Budgeting is a necessary though time-intensive period in which a hotel assesses the upcoming year’s goals, threats and opportunities, diluting it all down into a prediction of revenue against expense.
It’s not always an exact science. An element of assumption is part of the exercise, but richer data that goes well beyond RevPAR is available to help hoteliers make shrewder budgetary calls.
Budgeting for 2023 is particularly fraught with uncertainty due to the soaring cost of virtually all expense items and the specter of recession, which could put a crimp on demand. In the post-COVID years, hoteliers have become more focused on the bottom line, with once passive owners instructing their management companies to be more cognizant of expenses and flow through.
A surfeit of revenue and expense data now exists that allows hoteliers to budget for each operated and undistributed department.
Budgeting will never be an exact science, but the tools of the trade are available to make it more precise.
Through this free download, done in partnership with profitability data benchmarking firm HotStats, you'll learn not only how hoteliers are budgeting for 2023, but why and what the inputs are that are impacting decision-making.
Download your free copy of "Future Figures: U.S. Hotel Budgeting 2023" through this link.
Happy budgeting!