Terms

A

ADR β€” Average Daily Rate

The average rate paid for rooms sold on a given day. Calculated by dividing total room revenue by the number of rooms sold. ADR is a useful measure of pricing performance, but it only tells half the story β€” a high ADR achieved by turning away lower-rated bookings may be less profitable than a moderate ADR with strong occupancy across the right channel mix.

ALOS β€” Average Length of Stay

The average number of nights guests stay per booking. Useful for understanding booking patterns and planning minimum stay restrictions. A longer ALOS typically reduces cleaning and distribution costs per room night β€” making it a quiet contributor to profitability that rate alone does not capture.
B

BAR β€” Best Available Rate

The lowest publicly available rate at a hotel on a given date, without requiring a qualifying condition such as loyalty membership or advance purchase. BAR became the industry standard benchmark when revenue management moved away from fixed rack rates. Duetto's position: optimising around a single BAR ladder constrains a hotel's ability to price each segment and channel independently. Open Pricing replaces BAR-ladder logic entirely.

Booking curve

A visual representation of how reservations accumulate for a given date over time β€” from far out to day of arrival. Understanding a hotel's booking curve is foundational to forecasting and pricing decisions: it shows when demand typically arrives, how fast it moves, and where yield interventions are likely to have the most impact.

Booking window

The period between when a reservation is made and when the guest actually arrives. Booking windows vary significantly by market, segment, and hotel type β€” leisure properties tend to see longer booking windows than urban business hotels. Duetto uses booking window data as one of the demand signals that feeds pricing recommendations.
C

Channel management / Hotel distribution

The process of distributing a hotel's inventory and rates across multiple booking channels β€” OTAs, GDS, direct website, voice β€” and managing the costs and conditions attached to each. Distribution strategy is one of the most direct levers on net room revenue: the same rate through different channels generates different profit outcomes depending on commission, acquisition cost, and margin. Optimising channel mix is as important as optimising rate.

Constrained demand

The number of bookings a hotel actually accepts, limited by physical capacity or restrictions in place. Constrained demand is what ends up on the books. It is used for operational planning β€” staffing, housekeeping, F&B. Contrast with unconstrained demand.

CRS β€” Central Reservation System

A system that stores and distributes a hotel's inventory and rates across booking channels. Duetto integrates with a range of CRS systems to push rates directly, reducing manual intervention and latency between strategy and execution.
D

Denial

A denial occurs when a guest visits a hotel's direct booking channel but no rate is returned β€” typically because the hotel is sold out or a room type is unavailable. Denials are a form of lost business that most hotels do not track systematically. Duetto captures denials as a demand signal: a pattern of denials on a date indicates unmet demand and may support a pricing or availability adjustment.

Dynamic pricing

The practice of adjusting hotel room rates in response to real-time changes in demand, rather than holding a fixed rate for a set period. Dynamic pricing is the mechanism; Open Pricing is Duetto’s approach to it β€” pricing every segment, channel, and room type independently rather than moving them together from a single base rate.
F

Forecasting β€” constrained vs unconstrained

A constrained forecast accounts for the physical limit of rooms available. An unconstrained forecast models total demand regardless of capacity β€” how many rooms you could sell if you had unlimited inventory. The gap between the two is where pricing decisions live: if unconstrained demand significantly exceeds capacity, the hotel has pricing power it may not be using. Duetto's ScoreBoard produces granular forecasts at segment and channel level, feeding both operational planning and revenue strategy.
G
Gross Operating Profit Per Available Room. The profit a hotel generates per available room after operating costs β€” not just gross room revenue. GOPPAR accounts for distribution costs, labour, F&B margin, and other expenses that RevPAR ignores entirely. It is the metric that connects revenue decisions to actual financial outcomes.

Group displacement

The lost transient (individual guest) revenue opportunity created when a hotel accepts group business that occupies rooms which could otherwise have sold at a higher transient rate. Displacement analysis weighs the guaranteed volume of a group booking against the transient revenue it displaces β€” the core calculation behind any group vs. transient decision. Duetto’s BlockBuster automates this analysis, replacing gut-feel group decisions with a data-driven view of the actual revenue trade-off.

Group wash

The percentage of a group room block that historically fails to materialise β€” rooms contracted but never picked up by the group. Wash is typically estimated from historical patterns for a given group type, season, or market segment, and factored into displacement analysis so a hotel does not overestimate how many rooms a group booking will actually occupy. Underestimating wash leads to over-blocking group space at the expense of transient revenue; overestimating it risks turning away individual bookings for rooms that never get filled.
H

Hotel demand forecasting

The process of predicting future room demand based on historical data, market signals, events, and booking patterns. Accurate forecasting is the foundation of effective revenue management β€” a hotel cannot price confidently for a date it does not understand. Modern demand forecasting goes beyond historical averages to incorporate real-time signals: event data, web shopping activity, competitor rate movements, and forward-looking demand indicators.
A commercial approach that optimises for net retained profit β€” not just room revenue or RevPAR. Hotel profit management accounts for the full cost structure of a booking: distribution cost, labour, ancillary revenue, and channel mix. It is the operating philosophy behind Duetto's Revenue & Profit Operating System (RP-OS): that revenue decisions should be evaluated against their profit outcome, not their gross revenue contribution.
L

LOS β€” Length of Stay

The number of nights a guest stays per booking. Used to set minimum and maximum stay restrictions, model booking patterns, and evaluate the relative profitability of different reservation types. A two-night minimum on a high-demand date can significantly improve both revenue yield and operational efficiency.
O

Occupancy rate

The percentage of available rooms occupied on a given night. Calculated by dividing rooms sold by rooms available. Occupancy is a foundational metric β€” but optimising for occupancy alone is as incomplete as optimising for rate alone. A hotel running at 95% occupancy through heavily discounted OTA channels may be less profitable than one at 80% with a better channel mix and distribution cost profile.
Open Pricing is a hotel revenue management strategy that prices every segment, channel, and room type independently β€” without tying rates to a Best Available Rate (BAR) ladder. Each part of a hotel's demand responds to its own signals, on its own timetable, without being chained to a single base rate.

OTA β€” Online Travel Agency

Third-party booking platforms such as Booking.com, Expedia, and Hotels.com that list hotel inventory for a commission β€” typically 15–25% of the booking value. OTAs provide distribution reach but reduce net revenue per booking. Managing OTA volume as part of a deliberate channel mix strategy β€” rather than as a default distribution channel β€” is one of the most direct levers available to improve hotel profitability.
P

PAR β€” Per Available Room

A denominator used in hotel performance metrics to normalise results across properties of different sizes. RevPAR, GOPPAR, TRevPAR, and PayRAR all use PAR as their base β€” expressing a result per room available rather than in absolute terms, making hotel-to-hotel and period-to-period comparison meaningful.

Performance engineering

The new discipline for operationalising profit for hotels. It brings profit into every decision, the way your teams work together, and your strategies β€” a new mindset, dataset, toolset, and way of operating for running your hotel. It is how you finally get a view of overall hotel performance, and engineer its direction. Duetto’s RP-OS is the technology layer that makes it possible at scale.

Pickup

The rate at which new reservations accumulate for a given stay date. Monitoring pickup β€” daily, weekly, against prior year β€” is one of the core habits of revenue management. A date that is picking up faster than expected may support a rate increase. A date picking up more slowly may need a promotional push or rate adjustment to stimulate demand.

PMS β€” Property Management System

The central operational system of a hotel, managing reservations, check-in/check-out, room inventory, billing, and reporting. The PMS is typically the source of truth for rate and reservation data. Duetto integrates with a wide range of PMS systems, enabling real-time data exchange and rate pushing without manual re-entry.
R
The practice of maintaining the same publicly available rate across all booking channels β€” OTAs, direct website, GDS, and others. Rate parity clauses are contractually required by most major OTAs. It has long been a constraint on distribution strategy.

Regret

A regret occurs when a guest visits a hotel's direct booking channel, receives a rate, but chooses not to book. Regrets β€” alongside denials β€” represent lost business that most hotels do not systematically capture. Duetto tracks regrets and denials as forward demand signals: a high regret rate on a date suggests the rate may be above the market's willingness to pay, or that a competitor is winning on price.
The discipline of optimising room revenue by selling the right room to the right guest at the right price through the right channel. Revenue management emerged from airline yield management in the 1980s and has evolved significantly β€” from static rate ladders to real-time, AI-driven pricing across hundreds of segments and channels.
The most widely used hotel performance metric. Calculated by multiplying ADR by occupancy, or dividing total room revenue by total rooms available. RevPAR captures the rate-occupancy relationship in a single number β€” useful for benchmarking, but silent on what the revenue cost to generate.

RMS β€” Revenue Management System

Software that helps hotels forecast demand and set room rates, typically automating pricing decisions that were once made manually. Most RMS platforms are built around a Best Available Rate (BAR) model. Duetto’s GameChanger is an RMS built on Open Pricing instead β€” pricing every segment, channel, and room type independently rather than deriving them from a single base rate.

RP-OS β€” Revenue & Profit Operating System

The way Duetto describes how its products work together β€” GameChanger, ScoreBoard, BlockBuster, Advance, and HotStats β€” connecting revenue strategy to profit outcome rather than optimising room rate in isolation. The RP-OS is the technology foundation for performance engineering: the operational shift from managing revenue to managing profit.
S

Select-service / Limited-service hotels

Hotel categories defined by amenity level. Limited-service hotels offer core accommodation without on-site restaurants or extensive facilities. Select-service hotels sit between limited and full-service β€” larger rooms, a fitness centre, and limited F&B, without full conference or spa infrastructure. The distinction matters for revenue strategy: select- and limited-service properties have a simpler revenue mix but often operate with lean teams where automation and pricing efficiency have an outsized impact.

STLY β€” Same Time Last Year

A comparison baseline: the status of a metric at the equivalent point in the prior year. Used throughout revenue management to assess whether a hotel is ahead or behind on pace for a given date or period. STLY must be interpreted carefully β€” calendar shifts, day-of-week differences, and market conditions can make prior-year comparisons misleading without adjustment.
T
Total Revenue Per Available Room. Extends RevPAR to include all revenue streams β€” F&B, spa, events, ancillaries, and other non-rooms revenue β€” expressed per available room. TRevPAR is particularly relevant for full-service and resort properties where rooms are one of several commercial channels. A hotel optimising only for RevPAR may be underpricing or underinvesting in non-rooms revenue that significantly affects total performance.
U

Unconstrained demand

The total number of guests who want to stay at a hotel on a given date, regardless of how many rooms are available. If 200 people try to book a 120-room hotel, unconstrained demand is 200. The gap between unconstrained and constrained demand is where pricing opportunity lives: consistent unconstrained demand above capacity is a signal that the hotel has pricing power it may not be fully using.
Y
The practice of adjusting prices dynamically based on demand, time to arrival, and inventory availability to maximise revenue from a fixed, perishable asset β€” the hotel room. Yield management is the predecessor to modern Open Pricing.

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