Featured
The importance of pricing strategies in the hospitality industry
The hospitality industry is a highly competitive industry where pricing strategies play a crucial role in determining the success of a business. The price of a product is one of the major factors influencing its sales. However, the pricing strategy in the hospitality industry is not as simple as just setting a price. Many factors need to be considered, such as unique selling proposition (USP), cost per available room (CPAR), competitor pricing, and market segmentation.
In the hospitality industry, hotel rooms are considered perishable items, which means that if the product is not sold before the night audit, it results in lost revenue. An empty room in a hotel is lost revenue as maintaining an empty room incurs a running cost. One of the prime principles of revenue management is selling at the right price, but how do you know if you are selling at the right price?
The first factor to consider when setting a price is the unique selling proposition (USP). A strong unique selling proposition must correlate with the right price. USP does not necessarily have to be an inbuilt product in the room; it can be service-related or facilities-related. Value-added benefits will also add value to your product and demand a higher price.
The cost per available room (CPAR) is another important factor to consider when creating price points for a hotel room. CPAR is one of the metrics used in the hospitality industry to calculate the total cost of an unoccupied room at a given time. Understanding the CPAR is important to avoid any loss, and factoring in the CPAR will help generate profit.
The cost-plus pricing method is used during extremely low demand. During the pandemic, many hospitality establishments used this method to sustain their business. The hotel rooms were sold at a lower price, keeping the cost of operating plus a profit markup. Group pricing, especially tour series, can be locked profitably by calculating the rate based on the cost-plus pricing method during low-demand periods.
Refurbishment and renovation of hotel rooms are essential to maintain brand quality and offer quality products. A well-maintained room product often fetches a good price, as the quality of the product still has value. When a hotel room is refurbished, it can be positioned back into the market at a slightly higher price point.
Competitor pricing is another factor that should be considered when setting prices. When your room’s price points are in line with or below the price of your competitors, you may be trying to capture a larger fair share of the market. The method of competitive pricing involves analyzing prices and setting prices based on your competitor set. This technique is very widely used in the hospitality industry.
Pricing strategies in the hospitality industry are a critical component of revenue management. Pricing strategies must be carefully considered and analyzed based on various factors, such as unique selling proposition, cost per available room, competitor pricing, and market segmentation. A well-planned pricing strategy can increase revenue and maintain the hotel’s competitive edge.
Editors Note: The article above is based on a publication by OARS Consultancy, a hospitality consultancy firm located in Dubai. OARS, which stands for OCCUPANCY.ADR.REVPAR.SOLUTION, is dedicated to the hospitality sector with a strong emphasis on revenue management consultation and hotel and resort-related projects. The company comprises a team of professionals from around the world who bring their expertise together with the common goal of providing solutions to optimize revenue growth for hotels and resorts. For more information about OARS visit https://oarsolution.com/
Link to the original publication: Pricing Strateigies
Featured
World-first overwater padel tennis court launched at Meyyafushi Maldives
Meyyafushi Maldives, a new five-star premium all-inclusive boutique resort, has introduced what it describes as a world-first in resort recreation: a fixed overwater padel tennis court. Positioned above clear lagoons and framed by sweeping sunset views, the court offers guests an opportunity to play and unwind in a distinctive setting surrounded by panoramic ocean vistas.
Located in the Lhaviyani Atoll, the overwater court allows players to take part in a match while immersed in the natural calm of the surrounding seascape. Guests staying at the resort are offered one hour of complimentary padel tennis as part of the premium all-inclusive package. The setting provides a secluded and tranquil space for both beginners and experienced players to practise with the sound of the ocean beneath.
“Padel tennis has become one of the fastest-growing sports in the world, and we wanted to bring it to life in the most spectacular way possible,” said Ahmed Siaar, Cluster General Manager of BeKind Hotels & Resorts. “Playing on water, surrounded by endless blues, transforms the game into something transcendent – it’s active luxury at its finest.”
The overwater court forms part of Meyyafushi’s wider range of facilities, which include an underwater dining restaurant, an overwater wine cellar, water pool suites with slides, a mini bowling lane, and an adults-only sky bar featuring a glass-bottom infinity pool. Each facility has been created to offer experiences that encourage connection, exploration and wellbeing.
With uninterrupted sunset views and a distinctive overwater location, Meyyafushi Maldives’ padel tennis court marks a global first for the sport, bringing together physical activity, landscape and design in a single setting.
Featured
Sheraton Maldives Full Moon Resort & Spa unveils ‘White Shores & Golden Lights’ festive season
This festive season, Sheraton Maldives Full Moon Resort & Spa invites guests to rediscover the joy of togetherness in what it calls the world’s gathering place. From 1 December 2025 to 7 January 2026, the resort will transform into a luminous sanctuary under its signature theme, White Shores & Golden Lights – a palette of shimmering whites and sunlit gold inspired by the purity of the season and the golden glow of new beginnings.
The festive spirit officially begins on 1 December with a Tree Lighting Ceremony, setting the tone for a season of warmth, celebration, and community. Following a period of serene island relaxation, the programme resumes in full from 21 December onwards, offering a vibrant calendar of curated experiences that continues until the Orthodox Beach Buffet Dinner on 7 January.
Guests are welcomed into an atmosphere where refined island living meets festive cheer. The line-up includes festive aqua aerobics, barefoot beach games, Gingerbread House Decorating, and the energetic Colour Run & Paint Me Wall Marathon along the shoreline. Younger guests can enjoy themed pyjama parties, while those seeking adventure may explore a variety of water sports and wellbeing rituals.
The highlight of the season is the Christmas Eve Gala Dinner, presented along the oceanfront where waves meet the shore and golden lights illuminate the evening. With live music, seasonal cuisine, and candlelit elegance, the event combines the island’s natural beauty with cherished festive traditions.
On Christmas Day, Santa makes a memorable arrival at Kakuni Beach, delighting guests of all ages. Throughout the festive period, in collaboration with Reefscapers, the resort offers coral frame-building workshops, giving guests the opportunity to support reef restoration efforts and contribute to the preservation of the Maldives’ marine environment.
As the year comes to a close, guests are invited to welcome 2026 beneath the stars. Night Under the Stars, the resort’s New Year’s Eve celebration, features a coastal gala with champagne, gourmet dining, fireworks, and live entertainment that continues well past midnight.
From peaceful mornings at Shine Spa to evenings sampling global flavours accented with Maldivian character, Sheraton Maldives Full Moon Resort & Spa offers an elevated festive experience. Whether travelling as a family, as a couple, or alone, guests will find each day filled with moments to remember and each evening touched with a sense of magic.
“We are thrilled to welcome guests to experience the magic of the festive season with us,” says Greg Allan, General Manager of Sheraton Maldives Full Moon Resort & Spa. “Each moment of our festive programme has been thoughtfully designed to reflect Sheraton’s ethos of heartfelt hospitality – bringing people together through meaningful experiences in one of the world’s most extraordinary destinations.”
Sheraton Maldives Full Moon Resort & Spa is also presenting a Festive Special Offer for this season. Guests may enjoy exclusive savings on beach or overwater accommodation, along with daily breakfast, lunch, and dinner, return speedboat transfers, and access to selected festive events and activities. Bookings made before 30 November 2025 will be eligible for stays between 20 December 2025 and 10 January 2026.
Featured
Villa Nautica’s festive glow: Yoga at sunrise, fireworks at midnight
Villa Nautica will embrace the festive spirit from 20 December 2025 to 6 January 2026, offering guests an easy island rhythm that flows from bright mornings by the water to music-filled evenings on the sand. The season begins with illuminated beaches and relaxed barbecues, gradually building through creative afternoons and live performances. Christmas Eve will feature a gala dinner, followed by Santa’s arrival on 25 December. The celebrations will culminate in a vibrant New Year’s Eve countdown with fireworks, before settling into a calm reset on New Year’s Day and concluding with Orthodox Christmas.
The programme balances practicality with a relaxed, unpretentious atmosphere. Mornings will bring sunrise yoga, family pool activities, and interactive cooking sessions, while evenings will feature poolside soirées, wine-paired dinners, and sunset cruises. With simple yet photogenic settings, the lagoon and sky take centre stage in shaping the mood. Guests—whether couples, friends, or families—can participate freely without losing the island’s easy pace.
For younger visitors, the festivities will centre around the kids’ club, where cookie and cupcake decorating, beach games, origami and craft sessions, storytelling, and cosy movie nights will take place. Small groups and attentive care ensure that creativity and play remain the focus, allowing parents to enjoy uninterrupted moments around the island.
A highlight of the season will be the Champagne Lucky Draw & Disco. From 1 to 31 December, each bottle of champagne purchased at resort bars or restaurants will serve as an entry to the draw. Guests are advised to keep their entry stubs for the live draw, held at 01:00 during the New Year’s celebration, where the prize will be a seven-night stay in a Water Villa for two.
Throughout the festive period, private experiences will feel as memorable as the larger celebrations. Guests may enjoy candlelit dinners on the sand, floating breakfasts, or early morning snorkelling sessions to begin the year anew. Whether seeking a lively shoreline celebration or a quiet evening stroll beneath lanterns and palms, Villa Nautica offers an atmosphere where every festive moment can glow in its own way.
-
News1 week agoKandolhu Maldives introduces revamped Deluxe Ocean Pool Villas
-
Entertainment1 week agoHoliday Inn Kandooma confirms Missy Higgins’ 2026 Maldives residency
-
News1 week agoCentara Mirage Lagoon Maldives celebrates one year of family-focused hospitality
-
Featured1 week ago‘Unlimited Play – Eat. Sip. Repeat.’: New Premium All-Inclusive at The Standard, Maldives
-
News5 days agoCinnamon Hotels & Resorts Maldives launches biggest Black Friday sale with up to 80% off, free transfers
-
News1 week agoRediscover island living through suite experience at Four Seasons Resorts Maldives
-
Awards1 week agoCoco Bodu Hithi wins Best Waterside Hotel at Condé Nast Johansens Awards 2026
-
Featured6 days agoVilla Nautica’s festive glow: Yoga at sunrise, fireworks at midnight


