A benchmarking ratio that compares a hotel's ADR to the average ADR of its competitive set; a value above 1.0 means the hotel commands a rate premium relative to competitors.
A channel manager is software that synchronizes a hotel's room availability and rates across all online distribution channels (OTAs, GDS, direct booking) in real time.
The total cost incurred to acquire one confirmed booking through a specific channel, expressed as an absolute amount or percentage of the booking's gross revenue.
A centralized network (Amadeus, Sabre, Travelport) that connects hotels with travel agencies and corporate booking tools worldwide, primarily used for business travel.
Gross Operating Profit Per Available Room — operating profit (after departmental costs) divided by available rooms, the profitability complement to TRevPAR.
A group block is a named inventory hold in the PMS that reserves a set of rooms outside general availability for a specific group, for a defined period and at a negotiated rate.
Inventory allocation is the process of determining how many rooms of each type are made available for sale on each distribution channel at any given time.
The practice of grouping hotel guests by booking behavior, price sensitivity, and distribution channel to apply distinct pricing and availability strategies to each group.
A master folio is a billing account opened under a group or company name that collects shared charges for a group stay, separate from individual guest folios.
A benchmarking ratio that compares a hotel's occupancy to the average occupancy of its competitive set; a value above 1.0 means the hotel captures more than its fair share of available demand.
RevPAR calculated after deducting all distribution costs (OTA commissions, transaction fees, marketing spend), revealing actual economic yield per available room.
The night audit is the end-of-day procedure in hotel operations that closes the business date, posts room charges to all in-house folios, and advances the PMS to the next day.
An OTA (Online Travel Agency) is a web-based marketplace where travelers search, compare, and book accommodation, flights, and travel services from multiple providers.
OTA commission is the percentage of the booking value retained by an Online Travel Agency before remitting the remainder to the hotel, typically ranging from 15% to 25%.
A report comparing current booking pace to the same period in a prior year or reference period, used to identify whether a future date is tracking ahead or behind expectations.
A Property Management System (PMS) is the core software hotels use to manage reservations, check-ins, check-outs, and daily operations. It serves as the central hub connecting all hotel departments.
A rate plan is a pricing configuration attached to a room type that defines the price, conditions, cancellation policy, and inclusions (e.g., breakfast, refundability) for a specific booking scenario.
A reservation is a confirmed booking for a hotel room or service for a specific guest, dates, and room type, stored and managed within the hotel's PMS.
A benchmarking ratio that compares a hotel's RevPAR to the average RevPAR of its competitive set; the product of MPI and ARI, it measures overall revenue performance relative to the market.
A room type is the smallest sellable unit of accommodation, defined by a fixed combination of attributes including bed configuration, occupancy, surface area, view, and amenities.
A rooming list is the document or data import that assigns individual guest names, room types, and arrival/departure dates to each room in a group block, converting a generic hold into individual reservations.
A benchmarking metric comparing current booking or revenue figures to the same point in time one year prior, used to assess year-over-year performance.