Revenue Management System: Not Just For Booms, But For Increments Too

When a big event is on the horizon, expectations are high. Full occupancy is planned, rates are raised, and the team is prepared. But what happens when bookings don’t come in as expected? This is when a revenue management system becomes more than just an optional extra. In this article, we explore how a revenue management system (RMS) helps hoteliers bridge the gap between expectations and reality, using real-world examples from Eurovision Song Contest 2025 in Basel and the European Summer of Rate Caps in Germany.

We say it all the time: the real magic of revenue management is staying ahead of the curve and being ready to adapt when the game changes at the last minute. Sure, an RMS makes good weeks even better. But when the phones go silent and the sunniest weather forecasts turn cloudy, that’s when… It really can save you.

Because in difficult weeks, confidence in prices is everything.

A big city event? Expectations are rising. That's exactly what happened when the Eurovision Song Contest came to Basel in May 2025. Hotels were bracing for a boom, but at the start of the week it looked more like a flop. The demand, especially compared to the Swiss Biotech Days the week before, simply didn't come as expected.

Media headlines called it a disappointment. But for some hoteliers, it was a different story.

At RoomPriceGenie we looked at data from seven properties using more flexible, market-driven strategies and the results were impressive:

• 9% average occupancy during the week
• Occupancy 2% Saturday night
• ADR comfortably above CHF 300

Here's what made the difference:

• Shorter minimum stays
• Moderate rate adjustments based on actual withdrawal
• Agile availability that adapted to changing demand
• Confidence to be kept stable at the beginning, then act quickly when demand increases

Some serviced apartments and long-term rentals had occupancy above 90% throughout the week, and most properties recovered quickly from cancellations.

So, ESC week wasn't an automatic win for everyone. But the potential was there for those who remained responsive to the market with an RMS, and it paid off.

As the Euros got underway, hoteliers in Germany were full of optimism. Advance bookings in cities like Cologne and Leipzig were already over 70% for key match nights in early May. Average daily rates jumped 40% , and some media outlets warned fans to brace for “mind-blowing” prices. The Ifo institute even predicted €1 billion in additional tourism spending during the tournament.

But once the tournament started, things went differently.

According to STR , nationwide occupancy actually fell slightly (-0.5 percentage points) during the peak weeks. And in a DEHOGA Pulse survey, 88 percent of German hotel companies said they had not experienced any positive effects from the tournament.

So what went wrong?

• Day trippers predominated. Thanks to high-speed trains and cheap intercity buses, many fans forgot about staying in hotels altogether.
• Price resistance has set in. With rooms priced up to 57% above average , some guests have looked for cheaper alternatives or stayed home.
• Regular demand was replaced. Corporate and tourist guests avoided the host cities, thus offsetting the influx of fans.
• Bad weather and early exits did not help. Germany's defeat in the quarter-finals and stormy weather dampened extended stays and celebratory spending .

Yes, there were some peaks: Berlin saw Occupancy at 87% and ADR increase of 199% in the last weekend. However, the tournament did not meet the revenue expectations of the German hotel.

When expectations are high but bookings are low, an RMS helps you adapt in real time and stay agile. Properties that rely on data, not just word of mouth, could:

• Change prices in advance by observing the real withdrawal
• Adjust length of stay policies before demand drops
• Promote in-depth evenings and flexible offers to attract national fans
• Protect your share without relying on inflated rates

In short, they moved with the market, not against it.

An RMS doesn't just help you enjoy the good times to the fullest. It also helps you:

• React quickly when demand changes
• Keep pricing decisions based on real market data
• Avoid over-correcting too late
• Save time so you can focus on the guest experience, not spreadsheets.

Whether it’s a soft event week or a sudden shift in demand, RMS keeps you one step ahead.

Here’s how to make your RMS work best when the plan doesn’t go as planned:

• Keep minimum stays short unless demand really justifies more
• Monitor withdrawal in advance, daily and with context
• Focus on the sidelines, not just the main dates
• Set pace alerts to take action before things get out of hand
• Make sure your entire team understands what you're doing and why

Not all big events turn into big wins. With the right revenue strategy and an RMS that helps you stay agile, you don’t have to rely on high demand to get good results. Because smart, responsive decisions can turn an uncertain week into one you can be proud of. That means fewer second thoughts and more confident, calm, and competitive decisions.