Business Rules

Business Rules in RevControl include minimum and maximum daily rates, occupancy supplements, and minimum length of stay. These form the basis for the occupancy-based rate recommendation and can be adjusted per room type and per day.

The Business Rules consist of four components: minimum daily rates, maximum daily rates, occupancy supplements, and minimum length of stay. The Business Rules ultimately form the basis for the occupancy-based rate recommendation and can be seen as the pricing strategy.

Minimum rates

When determining the occupancy-based rate recommendation, the minimum daily rates must be set for a period of thirteen months in advance. The minimum daily rates ensure that when RevControl Auto Publish is enabled, the system will never go below the minimum rate. In this overview, you can enter the minimum daily rates per month and per day for the entire hotel. Hotels may also have the option to enter minimum rates per room type. If multiple room types are available, the minimum daily rates for each room type must be entered separately.

Min daily ratesMaximum rates

The next step is the maximum daily rates. This screen can be activated by the Customer Success team. In this screen, you can set the maximum rates for the entire hotel or per room type. When the Auto Publish feature is enabled in RevControl, the system will never exceed the maximum rate. The only way to publish rates above the maximum daily rates is manually in the Rate Calendar. RevControl will warn you when the adjusted rates exceed the maximum daily rates.

Max daily ratesOccupancy Supplements

Next, you enter the occupancy supplements. The first component of the occupancy-based rate recommendation is the minimum daily rate, which is in the left column. The second part of the occupancy-based rate recommendation is the occupancy supplements. Depending on the size of the hotel, occupancy thresholds are determined. These thresholds are displayed as percentages above the schedule. When the forecasted occupancy reaches the occupancy threshold, a supplement is added to the minimum daily rate.

Note: the occupancy supplements are not cumulative and are based on the forecast. It is also possible to base the occupancy supplements on the current occupancy (business on the books). Additionally, occupancy supplements can be entered per room type. In that case, the occupancy supplements for each room type must be entered separately.

Occupancy supplements

Minimum Length of Stay

The final step is to set the minimum length of stay. Here, you enter the minimum length of stay per day, per month, and per occupancy level. These occupancy levels depend on the size of the hotel. When the forecast calculated by RevControl reaches a certain occupancy threshold value, the minimum length of stay is automatically activated. Note that the minimum length of stay is a “stay through” restriction. For example, if there is a minimum length of stay of two nights for Saturday, guests must stay from Friday to Sunday or Saturday to Monday. Here too, it is possible to enter the minimum length of stay separately per room type.MinLOS