New KPI Tool Predicts Revenue and Alerts Team To Unusual ActivityAutomated KPI tool accurately predicts market trends, and alerts team of unusual market activity.
An online app for travelers seeking last-minute hotel bookings, Hotel Tonight partners with hotel properties to book rooms that are at risk of sitting empty. As a result, travelers can easily score a great value at top rated hotels throughout the Americas, Europe and Australia.
While making last minute travel easy and convenient for travelers, Hotel Tonight’s dynamic business model relies on a sophisticated algorithm that manages inventory data from hotels around the globe. Keeping a pulse on this much dynamic data is anything but easy.
Hotel Tonight reached out to Mammoth Growth to help their data science team build an automated tool that would actively manage KPIs in each market they operated in. The strategy behind the KPI tool is twofold. First the model makes predictions around key indicators like revenue, number of bookings and new versus returning customers. Second, the model compares actual results to the initial prediction and alerts the team to any unusual outcomes.
“Mammoth Growth built us a KPI tool that runs on autopilot, alerting our team only when something out of the ordinary occurs,” explains Jonathan Geggatt, Head of Data. “The model’s high rate of accuracy helps us allocate our attention appropriately across all of our many business markets.”
At the onset of the project Mammoth Growth was given a large historical data set to use as the basis for their predictive model, and were unsupervised or largely blind as to any anomalies contained within. After testing a variety of statistical models, Mammoth Growth delivered a model that identified two major anomalies, which Hotel Tonight recognized as a snowstorm and a spike in fraudulent hotel booking activity. Accurately identifying these two anomalies in the data set worked to prove the high rate of accuracy of the model’s predictions.
With the support of this new automated KPI tool, Hotel Tonight will continue to insure efficiency while growing their operations around the globe.