By Robert FarmerI was speaking to a Bay Area hotelier recently who was decrying his abundance of inventory. That is to say, he's got a bunch of empty rooms that, when they sit empty, cost him money--sometimes lots of money. What, I asked, is he doing about it? More to the point, what can he do about it? You'd think the obvious answer would be to reduce the room rates into an "offer you can't refuse" category. But, for several reasons that we won't get into here, that's not the obvious answer. So the question became, What is he willing to concede in exchange for putting people in his rooms.
Continue reading The Go-Ahead-and-Ask Economy, Continued.

