The Fundamentals
Which report do managers use to determine whether their forecasting estimates are improving or worsening each month?
Forecast accuracy.
At PHC, which hotel leader owns and submits the total property forecast?
General Manager.
The number of rooms or amount of revenue added since an earlier snapshot is called what?
Pickup.
What do we get when you divide your sold rooms by total rooms that your hotel has?
Occupancy %.
Which strategy might your Revenue Manager adjust when occupancy and pickup are weak?
Pricing/Rate.
Which fixed financial target shows what ownership hoped the hotel would achieve when the annual plan was approved.
Budget.
A group has not picked up their block and the cut-off date has passed; who is responsible for managing remaining rooms in their block so no displaced revenue will occur?
Director of Sales.
If a hotel has 60 rooms on the books and expects 15 additional rooms before arrival; what is the forecasted room count?
75 rooms.
What do you get when you divide room revenue by rooms sold?
ADR.
What strategy should your Revenue Manager consider when a sellout is forecasted but lower-rated discounts remain open?
Restricting lower-rated discounts and increasing rates.
How can we best describe rooms and revenue already reserved for a future date?
On-the-books.
Who oversees retail, government, wholesale and discount pricing, inventory controls, and demand strategy but does not own the total property forecast?
Revenue Manager.
The hotel normally picks up 20 rooms over the next 2 weeks, but this year the hotel has actualized less demand; the forecast should be adjusted in which direction?
Downward.
If a 40-room group block is expected to materialize at 30 rooms, how many rooms should be forecasted?
30 rooms.
What operational priority should be addressed when strong demand cannot be accommodated because rooms are out of order?
Returning out-of-order rooms to service or consolidating issues to decrease OOO rooms.
If actual room revenue finishes below the forecast, what did the hotel do when preparing the forecast.
Over-forecasted.
When is the most appropriate opportunity for the GM and sales leader to review and update forecast details together?
Weekly GM and Sales meeting.
A wedding group requests a block of 20 rooms per night. Sales team chooses to block only 10 rooms per night. What is this called?
Group Wash.
What data should be entered into the forecast template for each month as the starting point?
Budgeted room revenue and room nights.
What can result from copying the previous forecast without reviewing current pickup, cancellations, or market changes?
An inaccurate forecast.
What is the primary purpose of an accurate forecast.
Improve GOP, reduce labor, better-run hotel
The hotel’s sales leader is responsible for entering which details under the special events and holidays section of the forecast?
Group details, special events, holidays, weather-related events, and rooms out of order for renovations.
The hotel continuously actualizes more than they forecasted; how can they improve their accuracy?
Add additional pickup.
Which detailed review can identify weekdays being over-forecast and weekends being under-forecast?
Day-by-day forecast accuracy.
What occurs when the forecast is inflated to match the budget?
Inaccurate forecast, Overspending, Lower GOP.