protect rate, increase package value or apply restrictions where needed. The package can follow the market without the hotel having to manually recalculate every price, every room type and every occupancy level.
With a simple setup in PMHR, hotels can manage rooms, packages, breakfast and different pax dynamically with minimal manual work, or no manual work at all. With one click, prices can be updated across all room types, all occupancy levels and all connected channels. This saves time, improves efficiency and helps secure revenue opportunities that might otherwise be lost in manual work.
Most importantly, it allows the hotel team to focus on what matters: the guest experience, marketing, staff, operations and the commercial initiatives that actually move the business forward.
Dynamic package pricing is not about making pricing more complicated. It is about making it easier to control the full value of what the hotel sells. With the right structure, hotels can decide where to give a discount, where to protect margin and where to create additional revenue – all based on demand, need and commercial strategy.
Packages should not live outside the hotel’s revenue management strategy. They should be part of it and with PMHR, managing the full picture becomes both easier and more profitable.
Today, PMHR already helps several leading hotels and destinations where packages and experiences are an important part of the business. Together, we help them create pricing structures that are easier to manage, more flexible and better aligned with demand, while still protecting the value of each package component.
If you want to explore how dynamic package pricing could work for your hotel, we would be happy to show you how PMHR can make it easier.
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