Improving profitability: A conceptual model of destination‐centric revenue management

This article presents a new revenue management (RM) concept targeted at businesses struggling to maintain profitability. Destination‐centric RM expands the earlier concept of customer‐centric RM (Venkat, 2007; Vinod, 2008) and proposes co‐operation between businesses to maximize profitability. The concept adopts a destination as the focal point of RM, elevating the management of total customer revenue (Cross et al 2009; Milla and Shoemaker, 2008) to a more aggregate level. Practical application of the concept is demonstrated through existing practices in a ski resort. The model offers insight into practices with the potential to become the next step in the continuous evolution of the discipline.