Block Group

Similar concept to the allotment. The Block Group represents a number of rooms reserved for a group. A Block Group is a room inventory transaction. The refusal date set by the hotel allows selling the rooms after a fixed date if no payment has been made to confirm the...

Booking

Either a single reservation or the reservations department.  

Booking Mask

Reservation mask on websites which allows users, by inserting arrival and departure dates (or number of nights) and number of people, to receive a “personalized price estimate”.  

Booking Status

The status of a reservation: Request, Option, Confirmed, Guaranteed, Cancelled, In-House, No-Show.

Bottom Rate

Minimum Tariff below which it is not convenient to sell a certain type of room. “Emergency Price”.

Break Even Point – BEP

The break-even point (or simply break even) is a value which indicates the quantity, expressed in volume of production or total sales, necessary to cover costs and therefore to be able to close the period of reference without either profit or loss....

Budget

The Budget estimate is a document containing data which have been set as objectives. It may be divided into areas (marketing, Hotel, F&B, etc.) and/or into components (revenue or costs). It is useful for setting financial and performance...

Building Cost Method

Also known as the “thousandth” rule, it has now fallen into disuse. To define the maximum tariff of a room, the total cost of the construction of a hotel was divided by the number of rooms and this figure was then divided itself by...

Bundling

The formation via pooling together products and/or services of commercial offers and proposed to clients as a “bundle” characterized by an aggressively priced special offer. There are two principal categories: Mixed Bundling (where products/services may be sold...

Business Group

Group of clients who are staying (or travelling) for reasons of work.

Business On The Book – BOB

All “the reservations on the book” that is to say the reservations taken for the future, including options, with all related information (overnight stays, total sales, average revenue, number of people, etc.). This is very important because it provides the basic data...

Business Opportunity Gain – BOG

Special reporting function in certain RM systems (formerly Optims, now Amadeus RMS) which measure increases in obtained revenue with respect to a theoretical potential value. This function is of particular importance for evaluating the efficiency of implemented...

Business Rule

Activation through different channel managers of tariff alignment and room quotas.

Cancellable / Non Cancellable

For reservations: only some reservations may be cancelled without costs, for the others a penalty payment is required.  

Cancellation Policy

The conditions whereby reservations may be cancelled. One example is the penalty clause.

Capacity

Total number of rooms of the hotel or of the inventory, also known as “physical capacity”. Capacity includes all the rooms available for sale and the rooms categorized as “house use” (for example, those rooms used by hotel...

Cash Flow

Cash flow is the net amount of cash and cash equivalents moving into and out of a business/project during the period under analysis.

Central Reservation Office – CRO

In the hotel industry, the Central Reservations Office or Central Reservations Center is a call center that manages room reservations for a hotel chain or company. Today, thanks to technological improvements, some computerized systems hasten working processes,...

Central Reservation System – CRS

A Central Reservation System, also known as a Hotel Reservation System, is a computerized system which memorizes and distributes information about a hotel, resort or other accommodation services. A centralized reservation system is a means of connecting to a Global...

Channel Efficiency

Indicates the relationship between the average sales price of individual channels allotted within the structure and the overall average sales price.. It provides an evaluation of performance, in terms of ADR, of the sales...

Channel Manager – CM

Software, a modern version of the “Rate Allocator”, that allows the rapid and  simultaneous management of numerous online distribution channels for update of availability, prices and restrictions. The system operates in real time, and simultaneously according to...