2 - Revenue... · 2017-02-27

Revenue management 101 for small accommodation providers / 1

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Revenue Management 101for small accommodation providers

http://www.littlehotelier.com/


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04 Chapter 1

12 Chapter 2

26 Chapter 3

33 Glossary of Terms

Managing your inventory

05 / What is inventory management?

07 / Managing your inventory accross channels

09 / Using a reservations system to manage reservations

Yield management

13 / What is yield management?

14 / What strategies can you use?

23 / How can you manage your channel bookings?

Measuring success

27 / Setting smart goals

29 / Reports

Table Of Contents



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Introduction The joys of being an accommodation provider come from delighting your guests. However, it can

be difficult to strike the delicate balance of providing excellent value and service while making

sure your small hotel runs efficiently and profitably.

In this ebook we will cover the essentials of revenue management for any small accommodation

provider; inventory management, yield management, and the information you need to measure

success.

Happy reading!



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Chapter 1 :

Managing Your Inventory



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What is inventory management?

Inventory can refer to many things, but in this case we are going to discuss it in relation to your rooms. Your rooms are your biggest revenue-generating asset, so the way you manage them is key to maximising your revenue.

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Inventory management refers to all of your efforts to control how your rooms are sold in

order to boost your bottom line. Managing it well means that:

› You can sell the right room, to the right guest, at the

right time, at the most profitable price.

› From an operational standpoint, you should be able to upload,

manage, and distribute your inventory easily and quickly.

The purpose of this is to make sure you have a continuous stream of bookings that you

are able to service well, at a minimum cost, and at a maximum profit.



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Managing your inventory across channelsIn order to grow, small accommodation providers need to sell their rooms through more distribution

channels, such as Online Travel Agents (OTAs) and hotel aggregators. The tricky part is making sure you

avoid double booking your rooms while still maximising your revenue.

If you can’t effectively update your inventory across channels, it will cost you money and loyalty in the long run.

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Key challenges come from: › Allocating rooms even though not all are filled. For example, you allocate

10 rooms to a channel but only 8 get booked, so you miss out on the 2

rooms that could have been booked either directly with you or through

another channel that has booked all the rooms you allocated to them.

› Having two guests make reservations for the same room, either because you

expect one of them to cancel, or because your room availability simply isn’t updated

across channels. You end up with unhappy customers and distribution partners.

So the system you use to manage your inventory - whether it’s manual or automatic -

directly impacts your bottom line.



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Using a reservation system to manage inventoryWith the system you’re currently using, ask yourself:

› What would happen if a channel sold my rooms, and I forgot to update inventory?

› How long does is it take me to update inventory across channels?

› Can I see an overview of inventory and rates distributed over all channels?

› Can I see how many rooms I have left?

› Can I see whether I’m visible on channels for sales?

› How far out can I manage inventory?

› How easy is it for me to load new inventory and rates?

Relying on a spreadsheets to manage your inventory can take up too much time, simply because of the

volume of changes that need to be made. It just doesn’t scale.

For example - if you need to update your rates for a particular season that spans 20 days, across 7

channels, and 3 room types per channel, that amounts to 420 changes. That is a lot of changes to confirm

when you’re already short for time!



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This is why many small accommodation providers

turn to software to fix this problem.

In looking for the right online reservation system, ask yourself:

› How many distribution channels can it connect you to?

› Does it allow for live rate and availability updates?

› Can you manage all your booking sites from one place?

› Can you upload your inventory 365 days in advance?

› Can you easily see an overview of how your channels are tracking?

› Is it affordable in the long run?

› Does it lock you into a contract?

If you don’t have a system that distributes your rooms in an organised way, you run the

risk of double booking your rooms - resulting in unhappy customers, lost revenue, and

even more wasted time trying to rectify the situation



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A modern online reservation system like Little Hotelier should allow you to manage your live inventory in such a way that you can simultaneously update

your rates across all your channels. Also, when a room is booked, it is automatically reflected on all of the OTAs that you’re connected to. That way, you fill

the most rooms possible without worrying about double booking your rooms and dealing with unhappy customers.



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Chapter 2 :

Yeild Management



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What is yield management?Yield management or revenue management refers to all the pricing tactics you use to

sell your resources to the right guests at the right time.

It’s based on the economic theory of supply and demand - you alter your rates so that

you can get more incremental revenue, because different guests are willing to pay a

different price for using the same amount of resources.

Without it, you miss out on the opportunity to get more bookings, offer competitive

rates and promotions, get more revenue per booking, and forecast the upcoming

booking season.



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What strategies can you use?

#1. Use different ratesYou should never have just one fixed set of rates. Here are the rates you should have in place...



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1. Rack ratesThese are your normal room rates, based on the category

of the room, type of bedding, and occupancy. Guests are

usually quoted and charged rack rates.

It’s important to note that you may need to set a minimum

length of stay per booking to recover your fixed costs. For

example, a minimum of 4 nights at $70 gets you $280, and

you know it costs you $180 to service the booking with a

$30 cost for each extra guest.

2. Group and tour ratesFor companies who block a large number of rooms, you

should offer them discounted room rates. This is usually

when meetings, seminars, or conferences are scheduled at

your property’s function room or nearby.

You can also offer this rate to tour operators, as long as

they commit to book you a minimum amount of rooms over

a given period of time.



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3. Special and promotional ratesAs a marketing strategy, you should offer promotional

rates to people who regularly stay with you. This includes

corporate travelers, traveling sales reps, military personnel,

airline staff, and other regular clients.

If you’re looking for a way to bump up your revenue in low

season, you can also run marketing campaigns promoting

these rates.

4. Package ratesPackaging your services along with a banquet or special

event works very well. The total package often includes

different elements. For example, if it’s for a sporting event

nearby, the package will include accommodations, tickets

to the event, and transport to and from the venue. Consider

having wedding, honeymoon, Christmas and new year’s

eve packages. You will need to establish partnerships with

other companies.



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#2. Change your pricing based on timingYour regular rates should also change depending on what time of year it is.



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1. Seasonal pricingAll rates should fluctuate according to what season it is. Most of you will already have a high and low

season, but you may need 3 or 4. Have another look at your reports for the past few years and see if you

can notice any trends.

2. Day of week pricingSome days are just more in demand than others. Make your busier days more expensive, while making

quieter days cheaper. Deal-seeking guests who would prefer to book on the busy days will come during

the quieter days instead, simply for the fact that it will save them some money. This makes room for others

who can’t make it on your quieter days.

3. Time of day pricingChanging how you price your facilities can be an effective way of making the most money during your

busy periods. For example, if you offer bicycle hire at your property, you can charge $15 per hour from

7am-10am, and increase it to $40 per hour from 10am-2pm.



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4. Peak pricingWhen you’re subject to extraordinary operating costs, it

makes sense to increase your prices. On days like public

holidays, guests expect to pay more for services being

provided.

5. Last minute pricingDiscounting your prices at the last minute can give you a

lot of incremental revenue. However, you must be careful

not to sell less than your full cost per guest. For example, if

it costs you $100 to get a Deluxe room ready and an extra

cost of $20 per guest, then don’t sell your room for less

than $120.

You also need a way to let potential guests know of your

discount quickly. Without it, you may just be selling your

services short to guests who would have paid full price.



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#3. Focus on increasing revenue per customer. While you’re trying to find more new guests, you should also actively try to get the most out of each current guest.

Besides enforcing penalties for cancellation and schedule change, you should...



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1. Up-sell at every opportunityComplementary offers that will enhance their experience include shuttle transfers,

room upgrades, equipment hire, and tours and activities.

Persuade your hotel guests to spend a little more through your online booking

engine by adding carefully thought-out extras such as a romantic package or

champagne breakfast. You could also consider asking a guest during check-in if

they would like to get a better room for a slightly higher rate. This is simply about

letting your guests know what options are available to them. If it’s out of sight, it’s out

of mind!

Use your front desk or other designated area to take advantage of point-of-sale

opportunities such as car rental or tickets to events and tours. Adding this extra

value to guests not only brings in revenue but also provides a better traveller

experience.

Whatever the product may be, give guests something to remember their time with

you and add a new revenue stream by making some of your products available for

purchase. For example, sunscreens, shampoos or even towels for the beach. (This

might even prevent them from ‘accidentally’ packing your bathroom towels in their

bags before check-out!)



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2. Encourage referralsSatisfied customers should be encouraged to refer their friends and family to stay at your property. Offer your

potential guests incentives such as a promotion code, which you can easily set up in your all-in-one booking

management solution to be redeemed at the time of booking on your website.

A post-stay email can also be set up to automatically send to your guests after they leave, with a specific

promotion code and discount. Remember: Word of mouth is often the most powerful marketing tool.

3. Welcome petsYou may not warm to pets, but many travellers would love to travel with their furry companions. If possible,

make your small hotel pet-friendly so you not only attract a different segment of travel customers, but can be

in a position to charge a little extra for your rooms.

4. Offer discounts for extended staysSome guests are quite flexible with their travel schedule and might want to stay an extra night or two.

Offering a 50% discount off an additional night, when paying the regular rate for the first few nights, could

ensure a higher occupancy and incremental revenue.



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Using an all-in-one online reservation system to manage revenue

Your reservation system should help you execute the strategies we talked about. It should be easy for you to get more revenue

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1. Online bookers › Can your guests check availability and make a reservation

instantly from your website, and all of your connected OTAs?

› Can you securely take down their credit card details?

› Can you send systematic confirmation, reminder, and follow-up emails?

› Can you instantly update your rates and availability across your channels?

With a manual process, it takes so much time and effort for you to be constantly at

your desk, responding to emails and phone calls and updating spreadsheets to get

everything organised.

With an online reservation software, you can let guests self-serve and manage your

distribution channels in a few clicks. After setting it up, you can let it run on auto-pilot

so you can be out and about, servicing your guests and spending quality time with your

family.



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2. Current guests › Can you package extras like late check-out, breakfast, and spa packages?

› Can you customise extras to suit each product?

› Can you add extra sale items to reservations during your guests’ stay?

Selling extras manually means that you can only really offer extras when you meet

your guests face to face. It also means that you have to jot down the extra charge

somewhere. Sure, you can remind yourself, but you’re human and when things get busy,

it’s an easy task to forget.

With an online reservation system, you can present your options in a professional

manner, before they’ve made the reservation. Guests can pay for extras beforehand,

so that you can make sure you’re ready to service them when they arrive. You can also

easily add it in so it isn’t missed in the final charge.



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Chapter 3 :

Measuring Success



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Setting SMART goals

You can’t talk about revenue management without discussing how you will measure success! And of course, to measure success, you need to set goals.



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SS

M

A

R

T

Realistic and relevantDescribe the outcome that you want. Make sure it’s realistic and relevant to your business.

Let’s refer to Peter Drucker’s SMART criteria for goal-setting. It requires that your goals be -------------------------->>

An example of a vague statement: I want to increase room

occupancy by getting more online reservations from China in

low season.

An example of a SMART statement: I want to increase room

occupancy from 60% to 75% during low season by launching

our new Chinese traveller package. I’m going to do it by

partnering with Ctrip as an OTA. I’m giving myself to the end of

low season to achieve this.

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Reports

It’s tough for small accommodation providers. You have a limited budget, and need to be smarter about where you allocate your money.

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When planning your budget, your report should include:

› Fixed costs (eg. rent): No connection with business activity.

› Variable costs (eg. wages): Changes according to business activity.

› Income: Forecasted and other expected revenue.

› Actual costs: The difference between budgeted figures and actual numbers.

If the budget was in line with actual costs, that’s great. Think about how you can further

capitalise on it. If not, then document why you think there was a difference - was it a

matter of timing (it will happen at some point in the future), or was it permanent (it won’t

happen at any point in the future)?

But without advanced reporting, you won’t be able to calculate your budget, or see the

return on your investments.



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To manage your revenue successfully, you need to be able to see all your revenue

streams – from the online booking websites where you advertise your property, to

your marketing and sales. Without this visibility, you won’t be able to make pricing

decisions that are based on one of the most fundamental principles of economics:

supply and demand.

How easy is it for you to generate a report of:

› Your best performing booking sites?

› Your direct bookings?

› Your occupancy rates?

› Your income and oustanding payments?

› Which of your promotions (hot deals) work?

Without a reservation system, you will probably be struggling to manipulate data in

Excel spreadsheets using formulas. Besides taking up a heap of time, one human

error could mess up your whole spreadsheet!



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With an online reservation system, it’s easier to slice and dice your data, exporting it

if need be. A modern system will display it to you visually and allow you to print it out.

You can spend more time making sense of the data and deciding what to do with it,

instead of painstakingly manipulating it in Excel documents.

For example, Little Hotelier lets you generate reports for:

› Average occupancy rate

› Average length of stay

› Average lead time

› Average revenue per booking

› Revenue per available room

› Average daily rate

› Dollar value of cancelled reservations



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A glossary of terms for

Revenue management



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AAlternative Distribution System (ADS)Distribution using the Internet. (OTAs primarily)

AvailabilityThe number of vacancies possible for a specific type of accommodation for a specific set of dates.

Average Daily Rate (ADR)Figure derived by dividing actual daily revenue by the total number of rooms sold.

Average Length of stay (ALOS)The total room nights in a hotel divided by the number of reservations in the hotel. It is used to keep track of hotel performance in attracting and keeping guests in house. Formula: Total occupied room nights / Total bookings.

BBest Available Rate (BAR)

The lowest non-restricted rate bookable by all guests. This rate can change several times a

week up to several times a day. Also called Best Flexible Rate (BFR).

Best Rate Guarantee (BRG)The promise that hotels or OTAs will display the best rates on their own site as compared to any other side for the same product.

Booking Engine (BE)An application powering the hotels’ own brand site for reservation related information.

BudgetUsually refers to the annual budget prepared in late fall that sets the financial plan for the property for the next calendar or fiscal year. It includes a daily occupancy, rate and RevPAR by major market segments and feeds into the Financial Budget for the property. This budget shows percent change vs. last year and previous year by month and quarter.

CCentral Reservation System (CRS)The application used to manage a hotel’s distribution and hotel room bookings. Typically will be used to reach guests via multiple distribution channels such as travel agencies (via GDS), online travel agencies (such as Expedia, Orbitz, Travelocity, Priceline and others), direct to the hotel website, and telephone (either via call center, direct to property or both).

Channel ManagementControlling the allocation of hotel inventory and rates across all distribution channels including website, third parties, and the GDS. Effective channel management solutions should reduce labour costs and improve efficiency by providing a centralised way to control multiple channels.



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ChargeA Charge is a financial obligation for a Product or Service during a guest stay. Examples of Charges are:

› Room Stay

› Function Room Rental

› Merchandise Purchase

› Food Purchase

Closed to arrival (CTA)It means that no new reservations can be taken for guests arriving on this date. Reservations can stay through the date. It is used to control inventory.

Closed to Departure (CTD)A restriction by which the hotel can restrict any check outs on a specific day.

CommissionThat payment that a travel agent receives from a supplier for selling transportation, accommodation or other services.

DDemand Based PricingChanging rates based upon demand within the marketplace and what the market will bear.

Demand GeneratorsSpecific strategies or programs that attract or drive demand to the area or a specific hotel.

Device AssetA Device Asset is an electronic item owned or leased by the hotel.

Displacement Analysis for hotelsSince hotels have a fixed capacity, whenever they sell a room, they are taking a chance that they might be taking rooms out of inventory that could be requested later at a higher rate. One purpose of Revenue Management is to keep this from happening. With groups, it is usually worthwhile to do a displacement analysis. In other words, is the hotel going to be full and so some of the last people to book will be turned away. Multiply the number of guest rooms that will be denied times the average rate for that segment of business. If that is higher than the group revenue, then the group should be turned away. The group value includes all food and beverage spending, meeting room rental and any additional outlet spending minus any costs involved.

Distribution StrategyDetermining when and through what channels to sell rooms based upon the cost of acquisition of the individual channel. By driving business to lower cost acquisition channels during high demand periods, hotels can maximize their profitability.

Dynamic PackagingThe ability to create packages based upon the components the customer selects.



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EEarly BirdA promotion only available for advanced bookings where a minimum number of days are left between the reservation and the date of check in, often a discounted rate with fencing.

Electronic Distribution (ED)All the electronic channels of distribution, which includes GDS, Online Travel Agencies (OTAs) and Web Booking Engines. These distribution channels can be accessed through the Internet, an intranet or through an interfaced connection.

FFair Market ShareA hotel’s individual percentage of the market they should reasonably expect to capture all things being equal based upon their competitive set. Calculated by dividing the number of rooms at the hotel by the total number of rooms in the competitive set (inclusive of the subject hotel).

Flash SalesA promotional sale by a hotel that is available for purchase by the customers for a limited time only.

FolioA Folio is a collection of Charges and Payments incurred or made by a Guest or corporate account, or in-house account, etc

ForecastIn addition to the budget, a 30 60 90 day forecast is prepared each month (usually in the last week of the month). It includes the same statistics as the budget but is based on evolving information on bookings, no shows, cancellations and market trends. Usually the 30 day forecast is not changed during the applicable month and actual results during the month are reported against this 30 day forecast. Revenue Managers prepare the forecast and distribute it to all departments for their planning.

Function Room OccupancyThe measure of how efficiently hotels are utilising their function room space. It is recorded as an occupancy percentage. Formula: Total occupied Function Room space/ Total square footage of function room space available.

GGlobal Distribution System (GDS)A reservation platform started by code sharing airline partners to enable reservations for Airlines. Later on hotels, cars and cruise companies came on board. There are 4 major GDS companies. Sabre, Galileo, Amadeus and WorldSpan (Galileo and WorldSpan are owned by Travelport) offer a comprehensive travel shopping and reservation platform to travel agents worldwide. Agents use one of these systems to book airline, car, hotel and other travel arrangements for their customers. OTAs also use one or more GDS to power some or all of their content on their site.

Gross MarginsThe figure you arrive at after dividing your gross profits by net sales.Gross Operating Profit Per Available Room (GOPPAR)Calculated as room revenue minus expenses divided by total rooms available. It is the new RevPAR for owners.



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HHosted Payment CollectorA system designed to collect Payment Card information without going through any Hotel System.

Hosted Payment SystemThe system that presents a web page where payment information is securely collected

Housekeeping AssetA Housekeeping Asset is a consumable item used to maintain a Room-Type such as toilet paper, cleaners, soaps, shampoo, etc. All items are not accounted for.

IInteractive Voice Response SystemAn Interactive Voice Response (IVR) module, typically part of a telephone system that allows a caller to enter information, via keypad or voice commands.

Internet Distribution System (IDS)Distribution using the Internet (OTAs primarily).

InventoryThe rooms available that the hotel has to distribute/sell across all channels.

InvoiceAn Invoice is a request for payment made by the hotel to a company with which is does business.

JKLLead timeTime it takes for a guest that his visited your site to make an online reservation. Revenue managers typically measure “average lead time” and try to drive it down.

Linen AssetA Linen Asset is an item used to maintain a Room-Type that is re-used after laundering such as sheets, blankets, towels, etc. These items quantities are tracked, but not the individual assets.

“Lookers to Bookers”(L2B)Refers to the conversion of online shoppers to actual buyers; often communicated in a ratio.

Lose-it rateThis term refers to a rate where the hotel would be better off leaving the room unsold than sell at this rate. This could be because the hotel expects to find a better group at a rate high enough to take the chance of waiting for it to come along. It is often true if the dates requested are in a peak group season, and if there is significant time left in the group booking window for those dates.



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Loyalty-ProgramA Loyalty Program is a marketing program that offers rewards to guests for regular or frequent business. A loyalty program may also be a partnership with loyalty programs of other businesses (airlines for example). Loyalty may be tracked by points or other means.

MMaintenance AssetA Maintenance Asset is an item used by the facilities maintenance staff such as a light bulb, caulk, bolts, screws, brooms, carts, mops, etc. Some of these items are traceable/accountable and some are not.

Marketing CampaignA Marketing Campaign is an activity designed to promote and increase the awareness of the hotel and one or more of its services.

Marketing ChannelA Marketing Channel is any individual or company used in making the hotels products and/or services available to its customers.

Marketing CollateralMarketing Collateral is the collection of media used to support the sales of a product or service. The media typically describes the hotel and one or more of its services and may be targeted to a specific audience.

MarkupThe difference between the hotel’s selling and the merchant’s price offered to the consumer.

Maximum Length of StayA room inventory control function that limits the number of nights a reservation can stay when arriving on a certain date.

Minimum length of stay (MinLOS)An inventory control function primarily used to ensure that a peak demand night does not get filled with one night stays thus blocking the days around it for longer lengths of stay. It requires a reservation to meet or exceed a certain length of stay (2 or more) in order to complete the reservation.

NNet salesThe figure you arrive at after subtracting your costs from your total sales.

Night AuditA Night Audit is a reconciliation of the previous 24 hours of transactions.

OOccupancy rate“Fill” measure of a hotel calculated by dividing the total number of rooms occupied by the total number of rooms available times 100, e.g. 75% occupancy.



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Online Travel Agencies (OTA)Websites offering comprehensive travel shopping and Reservations Solutions to consumers. Examples include Expedia, Orbitz, Travelocity, Priceline, and many local and regional sites.

OverbookingThe practice of booking rooms beyond the capacity of the hotel in anticipation that some guests will not show up.

PPackageA collection of components being sold at a single price, where the component prices may or may not be known to the consumer.

PayableA Payable is a liability that the hotel must pay.

PaymentA Payment represents remuneration made by the Guest against a specific Folio. A Payment can be in any form such as:

› Credit-Card

› Corporate-Account

› Cash

› Promotion

› Loyalty Redemption

› Purchase Order

› Tour voucher

Payment ServiceA party that can authorize and settle payment-card transactions.

Payment TerminalA physical device capable of capturing and encrypting Payment Card data from the Payment Card presented by the Customer (either by swipe or keypad entry or both), such that it can only be decrypted by the Tokenization Service.

Price Match Guarantee (PMG)The promise that hotels or OTAs will offer the lowest rates or match the lowest rate available across any channel for the same product.

Purchase OrderA Purchase Order is an agreement made by the hotel to spend a specific amount of money for a specific set of services with one of companies it does business with.

Q



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RRate FencesRate rules that may include restrictions such as advance booking cutoffs or non-refundable payments. In general, no discount rate should ever be offered without fences, like advance purchase required, minimum stay length, non-refundable, etc. An example of how to use them: If all your business travelers are paying $100 per night, and book within 5 days of arrival and you need to encourage some extra, non business revenue, you may want to offer a $79 rate for guests booking two weeks in advance. This advance purchase requirement is a “fence” that keeps the guests already willing to pay $100 from buying your rooms for $79.

Rate ParityThe strategy that all distribution channels of a hotel should reflect the same rate for the same conditions for a particular room type. Rate parity strengthens customer loyalty and encourages guests to book directly with the hotel where terms/policies may be more flexible, given the same pricing as in other channels.

ReceivableA Receivable is an amount of money that the hotel must collect. A Receivable may be a Folio or an Invoice.

ReservationThe record of a request to set aside a room or other resource for use in the future.

Revenue ManagementThe process of understanding, anticipating and reacting to consumer behavior to maximise revenue. Yield Management is also referred to as Revenue Management.

Revenue Management System (RMS)The software application hotels to control the supply and price of their inventory in order to achieve maximum revenue or profit, by managing availability, room types, stay patterns (future and historical), etc.

Revenue Per Available Room (RevPAR)Calculated by taking the daily room revenue of a hotel and dividing it by the total rooms available at that hotel.

Revenue Per Occupied Room (RevPOR)Also known as revenue per booking. Calculated by taking the total daily revenue (including ancillary revenues) and dividing it by the total number of occupied rooms at the hotel.

Room BlockA Room Block is a group of rooms. Room Blocks may be created to organize rooms in various configurations to aid in planning and sales or other management tasks. Examples of Room Blocks might include: associating rooms with a single fixed price, a single Guest, a Channel, or a single

team of Staff Members that manage or maintain the rooms in the block.

Room InventoryThe set of rooms available for stays for a particular date or range of dates.

Room TypeA Room Type represents some form of categorisation, set, or collection of rooms with some common element at the hotel that must be managed for marketing purposes within the hotel. For example, a Room-Type might be a Suite or a Single Room with a double bed, Poolside or Ocean-side. A Room may belong to multiple Room Types.



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SServiceA Service is an intangible benefit that can be offered to a Guest.

Service ContractA Service Contract is a legally binding exchange of services promised and agreements between the hotel and service provider that the law will enforce.Examples of services are:

› Telephone service

› Cable TV and movie service

› Temporary or other non-employee personnel

› Alarm and control systems

Static PricingCharging one price for a product regardless of the time of year or the demand in the marketplace.

Stay RecordA record of a guests previous visit to a hotel.

System of RecordA System of Record is the system that has the core responsibility for collecting and maintaining a specific type of data or information.

TThird Party SystemA system that accepts and tokenizes credit card data (into a Tokenized Payment Method Record), that may eventually be sent to a Hotel System.

Total Revenue Per Available Room (TrevPAR)Calculated by taking the total revenue of a hotel and dividing by the total inventory of rooms.

UUnconstrained Demand (True Demand)The concept explains the total demand that exists for a certain time period irrespective of the capacity to accommodate it.

VVacancyOne or more rooms available to accommodate guests.



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WWork OrderA Work Order is a request maintenance work to be performed.

Work QueueA Work Queue is a set of Tasks or Work Orders that must be performed by a specific set of Staff Members.

X

YYield managementThe process of understanding, anticipating and reacting to consumer behavior to maximise revenue. Also referred to as Revenue Management.

Z

Sources:http://wiki.htng.org/mediawiki/index.php?title=Hospitality_Terminologyhttp://hotelrevenuetools.com/?page=glossary



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2 - Revenue... · 2017-02-27

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