Originally Posted by
psychtobe
so win win for me and HH, loss to the hotels?
The low rate paid by HH is if the hotel is less than 90% full (how low? For anywhere in the US think $30-60). In that scenario, the hotel does OK: they got paid more than the labor cost to flip the room and the room would otherwise be empty. As the hotel fills up past 90%, the reimbursement increases dramatically, eventually reaching the average rate for that night.