Dynamic pricing strategies: Evidence from European hotels

TR Number
Date
2012
Journal Title
Journal ISSN
Volume Title
Publisher
International Journal of Hospitality Management
Abstract

How much do hoteliers actually make use of dynamic pricing strategies? We collected data on the price of a single room booked in advance (from three months to a single day), from almost 1000 hotels in eight European capital cities. Pricing strategies were analyzed by means of descriptive statistics, box plots and econometric panel data techniques. The empirical results show that the inter-temporal pricing structure primarily depends on the type of customer, the star rating and the number of suppliers with available rooms.

Description
Keywords
hotel industry, dynamic pricing, customer heterogeneity
Citation