We can't deny the fact that pricing food and beverage is much more complicated. In a majority of the hotels, there are three or four types of rooms but so far as the menus are concerned we can have dozen of dishes.
There are some of the important points to be considered in the process:
• Do you find that your guests are eating in the hotel restaurant or coffee shop where the competitive restaurants are very close to the hotel. Generally a proportion do eat in but a significant proportion go out.
• Where a hotel has two or more restaurants, they compete with each other and help splitting the market down the middle rather than offering a true price.
• The business in the function room.
Pricing for Function Restaurants can get more business because the food, services or atmosphere is unique or just a little better than the competitors. But this aspect is found more complicated for function room services. Most of the functions are fairly routined which makes it difficult to produce a gastronomic experience. Some guests are found extremely sensitive to price and for them the reduced rate would normally be stimulant.
Yet the reduction in rate must be done carefully because we also find users considering high pricing a status symbol. We can't negate the fact that the pricing policy affordable to the guests and remunerative to the establishment is found to be a rational policy sub-serving the interests of all.
In view of the above, it is right to mention that the intensity of competition, emerging trends in economy and changing lifestyles are the important factors drawing due attention of the hotel! management, specially while making the pricing decisions.
There are some of the important points to be considered in the process:
• Do you find that your guests are eating in the hotel restaurant or coffee shop where the competitive restaurants are very close to the hotel. Generally a proportion do eat in but a significant proportion go out.
• Where a hotel has two or more restaurants, they compete with each other and help splitting the market down the middle rather than offering a true price.
• The business in the function room.
Pricing for Function Restaurants can get more business because the food, services or atmosphere is unique or just a little better than the competitors. But this aspect is found more complicated for function room services. Most of the functions are fairly routined which makes it difficult to produce a gastronomic experience. Some guests are found extremely sensitive to price and for them the reduced rate would normally be stimulant.
Yet the reduction in rate must be done carefully because we also find users considering high pricing a status symbol. We can't negate the fact that the pricing policy affordable to the guests and remunerative to the establishment is found to be a rational policy sub-serving the interests of all.
In view of the above, it is right to mention that the intensity of competition, emerging trends in economy and changing lifestyles are the important factors drawing due attention of the hotel! management, specially while making the pricing decisions.