Revenue Management Guidelines for Rental Villas in Ba Ria – Vung Tau Province, Viet Nam

Abstract

The idea of this thesis is to combine the concepts of rental condotel villas and revenue management together. The aim is to analyse revenue management methods for applying to individual owned rental apartment in Ba Ria – Vung Tau province. The expected final result of this project-based thesis is to create guidelines and supporting tools to implement revenue management strategy for individual owned condotel rental villas in Ba Ria - Vung Tau province, Vietnam. As the case, the private accommodation owner is not familiar with the hospitality industry, the field that uses dynamic pricing method, therefore for her to understand and familiarize with revenue management concept will be crucial to the progress of implementing the revenue management strategy.

Theoretical part will consist of three main theory subjects: hotel classification and types in Vietnam, basics of condotel and resort villa term, and revenue management fundamentals. Following with research methods, planning process, and the project outcome. The data for theoretical part of the thesis will be collected from the published books and Internet articles. Other additional information sources were the author’s personal understanding of the situation. Research methods used were in-depth interview with property owners and their staffs, as well as SWOT analysis to acquire an authentic and extensive view of the current business.

The thesis is a product-oriented thesis; thus, the expected result of the project is a guideline and supporting tools for property owners, which involve five phases, each serves its own strategic objective. The first target is to collect data to be able analyse and gain a thorough understanding of consumers, as a second stage, when choosing Ba Ria - Vung Tau province as their holiday destination and how to designate customers to experience the apartments. Third target is to reach as many potential purchasers as possible by expanding and enhancing performance of various distribution channels. The following objective is to build a rate structure, that will be able to sell to the right customer at a right time and with the right price, as well as managing rate parity policy in every distribution channel. The final target is to build and make the owners and their staffs familiarize with sets of reports, which not only helps them to control the inventory, at what rate to sell but also can perform business analysis if needed.

The guidelines and supporting tools will be created based on theoretical framework and qualitative research method was apply to the report, which was a detailed discussion with the condotel’s owner. Having employed by owner of the rental apartments, the author contributed to the case and help the commissioner to implement these required stages, attempt to maximize profit to the property. The initial idea was nourished for two months and created through one month of working closely with the commissioner.