“We could not be happier with Nor1 eStandby. Our front desk agents look forward to managing the requests each day. The program is very simple and they get very excited about seeing
the additional revenue they bring into the hotel with each upgrade they are able to award. It’s also fun to see the reaction from our guests at check in when we congratulate them on their upgrade.”
Jodie Grannes
Assistant General Manager
Country Inns and Suites, Mall of America
PRiME™ is Nor1’s proprietary pricing and merchandising platform. This patent-pending decision intelligence engine is a technology first for the hospitality industry; designed to increase the value of a hotel’s unused inventory while maintaining price integrity.
The data-driven PRiME engine is the innovative backbone to our suite of solutions. PRiME accurately identifies the right product selection, upsell pricing, and display ranking decisions for each individual guest based on sophisticated algorithms trained on millions of historical transactions. When used with eStandby® Upgrade and Front Desk Upsell, PRiME customizes upsell offers for each hotel reservation. With eReach®, our communication suite of services, PRiME enables hotels to engage their customers like never before via Mobile and eMail with relevant, targeted connections.
Hotels using eStandby Upgrade on PRiME can increase RevPAR by maximizing ADR without affecting occupancy. The uncertainty of being awarded a non-guaranteed eStandby Upgrade prevents guests from associating the price of an eStandby Upgrade with the market value of a guaranteed room reservation, which enables PRiME to adjust eStandby Upgrade pricing up or down as needed without comprimising the integrity of guaranteed room rates.
In a nutshell, Nor1’s decision intelligence engine powered by unprecedented analytics uniquely enables our customers to maximize incremental revenue by making optimal upgrade pricing and merchandising decisions based on a scientific understanding of guest behavior. No other company is demonstrating pricing and merchandising technologies in such a data-driven, buyer-centric way.
Nor1 is revolutionizing hospitality by enabling the industry to better predict what their customers want and being able to give it to them.
PRiME® powers Nor1’s solutions with real-time intelligence. Our industry-leading pricing and merchandising platform is engineered to maximize revenue. eStandby Upgrade® uses PRiME to make guest-centric upsell offers customized for each individual reservation at a hotel.
It starts with data – lots of it. We take note of what guests buy as well as what they choose not to buy, because negative responses are just as informative as positive ones. The data points that matter are typically a combination of booking-specific variables, guest-specific information, and information that’s specific to the property. Each of the variables have a certain weighting, and the weighting itself changes for each reservation based on the unique intersection of the booking, guest, and property – there is no one size fits all!
PRiME enables hoteliers to better predict how offers for similar bookings by similar guests at similar properties performed in the past, which enables us to determine, in real-time, which offer to make when a new booking comes through the system. Essentially, we can infer the likely product preferences and price sensitivities of the guest even if we have no historical data for the specific property or guest. The result is that PRiME produces excellent results right from the start.
PRiME can optimize offer sets to help channel demand to under-utilized inventory, while ensuring its in-line with consumer preferences. And that’s another key element of the intelligence in PRiME – choosing prices and setting prices that interact with each other to achieve the optimal outcome.
We use equations to make decisions that balance the trade-offs that matter. The trade-offs are balanced formally using mathematical optimization, but the concept is simple. For example, one important trade-off has to do with long-term revenue versus short-term gain. We use a specific and proprietary system of equations, called the Loyalty Lattice™, to ensure that eStandby Upgrade increases revenue and guest satisfaction in the long-term as well as the short-term.
The Loyalty Lattice is a mathematical construct that describes the cumulative experience of any given guest’s interaction with a Nor1 Solution. Every guest we’ve ever touched has a specific position on the Loyalty Lattice, and with each contact that position changes every time. PRiME uses the guest’s position on the Loyalty Lattice to estimate the likelihood of different behaviors at future touch-points with the guest. It helps PRiME decide what offer to make in order to induce the desired future behavior.
Once there is evidence that a particular type of guest or a particular property is significantly different from existing models used to initialize a property, PRiME automatically produces a new model to target the specific property or guest type. Then, as even more data are accumulated, PRiME will automatically produce even finer-tuned versions of the guest type or property-specific models.
Year-over-year for the month of December 2011, Hotels running eStandby Upgrade powered by PRiME boosted revenue per exposed guest by 50 percent!
PRiME is built with the most advanced mathematics and technology in Silicon Valley.
At Nor1, we’ve spent more than five years developing unprecedented analytics for hospitality. From targeted mobile messages guests receive after their planes arrive at their destinations to intra-stay offers made to guests after check-in, PRiME is the ultimate intelligent pricing and merchandising platform powering a suite of solutions designed to take full advantage of every revenue possibility while all the while building end-user loyalty.
Thousands of hotels currently use Nor1’s industry-leading eStandby Upgrade® solution will now operate on the PRiME platform. The combination of eStandby and PRiME enables our hotel partners to more accurately predict a customer’s willingness to pay for specific products and services while increasing overall customer satisfaction.
Nor1 is helping our customers to understand that with true decision intelligence gleaned from our PRiME engine, merchandising isn’t simply about seasonality and occupancy rates. It’s about knowing their customers better, anticipating their buying decisions and preemptively offering a price at which PRiME intelligence tells us they’re likely to purchase.
Many consulting companies advise other businesses on their product merchandising. But Nor1 is among the very few that actually builds the technology and provides the services to maximize revenue with optimal pricing and merchandising.
It’s business intelligence that’s actually smart.
