Hotel Yield Management Using Monte Carlo Simulation

A hotel is a service industry where each room in each night is considered as a product. Using a right pricing, yield management can increase hotel profit. In this paper, a Monte Carlo simulation modelling method is proposed to hotel yield management. The model investigates different pricing scenarios for a real case study to find an appropriate pricing policy. Research findings show that the proposed model captures all desired features and helps the hotel to set room prices for different policies.

Keywords:

Yield Management , Dynamic Pricing , Hotel Room Pricing , Mont Carlo Simulation ,