Talking to hoteliers, we often hear the term “Quality Reservations”! Trying to figure out when a reservation is a quality one and when it is not, we are analyzing the statistics from the reservations and cancellations from each channel (OTA). Dealing with a big number of online sales channels every day, the hotelier is in a big dilemma of how to treat each channel, according to the quality of the reservations they produce.
Well, when saying Quality Reservations we mean:
- High number of reservations?
- High profit per reservation?
- High average amount per reservation?
- High spending guests?
- Low ratio of Reservations to Cancellations?
It is difficult to say what exactly is a Quality Reservation, but at the end, it all has to do with the smooth operation of the hotel, especially if there is a high and low season. The more of the cancellations lead to lower profit, following by empty rooms as they cannot be booked last minute or they “destroy” the reservation plan.
After a good look at the analysis of the reservations from the HotelAvailabilities channel manager, the cancellations, the amount per reservation, the origin of the guests, we can conclude that the Quality Reservations come from the channels with the lower ratio of reservations to cancellations, with high spending guests. But, does “Quality Reservation” means the same for each hotel?