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Hospitality professor explores hotel price points

Dr. Yoshimasa (Nancy) Kageyama presented the study findings in Hong Kong.

September 14, 2019 by Tori York

Dr. Yoshimasa (Nancy) Kageyama attended the Asia Pacific CHRIE (APacCHRIE) and Europe CHRIE (EuroCHIRE) Joint Conference May 23 in Hong Kong.

The conference was hosted by the School of Hotel and Tourism Management at Hong Kong Polytechnic University. More than 740 people attended from more than 40 countries.

About the conference

Kageyama, assistant professor of hospitality leadership, presented her paper entitled, “Pricing strategies in Taiwan: A case.” She coauthored this paper with Dr. Albert Barreda, associate professor of hospitality leadership at Missouri State, and Dr. Jenna Lee, assistant professor of hospitality leadership at East Carolina University.

They studied the revenue per available room (RevPAR) formula in relation to Taiwan hotels over a five-year period. This is when a hotel sets their prices higher or lower than their competition.

The results of the study showed that charging a premium price improved their RevPAR score. Hotels that reduced their prices relative to the formula had a consistent loss.

Finding the right price to charge for a hotel room is tricky. That’s why this study is so impactful.

“The impact of pricing strategies is more profound for hotel companies in the lodging sector due to the unpredictable and changing dynamics of hotel business models,” Kageyama said. “This study provides hotel managers the best strategy to set their prices for profit.”

In addition to presenting, Kageyama enjoyed meeting other researchers.

“Receiving constructive feedback on my research in the presentation is also helpful to advance my research paper,” Kageyama said. “The intellectual exchange is intriguing and inspiring.”

Filed Under: Faculty Accomplishments Tagged With: Albert Barreda, conference, Hospitality Leadership, research, Yoshimasa Nancy Kageyama

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