The room’s segment, the guest’s ability to pay for the room, the market conditions, the competitor’s action, the operational cost, and of course, the margin or the profit margins impact on fixing the room pricing. To reach that, a pricing strategy is a way of finding a competitive price for a room on your property. This strategy is combined with the other marketing pricing strategies: price, place and promotion, economic patterns, competition, market demand, and, finally, room characteristics. This strategy comprises one of the most significant ingredients of the mix of marketing as it is focused on generating and increasing the revenue for your property, which ultimately becomes a profit-making for the Hotel. Understanding the market conditions and the unmet desires of the guest, along with the price the guest is willing to pay to fulfill his unmet desires, is the ultimate way of gaining success in the pricing strategy of a guest room.