Moderator, Marriott Bonvoy & FlyerTalk Evangelist
Join Date: Oct 2002
Location: McKinney, TX, USA
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Posts: 11,772
I guess the advantage for the hotel is if they aren't completely filled, then some revenue is better than none. Of course there is a balance between catering to the longer-term and the short-term markets. I suspect that the closer a hotel is to full occupancy, the less they would be willing to play the reduced-stay rates game. Which can be interesting because sometimes when a hotel may be near full occupancy maybe during a special event, they may not sell short-term (i.e. one or two day stays), but only sell longer stays. But in those situations, the stay rates are not reduced, but closer to full rack rates. This again is used to try and maximize the hotel revenue streams.