Social Media and Revenue Management; Where Should the Two Meet?

Abstract

The objective of this study is to explore how social media strategies can be integrated with the function of revenue management. A survey was used to evaluate the extent to which some travel firms use/perceive social media. This study explores possible synergy between the time spent developing social media channels and the opportunities these might generate for travel firms active in the application of revenue management tactics. This has lead to the recommendation of new practices that could potentially enhance future revenue and profit. The present study identifies that travel firms can build opportunities to capture additional revenues by focusing on building engaging and useful content for customers. The travel industry is just beginning to embrace the need to combine public relations (PR) activities with new marketing approaches that must engage, rather that use interruption and coercion to generate sales. As engagement of the public with social media grows, it is evident that this will have implications for revenue management approaches, in the same way that approaches to PR and marketing have needed to evolve with the growth in online interaction between consumers. A shift in strategic outlook may enhance the ability of travel companies to sell valued products, improve customer relationships and increase their bottom-line; hence it becomes even more important for such organizations to ensure they have a solid social media strategy.

  • Page Number : 33-46

  • Keywords
    social media, revenue, firms, Social Media and Revenue Management

  • DOI Number
    https://doi.org/10.15415/jtmge.2012.31002

  • Authors

    • Kate VariniOxford Brookes University, UK
    • Pavan SirsiIndependent consultant

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  • Published Date : --