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How Mid-Scale and Limited-Service Hotels Use Open Pricing

Mid-scale and limited-service hotels find Open Pricing advantageous as it enhances efficiency and aligns seamlessly with the operational and resource limitations inherent in such establishments.

These hotels typically favor user-friendly revenue management systems (RMS) that are straightforward and easy to navigate. Unlike larger, full-service hotels, these hotels don't need the intricacies of complex systems. Consequently, the accessibility of Duetto’s solutions empowers these properties to efficiently implement revenue management strategies, optimizing their income without requiring extensive expertise in the field.

Situated at the lower end of the hotel pricing spectrum, mid-scale and limited-service properties must, therefore, seek competitive advantages even in minor rate adjustments. Open Pricing provides them with the agility to swiftly respond to market changes, adapt pricing based on local events or trends, and stay competitive in their respective markets, free from the constraints of rigid pricing structures.

Let’s look at how two Duetto clients use Open Pricing to get ahead:

Lub d 

Owner/operator Narai Hospitality Group started onboarding its Lub d collection of lifestyle properties onto the Duetto platform in 2021. Lub d currently has six properties in Thailand, Cambodia, and the Philippines rate optimizing on Duetto, with two new properties coming online in 2024.

What makes Lub d unique from a revenue management perspective is that most of the inventory is beds in dorms, which are sold on a per-bed, per-night basis. The beds prove very popular with travelers from the UK and Europe.

Lub d also offers private rooms, which sleep two, similar to a standard hotel room.

Before Duetto, the Lub d revenue team was managing revenue manually. They would look at pick up by day and try to estimate demand. However, they knew they were missing opportunities.

Now, the team is using Open Pricing, and seeing substantial revenue increases.

“For Lub d Samui the normal price for a bed is B700 (Thai Bhat) during the high season. This year we managed to triple the price up to B2,000, which is the cost of a normal room in the normal season,” said Sukanda Sumondis (Bomb), Group Director of Revenue, Narai Hospitality Group.

“We could not believe it when we saw the pricing recommendation from Duetto. We thought people would complain about paying that price for a bed. But with the demand we have, the beds easily sold,” she said.

  • Check out our case study with Lub d here


Rove Hotels

Rove Hotels in Dubai has got more confidence in pricing for stay dates further out, since adopting Duetto earlier this year.

Rove Hotels, a joint venture between Emaar Properties PJSC and Meraas Holding, entered the Dubai hospitality scene in 2016 with the opening of its flagship property Rove Downtown, offering views of the Burj Khalifa and just walking distance to the Dubai Mall.

A contemporary, midscale brand, Rove Hotels delivers a modern, efficient service that is also deeply rooted in its community. Technology plays an important role, both front and back of house.

Today, its portfolio of over 3,400 keys is spread across many of the UAE’s tourism and business hotspots. This includes Rove Expo 2020, the only on-site hotel at Expo City Dubai.

Ambitious expansion plans will see the Rove brand opening in locations across the UAE and the wider Middle East region.

By the end of 2022, Rove joined Duetto and within three months, the entire Rove Hotels portfolio adopted Duetto as its revenue management system. 

Adopting Duetto’s Open Pricing methodology has helped Priyanka Roy, Director of Revenue Management, Rove Hotels and her team embrace automation and increased the team’s confidence in pricing for longer lead times.

“It has allowed us to concentrate on strategy while letting the system do the heavy lifting in terms of rate changes and optimization. It also reduces risks associated with very long-lead bookings, as Duetto will look at past trends and set rate strategies for future stay dates,” Roy explained.

Now that the Rove Hotels team is familiar with Open Pricing, and is confident setting parameters and using AutoPilot, ADRs are starting to increase in a longer lead time.

“We now have a much more dynamic rate strategy, which helps us to maximize our yielding opportunities. Additionally, we see better ADRs, as it has allowed us to reduce blind spots for bookings taking place several months in advance.”

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Sarah McCay Tams, Director of Marketing Communications

Sarah joined Duetto in 2015 as a contributing editor covering Europe, Middle East & Africa (EMEA). In 2017, she was promoted to Director of Content, EMEA, and in 2022 promoted to Director of Marketing Communications. An experienced B2B travel industry journalist, Sarah spent 14 years working in the Middle East, most notably as senior editor – hospitality for ITP Publishing Group in Dubai, where she headed up the editorial teams on Hotelier Middle East, Caterer Middle East and Arabian Travel News. Sarah is now based back in the UK.

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