Hotel Glossary A to Z
158 hotel industry terms explained in plain English — revenue management, OTAs, front office, housekeeping, F&B and finance.
A
A La CarteF&B
A menu where every dish is listed and priced separately, so guests order and pay only for what they choose. Common in hotel restaurants and room service, it usually earns higher margins than set menus.
ADR (Average Daily Rate)Revenue
The average room revenue earned for each occupied room over a period. It shows the price level a hotel is actually achieving after discounts, packages and channel mix are considered.
ADR = Room Revenue / Rooms SoldAdvance Purchase RateRevenue
A discounted rate available only when booked a set number of days before arrival, often non-refundable. It secures early business and acts as a rate fence against last-minute bookers.
Agency ModelDistribution
An OTA arrangement where the guest books online but pays the hotel directly at check-in or checkout. The hotel later pays the OTA its commission, usually through a monthly invoice.
AllotmentSales
A fixed number of rooms a hotel sets aside for a travel agent, tour operator or OTA to sell at agreed rates. Unsold rooms return to the hotel after the release or cut-off date.
ALOS (Average Length of Stay)Revenue
The average number of nights guests stay per booking. A longer ALOS lowers turnover costs such as cleaning and check-in effort, and helps fill shoulder nights between busy dates.
ALOS = Total Room Nights / Number of BookingsAmenitiesHousekeeping
The complimentary items and facilities provided to guests, such as toiletries, tea and coffee kits, slippers, Wi-Fi, gym or pool access. Good amenities lift guest satisfaction and review scores.
American Plan (AP)F&B
A meal plan where the room rate includes all three meals: breakfast, lunch and dinner. In India it is often sold at hill-station and leisure resorts where guests eat mostly on property.
Ancillary RevenueRevenue
Income a hotel earns beyond room sales, such as food and beverage, spa, laundry, transfers, parking and event space. Growing it improves TRevPAR and total profit.
ARI (Average Rate Index)Revenue
A benchmarking index that compares your hotel's ADR with the average ADR of your competitive set. A score above 100 means you are charging more than competitors on average.
ARI = (Hotel ADR / Comp Set ADR) x 100Arrivals ReportFront Office
A daily front office report listing all guests expected to arrive, with room types, rates, special requests and payment details. It helps prepare rooms and plan staffing.
AttritionSales
The shortfall between the number of rooms a group contracted and the number it actually used. Group contracts usually allow a set attrition percentage before the client must pay a penalty.
Attrition % = (Contracted Rooms - Rooms Picked Up) / Contracted Rooms x 100B
BanquetF&B
A planned function such as a wedding, conference or party where food, beverage and venue are served to a group. In Indian hotels, wedding banquets are often a major revenue source.
BAR (Best Available Rate)Revenue
The lowest unrestricted rate a guest can book on a given date without special conditions or membership. It changes with demand and serves as the base for most discounts and packages.
Bed BankDistribution
A wholesale company that buys hotel rooms at net rates in bulk and resells them to travel agents, tour operators and smaller online sellers worldwide. It extends reach but offers less rate control.
BEO (Banquet Event Order)F&B
A detailed document listing every requirement for an event, including timings, menu, seating, audio-visual needs and billing. It guides kitchen, banquet and front office teams to deliver the function correctly.
Beverage Cost %F&B
The cost of drinks served as a share of beverage revenue. Tracking it helps bars control pouring, pricing, wastage and pilferage, and is usually measured weekly or monthly.
Beverage Cost % = Cost of Beverages Sold / Beverage Revenue x 100Booking EngineDistribution
Software on a hotel's own website that lets guests check availability, choose rooms and pay directly. It saves OTA commission and connects to the channel manager and PMS for live inventory.
Booking WindowRevenue
The number of days between the date a reservation is made and the guest's arrival date. Knowing typical booking windows by segment helps hotels time their price changes and promotions.
Booking Window = Arrival Date - Booking DateBoutique HotelOperations
A smaller, design-led hotel with a distinct personality, personalised service and often a local theme. Many Indian boutique properties occupy heritage havelis, colonial bungalows or restored mansions.
Brand.comMarketing
A hotel's or hotel chain's own official website used for direct bookings. Strong brand.com sales reduce dependence on OTAs and improve profit per booking.
Break-even OccupancyFinance
The occupancy level at which room revenue just covers all fixed and variable costs, giving neither profit nor loss. Every room sold above this point contributes to profit.
Break-even Occupancy % = Fixed Costs / ((ADR - Variable Cost per Room) x Available Room Nights) x 100BudgetFinance
A financial plan for the coming year that sets targets for occupancy, ADR, revenue and expenses, usually month by month. Actual results are compared against it to judge performance.
C
Cancellation PolicyRevenue
The rules stating until when a guest can cancel without charge and what penalty applies afterwards. Stricter policies protect peak dates, while flexible ones can increase conversion.
Cap Rate (Capitalisation Rate)Finance
A measure investors use to value a hotel, showing the yearly net operating income as a percentage of the property's value or price. A lower cap rate generally means a higher valuation.
Cap Rate = NOI / Property Value x 100Channel ManagerDistribution
Software that connects a hotel's inventory and rates to many OTAs and sales channels at once. When a room sells on one channel, availability updates everywhere, reducing overbooking and manual work.
Channel MixDistribution
The share of bookings or revenue coming from each source, such as OTAs, direct website, corporate and travel agents. Improving channel mix reduces acquisition cost and increases net revenue.
City LedgerFinance
An accounts receivable ledger for amounts owed by companies, travel agents or OTAs rather than by in-house guests. Bills move here at checkout and are collected later as per credit terms.
Closed to Arrival (CTA)Revenue
A restriction that stops guests from arriving on a particular date, while still allowing stays that began earlier to continue through it. It protects high-demand dates for longer bookings.
Closed to Departure (CTD)Revenue
A restriction that stops guests from checking out on a specific date. Hotels use it to avoid gaps, for example by preventing a one-night stay that would block a longer booking.
CommissionDistribution
The fee a hotel pays to an OTA, travel agent or other intermediary for each booking, usually a percentage of the room revenue. In India, OTA commissions commonly range from about 15% to 25%.
Commission = Room Revenue x Commission %Comp Set (Competitive Set)Revenue
A group of nearby hotels that compete for the same guests in location, price and quality. Revenue managers track their rates and performance to set prices and measure market share.
Complimentary RoomFront Office
A room given free of charge, for example to group organisers, VIPs or staff on duty. Comp rooms count as occupied but usually earn zero revenue, so they should be tracked carefully.
Content ScoreMarketing
A rating that OTAs give to a property listing based on how complete it is, including photos, descriptions, amenities, policies and room details. A higher score usually improves ranking and conversion.
Continental Plan (CP)F&B
A meal plan where the room rate includes breakfast only. It is the most common plan for business and city hotels in India and is widely sold on OTAs as room with breakfast.
Conversion RateMarketing
The percentage of website or OTA listing visitors who complete a booking. Better photos, reviews, prices and booking flow can raise conversion and therefore revenue.
Conversion % = Bookings / Visitors x 100Corporate RateSales
A negotiated room rate offered to a company for its employees' business travel, usually in return for an expected volume of room nights each year. It is often fixed for the contract period.
Cost of AcquisitionDistribution
The total cost of getting a booking through a channel, including commission, payment fees, marketing and technology. Comparing it across channels shows which bookings are truly most profitable.
Acquisition Cost % = Channel Costs / Room Revenue x 100CoverF&B
One guest served at a restaurant or banquet. Covers measure how many diners a food outlet handles in a meal period and help calculate average spend per guest.
Average Check = F&B Revenue / Number of CoversCPOR (Cost per Occupied Room)Finance
The average operating cost to service one occupied room, including housekeeping labour, linen, amenities and utilities. It helps hotels set minimum rates and control room-division expenses.
CPOR = Total Rooms Department Cost / Rooms SoldCross-sellFront Office
Offering a guest a related service in addition to the room, such as spa treatments, airport transfers, dining or tours. It raises total revenue per guest without changing the room booked.
Cut-off DateSales
The date by which a group or allotment holder must confirm names or release unsold rooms back to the hotel. After this date the hotel can sell the rooms to other guests.
D
Deep CleaningHousekeeping
A thorough periodic cleaning of rooms and public areas that goes beyond daily service, covering mattresses, curtains, carpets, upholstery, vents and fixtures. It is usually scheduled during low occupancy.
Demand CalendarRevenue
A day-by-day view of expected demand that marks festivals, holidays, weddings, exams and local events. Indian hotels use it to plan pricing around peaks like Diwali, Durga Puja and long weekends.
Direct BookingMarketing
A reservation made straight with the hotel through its website, phone, email, WhatsApp or walk-in, without an intermediary. Direct bookings avoid commissions and give the hotel ownership of the guest data.
DiscrepancyHousekeeping
A mismatch between the room status recorded by housekeeping and the status shown by front office in the PMS, for example a room marked vacant that is actually occupied. It must be investigated quickly.
Displacement AnalysisRevenue
A method of checking whether accepting a group booking will earn more than the transient business it would push out. It compares total group value with displaced room and ancillary revenue.
Net Benefit = Group Revenue - Displaced Transient RevenueDNA (Did Not Arrive)Front Office
A guest with a confirmed reservation who did not show up and whose booking is closed in the system. Some hotels use DNA alongside or instead of the term no-show.
DND (Do Not Disturb)Front Office
A guest request, shown by a sign or door light, that staff should not enter or knock on the room. Housekeeping notes DND rooms and follows a safety check policy if it continues too long.
Due OutFront Office
A room whose guest is expected to check out today. Front office and housekeeping track due-out rooms to plan billing, room cleaning and assignment for arriving guests.
Dynamic PricingRevenue
Changing room rates frequently, sometimes daily or hourly, based on demand, booking pace, competitor rates, events and seasonality. It helps hotels earn more in peak periods and stay competitive in quiet ones.
E
Early Check-inFront Office
Allowing a guest into the room before the standard check-in time, often 12 noon or 2 pm in India. It may be free when rooms are ready or charged as a fee or half-day rate.
European Plan (EP)F&B
A room-only rate with no meals included. Guests pay separately for any food they order. EP rates are popular with business travellers and city-break guests.
ExtranetDistribution
An online back-office portal provided by an OTA where hotels manage rates, availability, photos, promotions, policies and reservations for that channel. Most updates are automated through a channel manager.
F
Fenced RateRevenue
A discounted rate that comes with conditions, such as advance booking, non-refundable payment or a minimum stay. The conditions stop guests who would pay full price from taking the discount.
FIT (Free Independent Traveller)Sales
A guest or small party travelling on their own arrangements rather than as part of a group. FIT bookings come through OTAs, direct channels or travel agents at individual rates.
Food Cost %F&B
The cost of food ingredients used as a share of food revenue. Kitchens use it to price menus, control portions and reduce wastage. A typical target range in many hotels is around 28% to 35%.
Food Cost % = Cost of Food Sold / Food Revenue x 100ForecastRevenue
An estimate of future occupancy, ADR and revenue based on bookings on hand, historical patterns, pace and market events. Accurate forecasts guide pricing, staffing and purchase decisions.
Form CFront Office
A mandatory online report Indian hotels must submit to the Bureau of Immigration for every foreign national guest within 24 hours of arrival. It records passport, visa and stay details.
FranchiseOperations
A model where a hotel owner pays fees to use a brand's name, systems, reservation network and standards while running the hotel themselves or through a separate operator. Fees are usually linked to revenue.
FRRO (Foreigners Regional Registration Office)Front Office
The Indian government office that handles registration and stay-related matters for foreign nationals. Hotels report foreign guests through the Form C system, which feeds into FRRO and Bureau of Immigration records.
G
GDS (Global Distribution System)Distribution
A large global reservation network, such as Amadeus, Sabre or Travelport, used by travel agents and corporate travel tools to book flights and hotels. It is important for business-travel hotels.
Genius-style Loyalty ProgrammeDistribution
An OTA loyalty programme where hotels offer extra discounts or perks to the platform's frequent bookers. In return, the property usually gets better visibility and a badge in search results.
GIT (Group Inclusive Tour)Sales
A group of travellers booked together, usually by a tour operator, on a package that includes rooms, meals and sightseeing. GIT business is common in leisure destinations such as Goa, Kerala and Rajasthan.
Google Business ProfileMarketing
The free listing that shows a hotel's details, photos, reviews and location on Google Search and Maps. Keeping it accurate and active improves local visibility and direct enquiries.
Google Hotel AdsDistribution
Google's paid listings that show a hotel's live prices on Search and Maps next to OTA prices. Hotels connect through a booking engine partner and pay per click or per booking.
GOP (Gross Operating Profit)Finance
The profit left after subtracting all departmental and undistributed operating expenses from total hotel revenue, before management fees, rent, interest, depreciation and taxes. It shows operational efficiency.
GOP = Total Revenue - Operating ExpensesGOPPAR (Gross Operating Profit per Available Room)Revenue
Gross operating profit divided by the total number of available rooms for a period. It shows how profitably a hotel converts revenue into earnings, not just how much it sells.
GOPPAR = GOP / Available RoomsGRC (Guest Registration Card)Front Office
A form every guest fills or signs at check-in with name, address, ID details, arrival and departure dates and signature. In India it supports police and legal record-keeping requirements.
Group BlockSales
A set of rooms held for a group, such as a wedding or conference, at an agreed rate and for specific dates. Rooms not picked up by the cut-off date are released to general inventory.
GST on Hotel RoomsFinance
Goods and Services Tax on room tariffs in India. From September 2025, rooms priced up to Rs 7,500 per night attract 5% GST without input tax credit, while rooms above Rs 7,500 attract 18% with input tax credit.
Guest FolioFront Office
The running account of all charges and payments for a guest during the stay, including room, food, laundry and taxes. It is settled at checkout or transferred to the city ledger.
Guest ProfileFront Office
A record in the PMS or CRM holding a guest's contact details, stay history, preferences and spend. It helps personalise service and target repeat guests with direct offers.
H
HomestayOperations
Accommodation where guests stay in a private home, often with the host family, enjoying local food and culture. Many Indian states run homestay registration schemes, especially in hill and rural tourism areas.
Housekeeping ReportHousekeeping
A report prepared by housekeeping showing the actual status of every room after physical checks. Front office compares it with PMS status to catch discrepancies, sleepers and skippers.
I
ITC (Input Tax Credit)Finance
A GST mechanism that lets a business reduce its output tax by the GST already paid on purchases and services. Hotels charging 18% on rooms can claim ITC, while those on 5% cannot.
K
Key CardFront Office
A plastic or RFID card programmed at the front desk to open a guest's room door for the length of the stay. It can be deactivated instantly and often also controls lifts and room power.
L
Last Room Availability (LRA)Sales
A contract clause that lets a corporate client or channel book the negotiated rate as long as any room of that type remains available. Hotels often limit LRA on peak dates.
Late Check-outFront Office
Allowing a guest to stay in the room beyond the standard checkout time. Hotels may offer it free to loyal or VIP guests or charge a fee, depending on occupancy and arrivals.
Lease ModelOperations
An arrangement where an operator rents a hotel building from the owner for a fixed or minimum guaranteed monthly rent and runs the business, keeping the profit or bearing the loss.
Length of Stay ControlsRevenue
Rules that limit how long or short a booking can be on certain dates, such as minimum stay, maximum stay, CTA and CTD. They help shape demand and avoid unsellable gap nights.
Linen ParHousekeeping
The number of complete linen sets a hotel keeps for each bed, usually three to five: one in the room, one in laundry, one in store and extra for replacement. It prevents shortages.
Lost Business ReportSales
A record of enquiries the hotel could not convert, along with reasons such as price, availability or restrictions. It reveals unmet demand and helps refine pricing and inventory decisions.
M
Management ContractOperations
An agreement where a hotel company runs the property on behalf of the owner for a base fee and an incentive fee linked to profit. The owner bears the investment and operating risk.
MAP (Modified American Plan)F&B
A meal plan where the room rate includes breakfast and one main meal, either lunch or dinner. In India it is widely sold at resorts and hill stations and is often called half board.
Market ShareRevenue
The portion of total demand or revenue in a market captured by a hotel compared with its competitors. Indices like MPI and RGI measure fair share against the comp set.
MarkupDistribution
The amount a reseller adds on top of a hotel's net rate to arrive at the selling price shown to guests. Hotels may set rules on markup to protect rate parity.
Selling Price = Net Rate + MarkupMaximum Length of Stay (MaxLOS)Revenue
A restriction that limits the number of nights a guest can book for stays including a certain date. It is used less often, mainly to keep inventory open for higher-paying short stays.
Merchant ModelDistribution
An OTA arrangement where the platform collects payment from the guest and later pays the hotel a pre-agreed net amount after keeping its margin. The guest pays nothing at the hotel for the room.
MetasearchDistribution
Websites that compare hotel prices from many OTAs and the hotel's own website in one place, such as Google Hotels, Trivago and TripAdvisor. They help hotels win direct bookings when rates are competitive.
MICE (Meetings, Incentives, Conferences and Exhibitions)Sales
Business events segment covering corporate meetings, incentive trips, conferences and exhibitions. MICE groups use rooms, banquet halls and catering, often filling weekday demand at city hotels.
Minimum Length of Stay (MinLOS)Revenue
A restriction requiring guests to book at least a set number of nights for stays covering a particular date. Hotels use it on peak dates such as New Year or long weekends.
Mise en PlaceF&B
A kitchen and service practice of preparing and arranging all ingredients, tools and equipment before service begins. It keeps service fast, consistent and organised during busy meal periods.
MMT Select-style Preferred ProgrammeDistribution
A preferred partner programme on an Indian OTA where hotels pay higher commission in return for better ranking, badges and visibility. Value should be checked against the extra cost and bookings gained.
MPI (Market Penetration Index)Revenue
A benchmarking index comparing your hotel's occupancy with the comp set's average occupancy. A value above 100 means you are capturing more than your fair share of occupied rooms.
MPI = (Hotel Occupancy / Comp Set Occupancy) x 100N
Net RateDistribution
The price a hotel receives from a wholesaler, tour operator or merchant OTA after commission or margin. The reseller adds its markup to this rate before selling to the guest.
Night AuditFront Office
The daily process, usually run late at night, of checking all transactions, posting room charges, reconciling departments and closing the business day in the PMS. It produces key daily reports.
No-showFront Office
A guest with a confirmed booking who neither arrives nor cancels. Hotels may charge a no-show fee as per policy, and no-show patterns are used to plan overbooking.
No-show % = No-shows / Confirmed Arrivals x 100NOI (Net Operating Income)Finance
The income left after subtracting fees, rent, insurance, property taxes and reserves from gross operating profit, before debt and income tax. Investors use it to value hotels.
Non-refundable RateRevenue
A rate that is paid upfront and cannot be cancelled or refunded. It is sold at a discount in exchange for guaranteed revenue and lower cancellation risk.
O
OccupancyRevenue
The percentage of available rooms sold during a period. It shows how full a hotel is, but must be read alongside ADR to judge revenue performance properly.
Occupancy % = Rooms Sold / Rooms Available x 100OOO (Out of Order)Housekeeping
A room that cannot be sold because of major repair or maintenance work, such as plumbing or electrical faults. OOO rooms are usually removed from available inventory for the period.
OOS (Out of Service)Housekeeping
A room temporarily unavailable for a short time because of minor issues like a broken bulb or deep cleaning. It normally stays in inventory and returns to sale quickly.
Opaque RateDistribution
A discounted rate where the hotel's name is hidden until after booking, often sold through packages or special deals. It lets hotels clear rooms without visibly cutting public prices.
ORM (Online Reputation Management)Marketing
Monitoring and managing what guests say about a hotel on review sites, OTAs, Google and social media. It includes replying to reviews, fixing service issues and encouraging happy guests to post.
OTA (Online Travel Agency)Distribution
A website or app that sells hotel rooms and travel products online, such as MakeMyTrip, Goibibo, Booking.com, Agoda and Expedia. OTAs bring wide reach in return for commission.
OTA RankingMarketing
The position a hotel appears in on an OTA's search results. It depends on conversion, price competitiveness, reviews, content quality, availability and commission level, and strongly affects bookings.
OverbookingRevenue
Deliberately accepting more reservations than available rooms, expecting some cancellations and no-shows. It must be based on reliable data, and hotels need a plan to relocate guests if everyone arrives.
P
P&L (Profit and Loss Statement)Finance
A financial report showing a hotel's revenues, expenses and profit for a period, usually monthly. Hotels often prepare it department-wise to see which areas earn or lose money.
PaceRevenue
A comparison of how quickly bookings are coming in for future dates versus the same point last year or versus budget. It shows whether demand is running ahead or behind expectations.
Par StockHousekeeping
The standard quantity of an item, such as linen, amenities or cleaning supplies, that must always be kept on hand to run operations smoothly. Stock is reordered when it falls below par.
PickupRevenue
The number of new room nights booked for a future date over a given period, such as the last 7 days. Tracking pickup helps revenue managers decide when to raise or lower rates.
Pickup = Rooms on Books Today - Rooms on Books EarlierPIP (Property Improvement Plan)Operations
A list of upgrades and renovations a brand requires a hotel to complete to meet its standards, typically when joining a franchise or changing ownership. It defines scope, budget and deadlines.
PMS (Property Management System)Front Office
The core software that runs hotel operations, including reservations, check-in, room status, billing, night audit and reports. It connects with the channel manager, POS and accounting tools.
POS (Point of Sale)Front Office
The system used in restaurants, bars, spas and shops to take orders, bill guests and record payments. It can post charges directly to a guest's room folio through PMS integration.
Pre-authorisationFront Office
A temporary block on a guest's card for the expected bill amount, taken at check-in. It secures payment for incidentals and reduces the risk of skippers.
R
Rack RateFront Office
The full published price of a room before any discounts. In practice few guests pay it, but it acts as the upper reference point for other rates.
Rate FencesRevenue
Rules that separate different prices for the same room so each guest segment pays an appropriate rate, such as advance purchase, non-refundable terms, minimum stay or membership requirements.
Rate ParityRevenue
Keeping the same public rate for the same room and conditions across all online channels, including the hotel's own website. Parity protects brand trust and OTA relationships.
Rate ShoppingRevenue
Regularly checking competitors' rates on OTAs and websites for future dates, often with automated tools. The data helps a hotel position its prices against the market.
ResortOperations
A property designed for leisure stays, offering accommodation plus recreation such as pools, spas, activities and dining on site. Resorts usually sell meal plans and longer stays.
RetargetingMarketing
Online advertising that shows hotel ads to people who previously visited the hotel website but did not book. It reminds them of the property and encourages them to return and book directly.
Revenue Share ModelOperations
A partnership where an operator or aggregator runs or markets the hotel and takes an agreed percentage of revenue instead of a fixed fee or rent. Common with Indian budget hotel chains.
Review ScoreMarketing
The average rating guests give a hotel on platforms such as Google, TripAdvisor or OTAs. Higher scores improve ranking, conversion and the ability to charge stronger rates.
RevPAR (Revenue per Available Room)Revenue
Room revenue divided by the total number of rooms available, whether sold or not. It combines occupancy and ADR into one key measure of room revenue performance.
RevPAR = Room Revenue / Rooms Available = ADR x Occupancy %RevPAR IndexRevenue
See RGI. It compares your RevPAR with the comp set's RevPAR to show whether you are earning your fair share of market revenue.
RevPAR Index = (Hotel RevPAR / Comp Set RevPAR) x 100RFP (Request for Proposal)Sales
A formal document from a company or event planner asking hotels to quote rates and terms for corporate travel or events. Hotels respond with pricing, inclusions and conditions.
RGI (Revenue Generation Index)Revenue
Also called RevPAR Index, it compares your hotel's RevPAR with the comp set's average. A score above 100 means you earn more revenue per available room than competitors.
RGI = (Hotel RevPAR / Comp Set RevPAR) x 100Room Status CodesHousekeeping
Short codes used by housekeeping and front office to show each room's current condition, such as VC (vacant clean), VD (vacant dirty), OC (occupied clean), OD (occupied dirty), OOO and OOS.
Rooms on Books (OTB)Revenue
The number of rooms already reserved for a future date at a given moment. Comparing OTB with last year and forecast shows whether pricing needs adjusting.
Run of House (ROH)Sales
A rate or booking where the hotel assigns any available room type at check-in rather than a specific category. It is often used for groups and tour operators.
S
SegmentationRevenue
Dividing guests into groups such as corporate, leisure, OTA, group and wedding based on booking behaviour and needs. It helps hotels tailor pricing, marketing and forecasting for each segment.
SEO (Search Engine Optimisation)Marketing
Improving a hotel website's content, speed and structure so it ranks higher in Google search results. Good SEO brings free traffic and more direct bookings over time.
Serviced ApartmentOperations
Fully furnished apartments with kitchens and housekeeping, rented for short or long stays. They suit long-stay corporate guests, project teams and families relocating to Indian cities.
Shoulder PeriodRevenue
The dates between peak and low seasons, or the nights just before and after a high-demand event. Smart pricing and packages help fill these softer dates.
SkipperFront Office
A guest who leaves the hotel without settling the bill or informing the front desk. Hotels reduce this risk with advance deposits, card pre-authorisation and folio credit limits.
SleeperFront Office
A room that is actually vacant but is shown as occupied in the PMS, usually because a checkout was not updated. Sleepers cause lost sales and are caught through room status checks.
StayoverFront Office
A guest who is not checking out today and will remain in the hotel at least one more night. Housekeeping services stayover rooms differently from departure rooms.
Stop SellRevenue
Closing a room type, rate plan or entire hotel for sale on certain dates or channels. It is used when inventory is nearly full or to control which channels receive the last rooms.
STR ReportRevenue
A benchmarking report from the data company STR (CoStar) comparing a hotel's occupancy, ADR and RevPAR with its comp set. It provides MPI, ARI and RGI indices.
T
Table d'HoteF&B
A fixed menu with a set number of courses offered at one price, with limited or no choice. It is common for buffets, banquets and group meals in Indian hotels.
TDS (Tax Deducted at Source)Finance
Income tax that a payer deducts before paying certain amounts, such as commissions, contracts or rent, and deposits with the government. Hotels both deduct TDS on payments and face it on corporate receipts.
Total Revenue ManagementRevenue
An approach that manages pricing and capacity across all hotel revenue streams, including rooms, F&B, banquets and spa, rather than rooms alone. It aims to maximise total profit per guest.
TransientSales
Individual guests who are not part of a group block, including corporate, leisure and OTA bookings. Transient demand is usually priced dynamically and changes quickly with market conditions.
Travel AgentDistribution
A person or company that books hotels and travel on behalf of clients and earns commission or a markup. Offline travel agents remain important for groups and leisure packages in India.
TRevPAR (Total Revenue per Available Room)Revenue
Total hotel revenue from rooms, food and beverage, spa, banquets and other services divided by available rooms. It shows overall revenue performance beyond rooms alone.
TRevPAR = Total Revenue / Rooms AvailableTurndown ServiceHousekeeping
An evening housekeeping service that prepares the room for sleep by tidying up, folding back bedding, drawing curtains and leaving small touches like a chocolate or water bottle.
U
UpgradeFront Office
Moving a guest to a better room category than originally booked, either free as a goodwill or loyalty gesture or for an extra charge. It can also free lower-category rooms for sale.
UpsellFront Office
Encouraging a guest to buy a higher room category or better package than first chosen, for an additional price. Done well at booking or check-in, it raises ADR and guest satisfaction.
USALI (Uniform System of Accounts for the Lodging Industry)Finance
A standard set of accounting rules and report formats for hotels, used worldwide. It helps owners, operators and investors compare financial performance across properties consistently.
User-Generated Content (UGC)Marketing
Photos, videos and reviews posted by guests on social media and review sites. Authentic UGC builds trust and can be reshared, with permission, in a hotel's own marketing.
V
VIP (Very Important Person)Front Office
A guest given special attention because of status, loyalty, influence or business value. VIP handling may include upgrades, welcome amenities, personal greeting and senior management courtesy calls.
Visibility BoosterDistribution
A paid or commission-based option on an OTA that improves a hotel's ranking and exposure in search results for chosen dates or markets. It works best when price and reviews are already strong.
W
Walk-inFront Office
A guest who arrives without a prior reservation and asks for a room. Walk-ins can be valuable revenue on unsold nights, but front office should check ID and payment carefully.
Walk-outFront Office
Also called relocating a guest, it happens when a hotel cannot honour a confirmed booking because it is overbooked and arranges a similar or better room at another hotel at its own cost.
WashRevenue
The difference between the rooms a group originally blocked and the rooms actually used. Revenue managers apply expected wash when forecasting so they do not overprotect inventory.
Wash % = (Rooms Blocked - Rooms Picked Up) / Rooms Blocked x 100WholesalerDistribution
A company that buys hotel rooms in bulk at discounted net rates and resells them, often packaged, through travel agents and tour operators. It brings volume but lower rates.
Y
Yield ManagementRevenue
An earlier name for revenue management, borrowed from airlines. It focuses on selling the right room to the right guest at the right price and time to get the most revenue.
Glossary articles
In-depth explanations from our blog:
Frequently asked questions
What is the most important metric in hotel revenue management?
RevPAR (revenue per available room) is the most widely used single metric because it combines occupancy and ADR. Many hotels also track GOPPAR to include costs.
What does OTA mean in hotels?
OTA means online travel agency — websites such as Booking.com, MakeMyTrip, Goibibo, Agoda and Expedia that sell hotel rooms to travellers for a commission.
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