The Effect of Brand Class on Perceived Fairness of Revenue Management

Abstract

The purpose of this survey-based research was to determine whether brand class influences the perceived fairness of hotel revenue management (RM) pricing strategies. We found that brand class does not impact perceptions of fairness of RM pricing practice strategies when controlling for familiarity and the provision of information. The implication is that managers should not base RM pricing practice decisions on brand class, but rather should focus on raising customer familiarity of their pricing strategies.