Abstract

This study aims to examine whether hotel room rates differ across booking windows between both direct and indirect channels and six types of hotel classes and to investigate the effect of booking windows and hotel classes on room rate dispersion. The data was gathered using a stratified sample to create a list of 705 hotels within the U.S. Repeated-measures ANOVA discloses a significant three-way interaction effect of booking windows × distributional channels × hotel classes on actual room rates. Furthermore, this study confirmed the interaction effects of booking windows and hotel classes on room rate dispersion. These observations have implications for revenue managers, and they show that 60 days prior to arrival had the largest dispersions for most hotel classes. When revenue managers develop pricing strategies, they should be conscious of these reported results and accordingly manage both their channels and room rates.

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