Rationalizing the Dynamic Hotel Room Pricing in ASEAN Region Using Panel Regression Analysis: Foundation for Revenue Management

Abstract— This study investigates the determinants of hotel room pricing in ASEAN member states using a dataset of 18,215 observations. The research extends the traditional hedonic pricing model by retaining only statistically significant predictors, thereby improving both explanatory accuracy and practical application. The findings highlight five critical determinants of hotel room pricing: hotel class, occupancy rate, room revenue, resort-town or beachfront location, and independence from major chains. Revenue per Available Room (RevPAR) demonstrates the strongest positive association, while independent hotels consistently price lower than chain-affiliated properties, underscoring the influence of brand strength. External geographic factors further enhance pricing power, confirming prior evidence on location-based premiums. In contrast, variables such as hotel size, franchise ownership, and generalized location categories were found to be statistically insignificant, streamlining the model and improving interpretability. Beyond methodological refinement, this research signals a shift in pricing strategy attitudes within the ASEAN hospitality sector. By aligning econometric rigor with industry relevance, the study advances both theory and practice. It demonstrates how robust statistical models can guide managerial decision-making, inform policy, and enrich classroom instruction. As a first step in the integration of econometric approaches into regional hospitality pricing, the framework provides a foundation for more precise, evidence-based strategies across both academic and professional domains.