Economics at your fingertips  

Pricing strategies for perishable products: the case of Vienna and the hotel reservation system

Jörg Schütze ()
Authors registered in the RePEc Author Service: Joerg Schuetze

Central European Journal of Operations Research, 2008, vol. 16, issue 1, 43-66

Abstract: Consider a retailer who sells perishable products for which there is uncertain demand. Yield management with dynamic pricing is a standard practice that firms use for revenue management. For perishable products, recent analysis has focused on the distribution of flight capacity, referred to as ticket sales. Other non- storable, non-transportable, immaterial hospitality products include hotel capacity. The article discusses the extent to which hotel pricing strategies vary within the internet distribution system This study focuses on the distribution of hotel rooms available for booking on the internet for Vienna and gives an outlook to Euroland capitals. The main research interests are the underlying pricing models and the setting of the end price. Data was taken from, which is the most important specialist for hotel room internet distribution in Germany according to recent studies by KMPG and others. The results include the identification of different pricing strategy clusters with regard to hotel category and hotel availability over a 22-day period for Vienna and one city from all Euroland countries (the capitals were studied for all cases except for the Netherlands, for which data was collected for Amsterdam). The study took the arrival days Mondays, Tuesdays, Wednesdays and Thursdays into account, and used data for all these days from the 11th of July, 2005, to the 10th of October, 2005, for Vienna, and the first and the last of these dates as a comparison base for the other Euroland cities. Copyright Springer-Verlag 2008

Keywords: E-commerce; Perishable product; Yield management; Dynamic pricing; Internet distribution system; Hospitality; Room rate (search for similar items in EconPapers)
Date: 2008
References: View references in EconPapers View complete reference list from CitEc
Citations Track citations by RSS feed

Downloads: (external link) (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link:

Ordering information: This journal article can be ordered from
http://www.springer. ... search/journal/10100

Access Statistics for this article

Central European Journal of Operations Research is currently edited by Ulrike Leopold-Wildburger

More articles in Central European Journal of Operations Research from Springer, Slovak Society for Operations Research, Hungarian Operational Research Society, Czech Society for Operations Research, Österr. Gesellschaft für Operations Research (ÖGOR), Slovenian Society Informatika - Section for Operational Research, Croatian Operational Research Society
Series data maintained by Sonal Shukla ().

Page updated 2017-11-05
Handle: RePEc:spr:cejnor:v:16:y:2008:i:1:p:43-66