Event spaces are a big money-maker for hotels. However, they often don’t get the focus they deserve – especially compared to room revenue. As we navigate through 2025, every space becomes more valuable than ever. These spaces offer immense potential for revenue generation and guest satisfaction. But how exactly do hotels cash in on their event spaces? Well, with the right tools and smart strategies in place, event spaces can boost a hotel’s profits. This can be especially true during slow seasons and low occupancy periods. Venue layout design can help with attracting long-term business.
Optimizing Event And Meeting Spaces
Business meetings are changing, with more companies embracing remote work and downsizing their offices. This shift creates a perfect chance for hotels to make more money from their event spaces. For example, with the increasing popularity of smaller day meetings, hoteliers have a golden opportunity to boost revenue in their event spaces. But how can they make the most of these meetings? Are there ways to modify larger event spaces to cater to the rising demand for smaller, more intimate gatherings? Hoteliers can get creative in how they market and showcase their event spaces. Using spatial design technology can simplify the sales process and unlock the full potential of their event spaces to increase profitability.
When optimizing an event space for profitability, you will want to focus on flexibility. Create spaces that can easily transform to host different types of events. These can include business meetings, expos, performances, weddings, receptions, etc. Movable walls, modular furniture, and adaptable lighting can help achieve this. The more versatile your space, the more bookings you can accommodate. However, iterating on the different options available may be something of a hassle. This is where modern spatial design technology truly shines.
Using solutions like floor planning software, event design software, or virtual tour software can make the management, planning, design, and promotion of event spaces easier for hoteliers. These tools not only streamline space optimization but also help in venue marketing efforts. Optimization goes beyond just filling in space; it involves strategic approaches like dividing larger rooms into smaller sections to accommodate more attendees simultaneously. Additionally, knowing how guests spend on food and drinks helps predict and boost profits. Real-time collaboration features facilitate seamless communication and coordination among team members. It ensures plans are executed well and adjusted quickly, saving time and money.
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‍“Including Prismm (formerly Allseated) as part of our selling process has given us the opportunity to show current and prospective clients our spaces in various setups, giving them the ability to envision their event with us before it takes place, without having them come onsite. This sets us apart from our competitors.”
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‍Isabel Sibürge, Director of Convention Sales Germany, Scandic
Elevating Event Space with Spatial Design Technology
Two major trends are reshaping how hotels sell and plan events: virtual collaboration and personalization At the heart of both is the rise of spatial design technology — a powerful tool that's transforming the way venues engage with clients and streamline operations.
With spatial design software, hotels can now build dynamic digital twins of their event spaces. These 3D models bring layouts to life, allowing clients to virtually walk through a space and see how their event will look — all before a single chair is placed. This level of visualization not only impresses potential clients, but also builds trust, shortens the sales cycle, and boosts booking confidence.
Better still, it’s collaborative. Teams can work together in a shared digital workspace, making real-time updates and decisions no matter where they are. Personalizing layouts becomes fast and intuitive, with tools that auto-populate design elements and help reduce errors. The result? Fewer back-and-forths, faster approvals, and smoother event execution.
For venues focused on delivering high-touch, customized experiences, this technology is a game changer. It turns imagination into action — and helps hoteliers unlock the full potential of their event spaces to deliver memorable, meaningful events.
Embracing Accurate KPIs
Measuring the true profitability of your meeting and event spaces involves more than just one or two basic metrics. You’ll want to consider a range of factors:
How many people are attending?
- What are your catering costs?
- What type and size of space is being used?
- Are there additional expenses like electricity or air conditioning?
- Are you incorporating sustainable event practices?
While traditional metrics like revenue per square foot are useful, they don’t always give the full picture. A more telling metric is “delegate density”—comparing the number of attendees to the room’s full capacity. For instance, if a meeting room built for 50 people is only hosting 15, that may be fine in off-peak seasons. But by adding just 3 more attendees at a per-person rate, you could potentially increase revenue by up to 20%. Small adjustments can make a big impact.
So how can hotels accurately track and act on this data?
That’s where automation comes in. Automated systems make it easier to monitor key performance indicators (KPIs) in real time. You can instantly see how often spaces are booked, how full they are, and how much revenue they generate. These tools also help streamline reporting and provide deeper insights—like room utilization rates, average spend per attendee, and booking trends over time.
When integrated with your revenue management system, this data helps drive smarter pricing, better inventory control, and faster decision-making.
And don’t overlook the power of immersive sales software. Designing and showcasing your space virtually not only helps sell the vision—it also provides valuable analytics. You can track how prospects interact with the space, document chat threads, and feed it all into your CRM. This insight helps your team qualify leads, focus on high-value opportunities, and clearly demonstrate the return on investment from your event space technology.
Mastering the Game Plan
Having a solid strategy is essential — but without someone leading the charge, even the best-laid plans can fall flat. One of the key reasons meeting spaces are often undervalued or underutilized is because no one is truly owning the responsibility of optimizing them.
There are many challenges at play: space design, personalization, vendor coordination, last-minute changes, catering logistics, accessibility issues, or simply a lack of clear event visualization. But one of the biggest gaps? The absence of a senior-level figure dedicated to making meeting spaces work harder for the business.
To get the most out of your event spaces, it’s important to appoint someone to own this function. Their role should go beyond logistics—they should be empowered to implement the right tools, lead training, and develop a smarter approach to space utilization.
While revenue management tools are now commonplace for guestrooms, there’s still a major gap when it comes to tools that manage meeting and event space revenue. Many tech platforms in the event space are designed for planners and focused on boosting registrations. But hoteliers need something more: a solution that supports the full lifecycle of meeting space management—from pricing and layout to sales and execution.
What’s needed is a user-friendly, automated tool that not only helps price the space accurately but also streamlines processes, supports decision-making, and maximizes usage. With the right technology and the right leadership, hotels can finally close the gap and unlock the full potential of their event spaces.
Looking Ahead
It’s clear: hotel event spaces hold tremendous, often underutilized, revenue potential. As the industry continues to evolve, it's time for hoteliers to rethink the value of their meeting and event spaces—not as secondary assets, but as strategic revenue drivers.
Moving beyond traditional room revenue, forward-thinking hotels are turning to advanced technologies like event diagramming software, interactive floor plan tools, and virtual tour platforms. These innovations provide deeper insight into how spaces are used and dramatically improve the booking experience for clients. By embracing proactive strategies and next-generation tools, hotels can unlock new opportunities, optimize operations, and stand out in an increasingly competitive hospitality landscape.
At the forefront of this transformation is Prismm—a global leader in spatial design technology. Prismm is redefining how hotels connect, collaborate, and sell within immersive virtual environments. Our platform creates true-to-life digital twins of physical spaces, empowering hotels to showcase their event venues with unmatched precision and creativity.
With Prismm, teams can design and customize layouts down to the last detail, offering clients tailored, real-time visuals that reflect their exact vision—no matter where they are in the world. Whether you're looking to streamline the sales process, enhance collaboration, or deliver more personalized event experiences, Prismm gives you the tools to bring any space—and any idea—to life.
To experience the transformative capabilities of the Prismm platform firsthand and ensure your hotel and event spaces remain at the forefront of spatial design innovation, schedule a personalized demo with us today.
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