Yield management is a business process that looks to increase a company’s revenue through several different means. Many companies — especially the ones that are large or publicly held — may have specific jobs or positions that focus on this one issue. Common types of yield management positions include executives, pricing or revenue officers, and consultants. In some cases, the tasks for these jobs may overlap depending on the company and the nature of the company’s business activities. These yield management jobs typically look at setting prices and determining how a company can earn more revenue through selling goods and services.
Large companies and those publicly held usually have several executives that oversee large departments. A chief revenue officer, vice president of operations, and revenue strategy officer may be the most common yield management jobs. As executive officers, these individuals have large responsibilities to review and set pricing strategies for a company’s goods or services. In some cases, these individuals create plans to earn more revenue from different strategies, such as having closeout sales or using sliding scales in order to price products. This position is often the liaison between other executives and lower-level managers.
A pricing or revenue officer is an individual who works within a single department and sets pricing strategies. The individuals in these yield management jobs often report to an executive officer, such as the director of operations. The pricing or revenue officer may have some ability to change or alter pricing strategies within his or her division but only with the approval of the company. These individuals may also be able to work with outside vendors in order to lower production costs, so higher profit results from current revenue levels. Monthly analysis and reports help the pricing or revenue officer determine the success of certain strategies.
Consultants in yield management jobs work independently from companies in most cases. These individuals make suggestions and offer solutions to a company’s revenue needs. Consultants are important as they may have more data or information on how a company should act or react to certain market conditions. Smaller companies or those with excessive growth in new industries may seek a consultant for yield management purposes. In some cases, the consultant may work in an ongoing relationship with a company as there is a need for several different tasks that require outside knowledge for yield management jobs.