From Airbnb to Booking.com to all OTAs, explore the list of glossary terms used in the hospitality business.
Definition: Average revenue earned per occupied room for a given period
Example: €5,000 revenue / 25 rooms sold = €200 ADR
Alignment with business: Core metric for pricing performance; pairs with Occupancy to drive RevPAR
Other common terms: RevPAR, Occupancy Rate, TRevPAR
Definition: Discounted rate booked X days in advance with stricter cancellation terms
Example: Book 21 days in advance to save 15%, non‑refundable
Alignment with business: Stimulates early demand and improves cash flow; shapes booking window
Other common terms: Non‑Refundable, Rate Fences, BAR
Definition: Pre‑agreed block of rooms an OTA or wholesaler can sell
Example: Wholesaler holds 10 rooms nightly with a 7‑day release‑back policy
Alignment with business: Provides base volume but reduces last‑minute flexibility if demand surges
Other common terms: Stop‑Sell, Release Back, Channel Manager
Definition: Income from add‑ons beyond room rate
Example: Late check‑out, airport transfer, luggage storage
Alignment with business: Improves profit without changing occupancy; key for limited‑service properties
Other common terms: Upselling, Cross‑Selling, TRevPAR
Definition: Software connector that syncs availability, rates, restrictions, and content between systems
Example: PMS pushes prices to OTA via channel‑manager API
Alignment with business: Removes manual errors; enables real‑time distribution
Other common terms: PMS, Channel Manager, CRS
Definition: Rooms or units open for sale for a date/range
Example: 10 of 40 rooms available on 12 Aug
Alignment with business: Feeds pricing and distribution; key for parity and oversell control
Other common terms: Stop‑Sell, Overbooking, Allotment
Definition: Lowest unrestricted public rate for a given date
Example: Website shows BAR €179 for Friday; OTA displays same after parity
Alignment with business: Reference rate for derived pricing and parity monitoring
Other common terms: Rate Parity, Derived Rates, LOS Pricing
Definition: Dates when certain rates or promotions do not apply
Example: Corporate rate blocked during trade‑fair dates
Alignment with business: Protects revenue in compression periods
Other common terms: Compression, Stop‑Sell, Yield Management
Definition: Direct reservation system on the property website
Example: Guest books a double room on brandcom without OTA
Alignment with business: Drives direct share and lowers commissions
Other common terms: Conversion Rate, Payment Gateway, CRS
Definition: Days between reservation date and arrival date
Example: Booked on 1 May for 15 May → 14‑day window
Alignment with business: Critical for forecasting, pricing ladders, and promo timing
Other common terms: Lead Time, Pace, Pickup
Definition: Proportion of business across segments (leisure, corporate, groups, OTA, direct)
Example: 60% leisure OTA, 25% corporate direct, 15% groups
Alignment with business: Informs pricing fences, LOS rules, and budget planning
Other common terms: Segmentation, Rate Fences, Distribution Strategy
Definition: Rules defining if/when a guest can cancel and fees
Example: Free until 3 days prior; 50% within 72h; 100% no‑show
Alignment with business: Balances conversion with revenue protection; impacts OTA ranking
Other common terms: Refundable, Non‑Refundable, No‑Show
Definition: System that syncs rates, availability, and restrictions to multiple OTAs
Example: Updates Expedia, Bookingcom and Airbnb instantly from one dashboard
Alignment with business: Prevents overbooking, enforces parity, saves manual effort
Other common terms: PMS, API, Distribution
Definition: Restriction preventing check‑in on a specific date
Example: CTA on Saturday; guests must arrive Friday or Sunday
Alignment with business: Protects stay‑through strategy and smooth operations
Other common terms: CTD, Minimum LOS, Stay‑Through
Definition: Restriction preventing check‑out on a specific date
Example: CTD on Saturday during city event
Alignment with business: Keeps high‑demand nights within stays; boosts revenue on peaks
Other common terms: CTA, Minimum LOS, Shoulder Nights
Definition: Fee paid to an OTA/agent per booking, usually a % of room revenue
Example: OTA commission 15–18% on consumed bookings
Alignment with business: Shapes net rate and channel mix decisions
Other common terms: Agency Model, Merchant Model, VCC
Definition: Group of comparable properties used for benchmarking
Example: Urban 4‑star hotels within 1 km with similar facilities
Alignment with business: Guides pricing, positioning, and KPI targets
Other common terms: Rate Shopping, STR Report, Market Index
Definition: Net change in on‑the‑books rooms/revenue from one day to the next for a future date
Example: Pick‑up for 15 Aug increased by 8 rooms after a concert was announced
Alignment with business: Signals demand shifts; used for pricing and inventory controls
Other common terms: Pace, Forecast, Demand Curve
Definition: Rates calculated from a base (eg, BAR) using rules or offsets
Example: Non‑refundable = BAR −10%
Alignment with business: Ensures consistent pricing logic and fast updates across channels
Other common terms: Linked Rates, Rate Fences, BAR
Definition: Local fee charged per stay or per night to fund destination marketing
Example: €2 per room night collected at check‑in
Alignment with business: Common in cities/resorts; must be disclosed in rate details
Other common terms: City Tax, Resort Fee, Transparency
Definition: Adjusting prices in real time based on demand, comp set, and booking pace
Example: Rates rise when concert dates open; fall midweek to stimulate demand
Alignment with business: Maximizes revenue and occupancy; core of RMS logic
Other common terms: RMS, Yield Management, Price Elasticity
Definition: Operational flexibility to arrive earlier or depart later, often paid
Example: Offer 1 pm check‑in for €20; 2 pm late check‑out for €25
Alignment with business: Improves guest satisfaction and ancillary revenue
Other common terms: Ancillary Revenue, Housekeeping, Turnaround Time
Definition: Back‑end interface where properties manage content, photos, rates and availability on an OTA
Example: Edit photos and policies in Bookingcom Extranet
Alignment with business: Impacts content score, ranking, and conversion
Other common terms: Content Score, Ranking, Channel Manager
Definition: Stays longer than typical transient bookings, often with weekly/monthly pricing
Example: 30‑night corporate assignment
Alignment with business: Reduces turnover costs and stabilizes occupancy
Other common terms: LOS Pricing, Serviced Apartment, Midstay
Definition: Non‑room activity sold by property (or via OTA) alongside the stay
Example: Add a wine tour during checkout
Alignment with business: Diversifies revenue; increases basket size and satisfaction
Other common terms: Ancillary Revenue, Cross‑Sell, Itinerary
Definition: Accepting more reservations than rooms to offset expected cancellations/no‑shows
Example: Overbook by 3 rooms on Friday based on historical wash
Alignment with business: Targets 0% turn‑away while avoiding walks; requires precision
Other common terms: Wash Factor, No‑Show, Walk Policy
Definition: Prices offered only to customers meeting specific conditions
Example: Mobile‑only rate or member rate
Alignment with business: Improves price discrimination while managing parity risk
Other common terms: Rate Parity, Loyalty Rate, Geo‑Rate
Definition: Projection of future demand, occupancy, ADR and revenue
Example: Next Saturday forecast: 92% occupancy at €210 ADR
Alignment with business: Underpins pricing, staffing, and procurement decisions
Other common terms: Pace, Budget, RMS
Definition: Allotment type without prior confirmation until stop‑sell/release
Example: Wholesaler free‑sale until 7 days before arrival
Alignment with business: Accelerates distribution but increases inventory risk
Other common terms: Allotment, Release Back, Stop‑Sell
Definition: Guest‑facing team handling arrivals, departures, inquiries and payments
Example: Agent processes VCC payment at check‑in
Alignment with business: Critical to guest experience and payment compliance
Other common terms: PMS, PCI, SCA
Definition: Network connecting hotels with travel agencies and corporate bookers
Example: Rates loaded to Amadeus, Sabre, Travelport via CRS
Alignment with business: Broadens access to high‑yield corporate demand
Other common terms: CRS, Corporate Rate, Consortia
Definition: Location‑based pricing shown to users in specific countries/regions
Example: Offer −10% for APAC users during off‑season
Alignment with business: Stimulates demand from targeted source markets
Other common terms: Fenced Rates, Parity, OTA Tools
Definition: Reservation created to test availability/rates without intent to stay
Example: Revenue manager simulates a 2‑night search to check parity
Alignment with business: Audits parity/content issues; caution with OTA terms
Other common terms: Rate Parity, Audit, Extranet
Definition: Profit KPI considering operating expenses per available room
Example: GOP €120,000 / 1,000 room nights available = €120 GOPPAR
Alignment with business: Links top‑line and cost control for overall performance
Other common terms: RevPAR, NRevPAR, TRevPAR
Definition: Time needed to clean and prepare a room between stays
Example: Average 35 minutes per checkout room
Alignment with business: Determines sellable inventory timing; affects early check‑in upsells
Other common terms: OOO/OOS, Staffing, SOP
Definition: Reference rate used by RMS to build derived ladders
Example: Set base at €150; derived rates ± by rules
Alignment with business: Keeps structure consistent across segments
Other common terms: Derived Rates, BAR, RMS
Definition: OTA metric grading listing completeness/quality (photos, amenities, policies)
Example: Score 95/100 after adding room types and translations
Alignment with business: Higher scores correlate with visibility and conversion
Other common terms: Ranking, Extranet, Reviews
Definition: Temporary block on inventory while a guest/agent completes steps
Example: Phone hold for 2 hours awaiting company PO
Alignment with business: Avoids double‑selling; must expire automatically
Other common terms: Inventory, CRS, Release Back
Definition: Rate including taxes/fees in displayed price (vs plus‑tax)
Example: OTA shows €120 total price including city tax
Alignment with business: Improves transparency; may affect ranking in total‑price markets
Other common terms: Fee Breakdown, City Tax, Transparency
Definition: Count of sellable rooms/units per date and room type
Example: 5 Studios, 10 Doubles for 12 Sep
Alignment with business: Foundation for availability, restrictions and parity control
Other common terms: PMS, Allotment, Stop‑Sell
Definition: Feature allowing guests to bundle stays with activities/transport
Example: Guest adds airport transfer and late checkout
Alignment with business: Boosts basket size and satisfaction
Other common terms: Ancillary Revenue, Cross‑Sell, Packages
Definition: Paid/performance programs to boost listing ranking
Example: Join Preferred Partner for higher placement at +3% commission
Alignment with business: Trades margin for demand during low periods
Other common terms: Commission, Ranking, Bid Modifier
Definition: Property‑operated or contracted transport for guests
Example: Free airport shuttle every 30 minutes
Alignment with business: Improves guest convenience; a competitive amenity
Other common terms: Amenities, Ancillary Revenue, Accessibility
Definition: Agreements with corporate/consortia programs for negotiated rates
Example: LRA contract with a global TMC
Alignment with business: Opens corporate demand; requires parity and availability discipline
Other common terms: GDS, LRA, Corporate Rate
Definition: Digital access via smartphone app or code
Example: Guest receives a PIN for smart lock on check‑in day
Alignment with business: Reduces lines; supports contactless operations
Other common terms: PMS Integration, Automation, Self Check‑In
Definition: In‑room facility enabling guests to prepare meals
Example: Studio with hob, microwave and cookware
Alignment with business: Drives longer stays and reduces F&B costs for guests
Other common terms: Extended Stay, Amenities, Serviced Apartment
Definition: Nights between check‑in and check‑out
Example: 3‑night LOS from Fri to Mon
Alignment with business: Used in pricing fences and restrictions (MinLOS/MaxLOS)
Other common terms: MinLOS, MaxLOS, Stay‑Through
Definition: Clause giving a client access to the last available room at their rate
Example: Corporate can book even when only 1 room remains
Alignment with business: Increases value for corporate accounts; risk in high demand
Other common terms: GDS, Corporate Rate, Blackout Dates
Definition: Discounted fenced rate for logged‑in members
Example: Members save 10% when booking via app
Alignment with business: Builds retention and mobile share while maintaining public BAR parity
Other common terms: Fenced Rates, Parity, Mobile Rate
Definition: Owner leases unit to operator for fixed term and rent; operator manages bookings
Example: Operator pays fixed monthly rent and keeps booking upside
Alignment with business: Stabilizes owner income; shifts demand risk to operator
Other common terms: Management Agreement, Revenue Share, P&L
Definition: Platforms that aggregate prices from OTAs and brandcom for comparison
Example: Google Hotel Ads displays website vs OTA rates
Alignment with business: Key acquisition channel for direct bookings; requires feed quality
Other common terms: CRS, CPC, Commission Bid Strategies
Definition: Restriction requiring at least X nights to book
Example: MinLOS 2 nights on weekends
Alignment with business: Improves shoulder night demand and reduces turnover costs
Other common terms: MaxLOS, CTA, CTD
Definition: OTA collects payment from guest and remits net to property
Example: Expedia Prepaid with Virtual Credit Card
Alignment with business: Shifts payment risk and enables packaging; watch tax handling
Other common terms: Agency Model, VCC, PSD2/SCA
Definition: Discount visible/applicable only on mobile devices/apps
Example: App‑exclusive −10% rate on OTA
Alignment with business: Improves mobile conversion and ranking signals
Other common terms: Fenced Rates, Geo‑Rates, Visibility Boosters
Definition: Inventory status set to out‑of‑order/service due to repairs
Example: Room 305 OOS for plumbing 12–13 Jun
Alignment with business: Prevents selling unsafe rooms and informs staffing
Other common terms: Housekeeping, PMS, Turnaround Time
Definition: Rate after subtracting commissions and fees (property take)
Example: €150 sell rate, 18% commission → €123 net
Alignment with business: Determines profitability per channel; used in channel mix decisions
Other common terms: Commission, Agency Model, Merchant Model
Definition: Guest who does not arrive and does not cancel
Example: No‑show charged first night per policy
Alignment with business: Affects overbooking strategy and revenue recognition
Other common terms: Cancellation Policy, Overbooking, Walk Policy
Definition: Room revenue per available room after distribution costs
Example: €20,000 net room revenue / 200 rooms available = €100 NRevPAR
Alignment with business: Aligns pricing with true profitability across channels
Other common terms: RevPAR, GOPPAR, Commission
Definition: Lower price with no free cancellation period
Example: Save 12% non‑refundable; full charge if cancelled
Alignment with business: Improves forecast accuracy and reduces wash
Other common terms: Refundable, Rate Fences, APR
Definition: Percentage of available rooms sold for a period
Example: 80 rooms sold / 100 available = 80% occupancy
Alignment with business: Combined with ADR yields RevPAR
Other common terms: ADR, RevPAR, Forecast
Definition: Discounted rate where property is hidden until after purchase
Example: Package site sells anonymous 4‑star hotel at fixed price
Alignment with business: Moves distressed inventory without public rate dilution
Other common terms: Packaging, Parity Risk, Merchant Model
Definition: Logic used by OTAs to order listings (price, content score, conversion, commission)
Example: Listing climbs after improving photos and enabling mobile rate
Alignment with business: Influences visibility and demand; managed via content and programs
Other common terms: Content Score, Conversion, Preferred Program
Definition: Guest departs later/earlier than reserved
Example: Overstay extends 1 night; requires room reassignment
Alignment with business: Impacts availability and housekeeping planning
Other common terms: Walk, CTD, Inventory Control
Definition: Rate at which bookings accumulate for future dates vs prior periods
Example: Pace for Sept +12% vs last year
Alignment with business: Early signal for pricing and marketing actions
Other common terms: Pickup, Forecast, Comp Set
Definition: Bundled offer combining room with extras (meals, parking, experiences)
Example: Stay & Dine: room + dinner + parking
Alignment with business: Raises perceived value and shields discounting
Other common terms: Ancillary Revenue, Fenced Rates, Opaque Rate
Definition: Maintaining consistent public rates across channels
Example: Website and OTA show same BAR for 10 Oct
Alignment with business: Prevents channel conflict and protects brand; often contractual
Other common terms: Extranet, Rate Shopping, Derived Rates
Definition: Service processing online payments for direct bookings
Example: 3‑D Secure card payment in booking engine
Alignment with business: Enables SCA compliance and reduces fraud/chargebacks
Other common terms: PSD2/SCA, VCC, Tokenization
Definition: Core system for reservations, housekeeping, folios, profiles, payments
Example: Front desk checks in guest and posts charges in PMS
Alignment with business: Operational backbone that integrates with channel manager and RMS
Other common terms: RMS, CRS, Channel Manager
Definition: Program offering higher visibility in exchange for higher commission/conditions
Example: Join Preferred at +3% commission for a placement boost
Alignment with business: Useful in low season or for new listings; monitor net impact
Other common terms: Ranking, Commission, Visibility
Definition: Restricted rate for specific groups or contracts
Example: Government rate requires ID at check‑in
Alignment with business: Targets segments without diluting public BAR
Other common terms: Fenced Rates, Corporate Rate, LRA
Definition: Room assigned in PMS but pending readiness/inspection
Example: Guest in queue until housekeeping marks room clean
Alignment with business: Improves arrival flow and communication
Other common terms: Housekeeping, Turnaround, Mobile Check‑In
Definition: Named set of pricing and rules (cancellation, meals, LOS)
Example: Bed & Breakfast 2‑night MinLOS, free cancel until 3 days prior
Alignment with business: Structure for selling strategies across channels
Other common terms: Derived Rates, BAR, Packages
Definition: Monitoring competitor prices across dates/channels
Example: Dashboard shows comp‑set weekend rates +15% vs ours
Alignment with business: Inputs to pricing decisions and parity checks
Other common terms: Comp Set, Parity, RMS
Definition: Deadline to return unsold allotment to the property
Example: Release at 7 days before arrival
Alignment with business: Reduces risk of empty rooms on high demand dates
Other common terms: Allotment, Free Sale, Stop‑Sell
Definition: Room revenue divided by available rooms for a period
Example: €18,000 / 150 rooms available = €120 RevPAR
Alignment with business: Key KPI blending price and occupancy
Other common terms: ADR, Occupancy, NRevPAR
Definition: Software that forecasts demand and recommends prices/restrictions
Example: RMS suggests +€12 on shoulder nights
Alignment with business: Automates pricing decisions across many dates and segments
Other common terms: Dynamic Pricing, Forecast, Pace
Definition: Two‑factor authentication requirement for electronic payments (PSD2 in EEA)
Example: Guest validates payment via bank app during booking
Alignment with business: Reduces fraud; essential for card‑not‑present transactions
Other common terms: PSD2, Payment Gateway, VCC
Definition: Arrival process without front‑desk interaction (codes, lockers, apps)
Example: Smart lock code sent on day of arrival
Alignment with business: Enhances convenience and supports lean operations
Other common terms: Automation, Keyless Entry, PMS
Definition: Apartment‑style accommodation with hotel‑like services
Example: Weekly cleaning, kitchenette, utilities included
Alignment with business: Targets extended stay and corporate segments
Other common terms: Extended Stay, Midstay, Aparthotel
Definition: Night adjacent to a peak/event night with moderate demand
Example: Sunday after a Saturday concert
Alignment with business: Opportunity for value‑adds and MinLOS strategies
Other common terms: Compression, Stay‑Through, Packaging
Definition: Restriction that closes a rate/room type/date from being sold
Example: Stop‑sell standard rooms on New Year's Eve
Alignment with business: Prevents low‑yield sales when demand is high or inventory tight
Other common terms: CTA/CTD, Parity, Allotment
Definition: Total hotel revenue (rooms + ancillary) divided by available rooms
Example: €50,000 total revenue / 200 rooms available = €250 TRevPAR
Alignment with business: Encourages focus beyond room revenue alone
Other common terms: Ancillary Revenue, RevPAR, GOPPAR
Definition: Net value of a reservation including extras and fees
Example: 2‑night stay + parking + breakfast upsell
Alignment with business: Supports prioritizing high‑value demand and upgrade logic
Other common terms: Ancillary Revenue, NRevPAR, RMS
Definition: Individual non‑group bookings across all channels
Example: Weekend transient demand lifted after festival announced
Alignment with business: Core base for most properties; priced with BAR ladders
Other common terms: Group Business, OTA, Direct
Definition: Guest refused or relocated due to overbooking or room out of service
Example: Walked to nearby hotel with taxi and difference paid
Alignment with business: Last‑resort measure; must follow policy and guest recovery steps
Other common terms: Overbooking, OOO/OOS, Service Recovery
Definition: Risk of leaving inventory unsold due to conservative pricing/restrictions
Example: Kept MinLOS too high; 8 rooms unsold
Alignment with business: Balances overbooking risk; monitored via pickup and forecast
Other common terms: Overbooking, Pace, Forecast
Definition: Offering paid enhancements during/after booking
Example: Offer breakfast, view upgrade, or late checkout in pre‑arrival email
Alignment with business: Increases ancillary revenue and satisfaction
Other common terms: Cross‑Selling, Ancillary Revenue, Total Stay Value
Definition: Guest photos and reviews on OTAs and brandcom
Example: 46/5 average with recent positive mentions of cleanliness
Alignment with business: Drives conversion and OTA ranking; feeds service improvements
Other common terms: Reputation Management, Content Score, Response Rate
Definition: Single‑use card issued by OTA to pay the property for a prepaid booking
Example: Charge VCC on check‑in date for room & tax
Alignment with business: Simplifies settlement and reduces fraud; mind fees and timing
Other common terms: Merchant Model, PSD2/SCA, PCI
Definition: Optional tool/bid that increases listing exposure
Example: Enable a 10% mobile boost for off‑peak weekdays
Alignment with business: Can speed up pace at margin cost; track NRevPAR impact
Other common terms: Preferred Program, Commission, Ranking
Definition: Proof of prepaid service to be redeemed at property
Example: Guest presents OTA voucher at arrival for prepaid stay
Alignment with business: Ensures smooth check‑in and accounting for third‑party sales
Other common terms: Agency Model, Merchant Model, Billing
Definition: Procedure for relocating overbooked guests including compensation
Example: Provide transport, first night paid, and upgrade at new hotel
Alignment with business: Protects reputation and legal compliance during oversell events
Other common terms: Overbooking, Service Recovery, Guest Relations
Definition: Expected percentage of cancellations/shortenings before arrival
Example: Historical wash 5–7% for Sundays
Alignment with business: Informs safe overbooking levels and forecast accuracy
Other common terms: Overbooking, Pace, Forecast
Definition: Higher rates during peak leisure periods
Example: +€35 on Fridays and Saturdays in summer
Alignment with business: Captures willingness to pay in predictable peaks
Other common terms: Dynamic Pricing, Compression, Shoulder Night
Definition: Intermediary reselling inventory to agents/OTAs, often via static/contracted rates
Example: Static net rate distributed to multiple retailers
Alignment with business: Expands reach but can create leakage and parity issues
Other common terms: Allotment, Free Sale, Opaque
Definition: Data format/protocol historically used for hotel system integrations
Example: Channel manager pushes ARI via XML to OTA
Alignment with business: Still prevalent in legacy stacks; complemented by JSON APIs
Other common terms: API, PMS, CRS
Definition: Tactical control of price/inventory to maximize revenue from perishable rooms
Example: Close low rates, raise high rates as demand strengthens
Alignment with business: Foundation of modern revenue management
Other common terms: Dynamic Pricing, RMS, Forecast
Definition: Rate that can be opened/closed dynamically by RMS rules
Example: Corporate rate is yieldable except during blackout dates
Alignment with business: Gives pricing flexibility without breaching contracts
Other common terms: Qualified Rate, LRA, Rate Plan
Definition: Strategy to shift bookings from OTAs to direct with no external commission
Example: Member rates + metasearch + email drives 35% direct share
Alignment with business: Improves profitability and data ownership; watch acquisition costs
Other common terms: Booking Engine, Metasearch, Loyalty