What does mpi ari rgi mean?

MPI (market penetration index) refers to market penetration index; ARI (average house price index) refers to the average house price index; RGI (income generating index) refers to the income generating index.

Hotel revenue management usually has three measures: MPI, ARI and RGI. Revenue management is a kind of management mode that mainly establishes real-time forecasting model, analyzes demand behavior based on market segmentation and implements different price standards for customers.

As a pioneer and global technology leader, revenue management (IDeaS) can provide industry-leading revenue management solutions for enterprises of all types and sizes in the global hotel and tourism industry. It can turn correct data into clear and feasible suggestions and decisions, so that customers can quickly and confidently price, forecast and report, thus improving business performance.

The core of revenue management is price segmentation, also known as price discrimination, that is, different price standards are implemented for customers according to their different demand characteristics and price elasticity. This kind of price segmentation adopts a customer division standard, which is some reasonable principles and restrictive conditions.

The importance of revenue management to hotels;

1, define the basic customer base positioning.

The positioning of B&B's basic customer base needs to be made clear in the site selection and design stage of the project, which is a stable basic customer base in the future operation of B&B. The positioning of this customer base needs to follow the natural flow direction of the project site and consider how to attract local natural passenger flow into the hotel. This logic seems simple, but there are many negative cases in reality.

2. Flexible market segmentation.

For most destinations, the basic tourists will have obvious off-season points. Like the case mentioned above, most business guests spend money on weekdays, and some business parents and children may last until the weekend, but generally speaking, the weekend holiday of this kind of homestay will become a more obvious off-season. This period is the time for tourists to concentrate on consumption.

3. The implementation strategy of revenue management under market segmentation.

Under the premise of selecting market segments, how to guide the consumption of market segments through the regulation of prices, channels and housing conditions is the key to the implementation of revenue management. Therefore, a full analysis of the behavioral characteristics of each segment of the population is the premise of making regulatory decisions, including consumers' sensitivity to price, preferred room type, usually booking a few days in advance, average stay days and so on.