TRUs – Territorial Revenue Units: the Franco Grasso Revenue Management techniques applied to an entire territory
When multiple accommodation facilities in a certain area choose Revenue Management (whether independently or with a consultancy), revenue increases for everybody and the benefits are felt across the entire territory.
Even today, the Territorial Revenue Unit theory can still seem too good to be true but when it was first proposed in 2006, people thought it was impossible. Now, with years of experience behind us, we can confirm with certainty that not only is it possible, but it’s already happening.
Over the years, we have seen the positive results of this theory both for the individual properties that compose the TRUs – Territorial Revenue Units and the entire territory, which sees increased profits thanks to a growth in online visibility.
It is the individual participants who make this collaboration possible. The unit can then develop into even larger formations such as a company network. It is a powerful force that attracts more and more businesses because everybody can see the advantages for themselves and the whole territory.
Our role as Revenue Team is to help the interested properties and create TRUs. We don’t ask for any investment because we believe in this idea and we want to see progressively more TRUs.
The first UTR was formed in Grado in 2015 after the first edition of the “Grand Tour”: a camper-van tour from North to South Italy where we met hoteliers and institutions to explain Revenue Management and our application methods.
The Grado TRU – Territorial Revenue Unit is still active today and the businesses that originally chose to join are still involved. Originally, all participants chose to use our consulting services but today many manage their Revenue Management activities independently.
This is a success for us because the TRU is, first and foremost, an opportunity for the properties and the territory and this means that the businesses have grown, internalised our lessons and become independent.
I already have a Revenue Manager, can I still join?
I already work with a consultancy firm, can I still join?
I have no experience in Revenue Management, can I still join?
I don’t know how many other businesses would be interested, can I still contact you?
If we launch a TRU – Territorial Revenue Unit together, do I have to buy services and software from you?