Booking Practices in Hotel Revenue Management

Overbook strategically to account for no-shows and minimize costs, uncertainty, and customer impact. Examine visiting groups' costs and revenues to identify profitable targets. Examine the components of a successful overbooking strategy: no-show forecasting, no-show rates, arrival uncertainty, pricing policies, and cancellation forecasts. Learn the risks of overbooking and review strategies to minimize costs and mitigate customer impact.

CONTENT

• Overbooking Practices

When you have completed this module, you will be able to:

• • Discuss arrival uncertainty
  • List reasons for no-shows
  • Relate the no-show problem to hotel revenue management
  • Using no-show data, find the probability of one or more no-shows
  • Explain one method for forecasting no-shows
  • List several no-show-management challenges
  • Use the overbooking-ratio method to manage no-shows
• Group Management

When you have completed this module, you will be able to:

• • Define non yieldable business
  • Describe the nature and significance of long-term, medium-term, and short-term group decisions
  • Discuss the significance of groups in the management of revenue
  • Discuss medium-term group decisions
  • Use the displacement model to calculate a group rate
  • Use two group-forecasting methods
  • Create a group forecast using the pickup method
  • List factors affecting group-forecasting error
  • Explain why forecasting accuracy is important

FOR WHOM:

This course is designed for hospitality managers, general managers, revenue managers and other hospitality professionals responsible for the financial performance of their organization.

TRAINING METHODOLOGY

The training methodology combines lectures, discussions, group exercises and illustrations. Participants will gain both theoretical and practical knowledge of the topics. The emphasis is on the practical application of the topics and as a result participant will go back to the workplace with both the ability and the confidence to apply the techniques learned to their duties.