Lakes, Lodges, and Luxuries: How RevPAG Creates New Opportunities for Seasonal Tourism

By Tim Hansen, VP, Sales Hotels and Resorts at Agilysys
This article was originally published in WHLA's 2025 InnTouch with WHLA magazine.

​The most profitable guest isn't always the one paying the highest room rate. This realization is shifting hospitality strategy from focusing solely on Revenue Per Available Room (RevPAR) to capturing Revenue Per Available Guest (RevPAG) - a broader approach particularly valuable for properties dealing with seasonal fluctuations.

Wisconsin's tourism industry represents a massive economic opportunity, generating a record $25 billion impact in 2023. However, the real potential lies in converting first-time visitors into loyal guests who spend more across all aspects of their experience. This is where RevPAG strategies become crucial.
 
Forward-thinking lodging businesses are discovering innovative approaches to enhance guest experiences and optimize revenue year-round. From picturesque summer lakeside destinations to winter getaways, properties that focus on the total guest value can create deeper relationships with visitors while building resilient revenue streams.
 
RevPAG opens exciting possibilities by revealing opportunities beyond the room itself - in dining, retail, and other amenities that enhance the guest experience while encouraging repeat visits across seasons.

From RevPAR to RevPAG: Expanding Revenue Horizons

This comprehensive approach aligns with what today's travellers seek: immersive, personalized experiences that extend beyond their accommodations. By focusing on each guest's total value and individual preferences, hospitality providers can uncover substantial revenue opportunities.
 
The Agilysys 2024 Global Hospitality Impact Study reveals that 82% of hospitality executives recognize RevPAG's potential to transform revenue strategies. With 72% of executives willing to enhance their technology infrastructure to gain RevPAG advantages, the industry is moving toward this guest-centric approach.

A Distinctive Regional Advantage

​Destinations throughout the Midwest, especially Wisconsin, are perfectly positioned to leverage RevPAG strategies. The region's diverse seasonal offerings - summer water recreation, fall foliage, and winter activities - encourage guests to explore experiences beyond their accommodations.
 
Today's travellers increasingly seek flexible, experience-rich getaways. By adopting RevPAG approaches, lodging businesses can capitalize on this trend in two ways. First, they can enhance current visits: a summer guest might receive personalized pre-arrival offers for kayak rentals, local vineyard tours, or exclusive dining experiences based on their booking history. Second, they can cultivate return visits: that same summer guest could receive tailored invitations highlighting autumn color tours or winter weekend packages that align with their demonstrated preferences. This creates year-round engagement while maximizing revenue from each guest relationship.

​Practical RevPAG Strategies for Seasonal Markets

Transitioning to a RevPAG mindset offers immediate benefits while setting the foundation for long-term growth. Here are starting points for properties in seasonal tourism markets:
 

1. Develop Year-Round Experience Packages
   Create signature offerings that showcase seasonal diversity. A lakeside resort might offer summer water sports packages, fall harvest experiences, winter comfort packages featuring local craft beverages, and spring wildlife viewing opportunities to highlight the unique character of every season.
   ​
   
2. Implement Cross-Selling Staff Training
   Empower all guest-facing staff to become experience ambassadors. When front desk agents and housekeeping staff understand all available offerings, they can make personalized recommendations that enhance guest stays while driving additional revenue.
   
   
3. Create Flexible Activity Options
   Design offerings that provide guests with choices. Activity credits that can be applied to various experiences allow guests to customize their stay while ensuring they engage with revenue-generating amenities.
   
   
4. Start Simple with Guest Preference Tracking
   Begin collecting information about guest preferences and spending patterns. Simple systems tracking which amenities are most popular with different guest segments can inform future offerings and personalization efforts.
   
   
5. Forge Local Partnerships
   Collaborate with area attractions, restaurants, and activity providers to create exclusive experiences for your guests. These partnerships extend revenue opportunities beyond property boundaries while providing guests with unforgettable local experiences they'll return for.

PMS as the RevPAG Enabler

​At the heart of successful RevPAG implementation lies a property management system (PMS) that maintains a unified guest profile. This serves as the central nervous system for tracking guest activities and spending across every property touchpoint.
 
For Wisconsin's seasonal properties, this foundation is particularly valuable. With a complete view of each guest's preferences, properties can target pre-arrival offers while recognizing returning guests to deliver personalized experiences. This comprehensive approach also enables properties to identify which off-season amenities attract specific guest segments, helping balance year-round revenue streams.
 
The PMS serves as the backbone of the hotel. Staff move beyond standard hospitality to deliver memorable moments that resonate with guests, driving satisfaction and loyalty while maintaining operational excellence across seasonal transitions.
 
As the RevPAG approach gains momentum, these unified guest profiles become increasingly valuable assets, enabling predictive capabilities that maximize each guest relationship's total value throughout Wisconsin's diverse seasonal landscape.

​The "Crawl, Walk, Run" Approach to Implementation

The Agilysys study recommends a phased approach that allows hospitality businesses to build RevPAG capabilities at their own pace:
 

1. Crawl:
   Begin by assessing your current offerings and identifying opportunities to enhance guest experience. Start tracking total guest spend to uncover your most profitable guest segments and experiences.
   ​
   
2. Walk:
   Implement foundational systems that connect guest data across departments. Use this information to develop personalized service and targeted recommendations.
   
   
3. Run:
   Build toward sophisticated capabilities that maximize each guest's total value through predictive analytics and automated personalization.

 
When considering technology investments to support RevPAG strategies, focus on solutions that deliver clear value. The Agilysys study found that 56% of hospitality executives feel they lack the technological infrastructure to fully implement RevPAG approaches - presenting an opportunity for forward-thinking operations to gain competitive advantage.
 
For smaller independent properties, cloud-based solutions with subscription pricing models can provide cost-effective entry points, aligning technology expenses with revenue patterns while delivering immediate benefits.

Creating Year-Round Appeal

​By embracing RevPAG strategies, seasonal destinations can transform variability into year-round opportunity. Focusing on total guest value rather than just room revenue opens new possibilities for creating memorable experiences that keep guests returning throughout the year.
 
As guest preferences evolve toward experience-driven travel, RevPAG provides a framework for meeting these expectations while building sustainable business models. The future of hospitality lies in creating comprehensive guest experiences that maximize value for visitors and properties alike.

Read More Articles from InnTouch with WHLA

This article was originally featured in the 2025 InnTouch with WHLA magazine.

Share on LinkedIn