Reservations

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  • [i.e. Check-out time or start of the hotel’s day Shift or any time the lodging property chooses
  • Reservations

    1. 1. Week (5)
    2. 2. Objectives for Reservations <ul><li>At the completion of this unit, the students will able to: </li></ul><ul><li>Describe the different types of reservations and identify the information sought during a reservation inquiry and contained in a reservation record. </li></ul><ul><li>2. Identify major sources of reservations. </li></ul>
    3. 3. <ul><li>3. Identify the tools managers use to track and control reservations availability. </li></ul><ul><li>Describe policies and procedures surrounding the confirmation, change, and cancellation of different types of reservations. </li></ul><ul><li>Explain the function of typical management reports and reservations records that can be generated from reservations data. </li></ul>Competencies for Reservations (continued)
    4. 4. What is a reservation? <ul><li>It is a booking in advance for a space for a specified period of time. </li></ul><ul><li>E.g. Hotel ballroom, restaurant booking, airline seat, a theatre seat, a hotel guestroom, a doctor ’ s appointment. </li></ul>
    5. 5. Introduction <ul><li>From a guest’s point of view, the most important outcome of the reservations process is having a guestroom ready and waiting when the guest arrives. </li></ul><ul><li>To achieve these outcomes, the hotel must have efficient reservation procedures in place. </li></ul><ul><li>Here are the reservation process activities:- </li></ul>
    6. 6.  Conduct reservation inquiry. · Determine room and rate availability. · Create reservation record. · Confirm reservation record. · Maintain reservation record. · Produce reservation reports. · Research, plan, and monitor reservations. Reservation Activities
    7. 7. Types of Reservations <ul><li>Guaranteed Reservation : Insures that the hotel will hold a room for the guest until a specific time of guest’s scheduled arrival date . </li></ul><ul><li>The guest must provide us a method of payment. </li></ul><ul><li>If the guest does not show up or cancel properly, </li></ul><ul><li>the guest will be charged for one night accommodation. </li></ul><ul><li>If the hotel then fails to provide the room for a guaranteed reservation, legal penalties can be applied if the guest files a complaint. </li></ul><ul><li>In order to guarantee a reservation, guests can choose one of the following methods: </li></ul>
    8. 8. <ul><li>The reservation can be guaranteed by   </li></ul><ul><li> Prepayment </li></ul><ul><li>· Credit card </li></ul><ul><li>· Advance deposit </li></ul><ul><li>Travel agent voucher/miscellaneous charge </li></ul><ul><li>order (MCO) </li></ul><ul><li>· Corporate (direct billing account) </li></ul>Guaranteed Reservations
    9. 9. Non-guaranteed Reservation <ul><li>Non-guaranteed Reservation : Insures that the hotel agrees to hold a room for the guest until a stated reservation cancellation hour (Usually 6 p.m.) on the day of arrival. </li></ul><ul><li>It is common for hotels planning on full occupancy or nearing full occupancy to accept only guaranteed reservation once a specified number of expected arrivals is achieved. </li></ul>
    10. 10. Reservation Inquiry <ul><li>Guests can communicate their reservation inquiries in person, over the telephone, via mail, through facsimile, telex, e-mail … </li></ul><ul><li>While getting a reservation inquiry, the reservation staff shall obtain the following guest-related information: </li></ul><ul><li>Guest ’ s name, address and telephone number </li></ul><ul><li>Company or travel agency name </li></ul><ul><li>Date of arrival and departure </li></ul><ul><li>Type and number of rooms requested </li></ul>
    11. 11. cont. <ul><li>Desired room rate </li></ul><ul><li>Number of people in the group, if applicable </li></ul><ul><li>Method of payment and/or guarantee </li></ul><ul><li>Any other special requests </li></ul><ul><li> Most of the above mentioned information is used to create a reservation record . </li></ul>
    12. 12. The seven steps reservation sales process <ul><li>1. Greet the caller . ( thank you for calling Holiday inn. This is Mary speaking How can I help you today?) </li></ul><ul><li>2. Identify caller’s need ( arrival date, departure date, preference ....) </li></ul><ul><li>3. Provide an overview of the hotel’s feature ( number of restaurant, swimming pool ) </li></ul><ul><li>4. Make a room recommendation and room rate. </li></ul><ul><li>5. Ask for the sales ( Would you like me to book the reservation for you? </li></ul>
    13. 13. cont. <ul><li>6. Create a reservation record according to the hotel procedures. </li></ul><ul><li>7. Thank the caller . Closing a call as warmly as opening a call leaves the caller with a sense of confidence that they have made the correct decision. </li></ul><ul><li>The reservation function is a sales process, if the reservation staff is unenthusiasti c, the caller will not a have a positive impression of the hotel and may decide to go elsewhere. </li></ul>
    14. 14. cont. <ul><li>Reservations can be made for individuals, group, tours or conventions. </li></ul><ul><li>An individual, not part of the a group is referred as a FIT . ( free independent traveller) </li></ul><ul><li>The customers make reservation by using different sources. </li></ul>
    15. 15. <ul><li> Central Reservation System </li></ul><ul><li>· Global Distribution System </li></ul><ul><li>· Intersell Agencies (for example flight centre) </li></ul><ul><li>· Property Direct </li></ul><ul><li>· Internet </li></ul>Sources of Reservations
    16. 16. Central Reservation System (CRS) <ul><li>A central (or computerised) reservation system that controls and maintains the reservations for several hotels in one location, and automatically redirects the reservation to the required hotel. </li></ul>
    17. 17. Central reservation systems <ul><li>The majority of hotel groups belong to one or more Central Reservation Systems </li></ul><ul><li> A central reservation system is composed of a central reservation office, member hotels connected together via communication devices , and potential guests. </li></ul><ul><li>It exchanges room availability information with members hotel. </li></ul><ul><li> C entral R eservation O ffice [ CRO ] offers its services via a 24-hours toll free telephone number(s) [ Green Numbers ]. </li></ul>
    18. 18. continued <ul><li>On return, central reservation offices charges a fee for the utilization of its services which might take the form of a flat fee and a variable fee, or a flat percentage of potential room revenue, actual room revenue, and/or Rooms Division gross profit … </li></ul>
    19. 19. <ul><li>Computerized system by which reservation-related information is stored and retrieved for multiple organizations. </li></ul><ul><li>G lobal Distribution Systems [GDS]  System including several Central Reservation Offices connected to each other. </li></ul><ul><li>Selling hotel rooms is accomplished by connecting the hotel reservation system with the GDS system. </li></ul><ul><li>GDSs have become a powerful force in hotel reservation. </li></ul><ul><li>  </li></ul>Global Distribution Systems
    20. 20. Inter sell Agencies <ul><li>Inters ell Agencies are special types of central reservation offices contracting to handle reservation for more than one Product Line [ex: Handle at the same time Airline Tickets, Car Rental, Hotel Reservation…]  “ One Call Does it All Approach “! </li></ul>
    21. 21. Property Direct Reservation System : <ul><li>Even though many of the five-star hotels rely heavily on central reservation offices and intersell agencies, some potential guests still find it convenient, and personal to call directly the hotel to communicate a reservation inquiry. </li></ul>
    22. 22. Property direct reservations are made in a several ways · Telephone · Mail · Property-to-property · FAX · E-mail Property Direct Reservations
    23. 23. Group Bookings <ul><li>Types of groups </li></ul><ul><li>Tour groups </li></ul><ul><li>Conference/convention </li></ul><ul><li>Charity groups (fund raising) </li></ul><ul><li>Flight crews </li></ul><ul><li>School groups </li></ul><ul><li>Sporting groups </li></ul>
    24. 24. Reservation Availability <ul><li>After receiving a reservation request, the hotel might accept it, as it is, if there is room availability. </li></ul><ul><li>If not, the reservation department should suggest alternative room types, dates, and/or rates, to the potential guest. </li></ul><ul><li>If, however, the potential guest insists on his/her previous request, the hotel should suggest an alternative hotel. </li></ul><ul><li>That's one of the main reasons why we need to maintain good relation-ships with nearby competing Hotels </li></ul>
    25. 25. continued <ul><li>The reservation department should always compare historical reservation volumes against actual arrivals . </li></ul><ul><li>The main reason is to cope with overbooking , which a situation occurring when the total number of rooms reserved for a certain period of time exceeds the total number of rooms available for sale, for the same period of time. </li></ul>
    26. 26. continued <ul><li>In order to cope with the overbooking problem, some statistical and historical data should be stored and processed by the hotel and should be continuously updated. Such data should include: </li></ul><ul><li>Number of rooms reserved for a specific date </li></ul><ul><li>Number of rooms occupied by stayovers (for a certain specific date) </li></ul><ul><li>Forecasted no-shows percentage </li></ul><ul><li>Forecasted understays percentage </li></ul><ul><li>Forecasted overstays percentage </li></ul><ul><li>Forecasted cancellation percentage </li></ul><ul><li>Number of out of order rooms for a specific date </li></ul>
    27. 27. Reasons for Travel <ul><li>Business </li></ul><ul><li>Pleasure </li></ul><ul><li>Education </li></ul><ul><li>Family </li></ul><ul><li>Religious </li></ul><ul><li>Special events (e.g.Olympic Games) </li></ul>
    28. 28. Types of Market Sources <ul><li>F.I.T. – free/fully independent traveller </li></ul><ul><li>Group </li></ul><ul><li>Corporate </li></ul><ul><li>Government </li></ul><ul><li>Package </li></ul>
    29. 29. Room Rate Factors <ul><li>Location (CBD, Country) </li></ul><ul><li>Hotel Rating (Star/Flag/Crown) </li></ul><ul><li>Room attributes/aspects </li></ul><ul><li>Hotel facilities </li></ul><ul><li>Competition </li></ul><ul><li>Time of year </li></ul><ul><li>Intended client </li></ul>
    30. 30. Room Rate Types <ul><li>Rack </li></ul><ul><li>Corporate </li></ul><ul><li>Government </li></ul><ul><li>Airline (delayed flights, crew, package) </li></ul><ul><li>Travel Agents (package, familiarisation, group, F.I.T.) </li></ul><ul><li>Groups/conference </li></ul><ul><li>Packages (honeymoon, weekend, midweek) </li></ul>
    31. 31. Five steps to selling <ul><li>Know your product </li></ul><ul><li>Know your guest </li></ul><ul><li>Match the guest to the best alternative </li></ul><ul><li>Be aware you are part of the sales team </li></ul><ul><li>Always sell the product before the price </li></ul>
    32. 32. Guest History <ul><li>Assist with marketing strategies </li></ul><ul><li>Ensure future reservations are more efficient </li></ul><ul><li>Ensure a quicker check-in </li></ul><ul><li>Ensure guest ’ s needs are met </li></ul><ul><li>Assist with check-out </li></ul>
    33. 33. History data <ul><li>Reservation forms </li></ul><ul><li>Registration cards </li></ul><ul><li>Guest folios on check-out </li></ul><ul><li>History can be stored and maintained: </li></ul><ul><li>Manually </li></ul><ul><li>Computerised </li></ul>
    34. 34. Details Provided to Guest <ul><li>Room release time (6pm is standard) </li></ul><ul><li>Guaranteed reservation </li></ul><ul><li>Check-in time </li></ul><ul><li>Acceptable MOP </li></ul><ul><li>Parking facilities </li></ul><ul><li>Hotel facilities and services </li></ul>
    35. 35. Cancellation <ul><li>Retrieve original reservation </li></ul><ul><li>Note date and time cancellation received </li></ul><ul><li>Record contact name of person cancelling </li></ul><ul><li>Update manual and computer records </li></ul><ul><li>File cancelled reservation </li></ul><ul><li>Apply cancellation fee as per hotel policy </li></ul><ul><li>Thank caller </li></ul>
    36. 36. Amendments <ul><li>Retrieve original reservation </li></ul><ul><li>Note date and time amendment received </li></ul><ul><li>Record contact name of person amending </li></ul><ul><li>Update manual and computer records </li></ul><ul><li>File amended reservation </li></ul><ul><li>Thank caller </li></ul>
    37. 37. Departments concerned with reservations report <ul><li>Housekeeping </li></ul><ul><li>To enable accurate staff rostering </li></ul><ul><li>Budgeting, planning for refurbishment, ordering of supplies </li></ul><ul><li>Food and Beverage </li></ul><ul><li>As above </li></ul>
    38. 38. Departments concerned with reservations report <ul><li>Maintenance </li></ul><ul><li>To enable accurate staff rostering </li></ul><ul><li>Budgeting, planning for refurbishment, ordering of supplies </li></ul><ul><li>Concierge/Porters/Front Desk </li></ul><ul><li>As above </li></ul>
    39. 39. Types of Reports <ul><li>Occupancy </li></ul><ul><li>Arrivals </li></ul><ul><li>Cancellations </li></ul><ul><li>Special requests </li></ul><ul><li>V.I.P.S </li></ul><ul><li>Black lists </li></ul><ul><li>Market Segments </li></ul><ul><li>Guest history </li></ul>
    40. 40. Occupancy Reports <ul><li>Prepared on a regular basis for: </li></ul><ul><li>rostering </li></ul><ul><li>budgets </li></ul><ul><li>maximising occupancy </li></ul><ul><li>planning refurbishment </li></ul><ul><li>ordering </li></ul>
    41. 41. Special Requests Report <ul><li>Housekeeping </li></ul><ul><li>Cots/rollaways/special linen/vases/flowers/baby sitters/early and late arrivals and departures </li></ul><ul><li>Room Service </li></ul><ul><li>Champagne/fruit baskets/flowers/VIP mini bars </li></ul><ul><li>Porter/ Concierge </li></ul><ul><li>Theatre bookings/restaurant bookings/hire cars/early arrivals/late departures/wheelchair access/luggage storage/red carpet </li></ul>
    42. 42. Special Requests Report <ul><li>Food and Beverage </li></ul><ul><li>Dietary, Group meals, Children, Cultural Requirements, Seating, Groups departing early </li></ul><ul><li>Functions </li></ul><ul><li>Dietary, AV Equipment, Meal break times, Business Services </li></ul>
    43. 43. Group and Conference Details <ul><li>ETA/ETD </li></ul><ul><li>Rooming list ready </li></ul><ul><li>Rooms Assigned </li></ul><ul><li>Staffing requirements </li></ul><ul><li>Porter/Concierge (Luggage collection times) </li></ul><ul><li>Food and Beverage </li></ul><ul><li>Functions department </li></ul><ul><li>Hospitality room/area </li></ul>
    44. 44. Black List <ul><li>“ Bad ” debts (previous accounts remain unsettled) </li></ul><ul><li>Malicious damage to hotel property </li></ul><ul><li>Theft of hotel property </li></ul><ul><li>Verbal/physical assault of staff members </li></ul>
    45. 45. Reservation Reports: <ul><li>In the reservation department, the widely used management reservation reports include: </li></ul><ul><li>Reservation transaction report </li></ul><ul><li>Commission agent report </li></ul><ul><li>Turnaway report (sometimes called the refusal report) </li></ul><ul><li>revenue forecast report </li></ul>
    46. 46. Potential Reservation Problems <ul><li>4 main common problems that might be encountered: </li></ul><ul><li>1) Errors in a reservation record: </li></ul><ul><li>Record a wrong arrival or departure date </li></ul><ul><li>Misspell the guest’s name or reverse it </li></ul><ul><li>Reserve for the caller instead of the guest </li></ul>
    47. 47. Potential Reservation Problems <ul><li>2) Misunderstandings due to industry jargon: </li></ul><ul><li>Confirmed versus guaranteed reservation </li></ul><ul><li>Double room versus 2 beds </li></ul><ul><li>Connecting rooms versus adjacent rooms </li></ul>
    48. 48. Potential Reservation Problems <ul><li>3. Miscommunications with external reservation systems: </li></ul><ul><li>Book a guest in the wrong hotel </li></ul><ul><li>Book a guest in the wrong city [ex: Novotel, Melbourne versus Novotel, Sydney] </li></ul>
    49. 49. Potential Reservation Problems (continued) <ul><li>4. Online reservation system failures: </li></ul><ul><li>Fail to update central reservation system concerning room availability or to communicate rate changes in real time </li></ul><ul><li>Delays in communicating reservation requests </li></ul><ul><li>Communication Equipment used may become technologically obsolete or inoperatable </li></ul>

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