week 7 Hotel management – 20210627u

5 points 5 points 5 points 5 points 5 points 5 points 5 points 5 points 5 points 5 points 5 points 5 points To which position does a hotel based Revenue Manager generally report?
Director of Rooms
General Manager
Director of Sales and Marketing
Ownership directly. Describe the purpose of a Rate Fence.
For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac).ParagraphArial14px
P0 WORDSPOWERED BY TINY The Distribution Channel Analysis points out that increased travel demand in the United States will come from:
Inbound international travel.
Primarily a growth in domestic leisure travel
Primarily a growth in group business
Robust domestic economic growth Describe what LRA is, and why it impedes the ability of a hotel to maximize rate in periods of high demand.
For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac).ParagraphArial14px
P0 WORDSPOWERED BY TINY In looking at the career path of a college student upon graduation, what is one of the distinct advantages of pursuing Revenue Management rather than a traditional Rooms Operations or Sales/Marketing role?
For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac).ParagraphArial14px
P0 WORDSPOWERED BY TINY In the Retail Channel Model, which of the following is not correct:
The hotel pays the TA/OTA their commission after the guest departs and pays the hotel.
The guest pays the TA/OTA at the time the reservation is made
The guest contacts the TA/OTA, and the TA/OTA makes the reservation with the hotel.
The guest pays the hotel directly upon check-out. Based on current employment data, does the position of Revenue Manager have more men or women?
Gender composition is not part of the data provided about this position.
More women than men.
Men and women are represented equally in the data.
More men than wormen. Why is the ability to sell rooms at a signficant discount in an Opaque channel a benefit to hotels?
There is a segment of the population who can and will shop these channels
Hotels can maintain their BAR rate at competitive levels (and therefore not destroy the comp set ADR) and still sell highly discounted rooms when they need to.
The hotel can sell “distressed inventory” without their competition knowing they are doing so.
All of the above are attributes of the Opaque channel model. In the Distribution Channel Analysis, one of the key points was that “The U.S. hotel market at the comp set level operates as a near zero-sum game”. What does that mean to an individual hotel and why is important?
Both B and C are correct.
Channel vendor claims that they can bring in new business to a market are generally untrue.
Demand into a market can be zero.
At the comp set level, increases in demand into one property result in decreased demand into other properties. Which of the following is NOT a true statement about companies (and increasingly – smart group planners) negotiated floating rates?
Floating rates are “relatively” easy to manage using currently available revenue and channel management technology.
The use of a floating rate means that the traveler will not see a lower BAR rate at the time they are making the rservation if they happen to be shopping on an OTA or Brand.com site.
All of the above are correct statements.
Floating rates protect the client company and meeting planners from their customer/travelers dissatisfaction with their ability to negotiate a discounted rate.
Although great for clients – floating rates effectively mean that when a hotel moves their BAR rate – they are moving a bunch of negotiated rates also, and so the impact of rate changes in the comp set is magnified across many segments. What is one of the potental problems with a Merchant channel reservation?
The financial transaction is between the merchant and the guest. If there is a problem – say the guest needs to cancel the reservation – they must deal with the merchant and not the hotel.
All of the above are common guest relations issues with the Merchant model.
The guest pays the Merchant for the reservation when it is made – even though that may be a year or more from the arrival date. In addition, the guest pays for the ENTIRE stay, not simply the first night or a guarantee.
In the merchant model, the merchant pays the hotel the “net rate” – not what the guest paid the merchant. Hotels must be very careful not to display the net rate to the guest. In the Merchant channel model:
The financial transaction for the reservation is between the TA/OTA and the guest, NOT between the hotel and the guest.
The guest pays the TA/OTA at the time the reservation is made – regardless of when the stay will occur.
The TA/OTA deducts their comission from what the guest is charged and pays the hotel the “net rate”, typically after the guest departs.
All of the above are attributes of the Merchant Model. Which of the following is not a correct statement about the BAR rate strategy?
The BAR strategy is necessary because most OTA’s will demand rate parity with a hotel direct (brand.com) channel.
The BAR strategy maintains rate parity in all public channels – so that no one channel is disadvantaged and they can ALL claim they have the “Best Available Rate.”
Most consumers view hotels in the same quality tier as “interchangable commodities” and so the BAR rate must move constantly to remain in a competitive range with other like properties in the competitive set.
The BAR rate is the lowest rate an individual could book. To which position does a hotel based Revenue Manager generally report?
Director of Rooms
General Manager
Director of Sales and Marketing
Ownership directly. Describe the purpose of a Rate Fence.
For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac).ParagraphArial14px
P0 WORDSPOWERED BY TINY The Distribution Channel Analysis points out that increased travel demand in the United States will come from:
Inbound international travel.
Primarily a growth in domestic leisure travel
Primarily a growth in group business
Robust domestic economic growth Describe what LRA is, and why it impedes the ability of a hotel to maximize rate in periods of high demand.
For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac).ParagraphArial14px
P0 WORDSPOWERED BY TINY In looking at the career path of a college student upon graduation, what is one of the distinct advantages of pursuing Revenue Management rather than a traditional Rooms Operations or Sales/Marketing role?
For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac).ParagraphArial14px
P0 WORDSPOWERED BY TINY In the Retail Channel Model, which of the following is not correct:
The hotel pays the TA/OTA their commission after the guest departs and pays the hotel.
The guest pays the TA/OTA at the time the reservation is made
The guest contacts the TA/OTA, and the TA/OTA makes the reservation with the hotel.
The guest pays the hotel directly upon check-out. Based on current employment data, does the position of Revenue Manager have more men or women?
Gender composition is not part of the data provided about this position.
More women than men.
Men and women are represented equally in the data.
More men than wormen. Why is the ability to sell rooms at a signficant discount in an Opaque channel a benefit to hotels?
There is a segment of the population who can and will shop these channels
Hotels can maintain their BAR rate at competitive levels (and therefore not destroy the comp set ADR) and still sell highly discounted rooms when they need to.
The hotel can sell “distressed inventory” without their competition knowing they are doing so.
All of the above are attributes of the Opaque channel model. In the Distribution Channel Analysis, one of the key points was that “The U.S. hotel market at the comp set level operates as a near zero-sum game”. What does that mean to an individual hotel and why is important?
Both B and C are correct.
Channel vendor claims that they can bring in new business to a market are generally untrue.
Demand into a market can be zero.
At the comp set level, increases in demand into one property result in decreased demand into other properties. Which of the following is NOT a true statement about companies (and increasingly – smart group planners) negotiated floating rates?
Floating rates are “relatively” easy to manage using currently available revenue and channel management technology.
The use of a floating rate means that the traveler will not see a lower BAR rate at the time they are making the rservation if they happen to be shopping on an OTA or Brand.com site.
All of the above are correct statements.
Floating rates protect the client company and meeting planners from their customer/travelers dissatisfaction with their ability to negotiate a discounted rate.
Although great for clients – floating rates effectively mean that when a hotel moves their BAR rate – they are moving a bunch of negotiated rates also, and so the impact of rate changes in the comp set is magnified across many segments. What is one of the potental problems with a Merchant channel reservation?
The financial transaction is between the merchant and the guest. If there is a problem – say the guest needs to cancel the reservation – they must deal with the merchant and not the hotel.
All of the above are common guest relations issues with the Merchant model.
The guest pays the Merchant for the reservation when it is made – even though that may be a year or more from the arrival date. In addition, the guest pays for the ENTIRE stay, not simply the first night or a guarantee.
In the merchant model, the merchant pays the hotel the “net rate” – not what the guest paid the merchant. Hotels must be very careful not to display the net rate to the guest. In the Merchant channel model:
The financial transaction for the reservation is between the TA/OTA and the guest, NOT between the hotel and the guest.
The guest pays the TA/OTA at the time the reservation is made – regardless of when the stay will occur.
The TA/OTA deducts their comission from what the guest is charged and pays the hotel the “net rate”, typically after the guest departs.
All of the above are attributes of the Merchant Model. Which of the following is not a correct statement about the BAR rate strategy?
The BAR strategy is necessary because most OTA’s will demand rate parity with a hotel direct (brand.com) channel.
The BAR strategy maintains rate parity in all public channels – so that no one channel is disadvantaged and they can ALL claim they have the “Best Available Rate.”
Most consumers view hotels in the same quality tier as “interchangable commodities” and so the BAR rate must move constantly to remain in a competitive range with other like properties in the competitive set.
The BAR rate is the lowest rate an individual could book.