Occupancy adaptable rates (OAR) are an advanced revenue management feature of Clock PMS+. They help Clock PMS+ track your hotel occupancy and automatically change rates when the certain occupancy levels for your hotel are reached without you lifting a finger. Still, you can take advantage of the manual price option for the dates when you know that there will be high demand and you would not like the automatic levels to be activated. To get started, you need to simply add occupancy levels and corresponding rates. Our approach to creating an OAR is to firstly have the pricing of the various levels set. This is done by creating rates with a price corresponding to an occupancy level. Those rates can be:
- Base rates
- Rates derived through the addition or subtraction of an amount or percentage from a base rate
- Derived rates on the basis of other derived rates, etc.
In the image above, we created 3 occupancy levels with pricing for: when 1 room left; when 3 or less rooms left; when 4 or more are available. The 4 or more available is our base price, the other levels are derived and increase the price with 50.
Tip: We recommend creating these 'Level' rates in a separate rate plan for easier management.
Setup of Occupancy Adaptable Rates
On the rate creation screen, select the rate you wish to be an Occupancy adaptable rate (1) which, in turn, will open the Occupancy Adaptable tab (2).
Once you navigate to the Occupancy Adaptable tab, start entering the information. Firstly, select which occupancy will be tracked by the rate (3):
- Tracking total free rooms - the rate will track the total room occupancy in the hotel and will change the price based on it. Respectively, the levels should refer to the total hotel occupancy.
- Tracking Room Type's Free Rooms - the rate will track the occupancy of the Room type for which the rate is created. In our examples, we are creating an OAR rate for DBL room type with tracking of the room type occupancy.
Afterwards, the lowest level (empty hotel) has automatically been added. Select a rate for it. Add as many more occupancy levels as you need (4). To do so, simply set the number of free rooms (5) for each level and the rates to be used with them (6). Save.
Example Use Cases
An OAR can be created for your 'Base' pricing and have other rates - packages, promotions, etc. - be derived from it. For example, your Room Only rate can be an OAR, while the Bed and Breakfast, Half Board packaged rates and e.g. min stay 3 night discounted rate, be derived from the OAR. This way, the RO rate will change based on the occupancy of the room type and respectively all rates derived from it will also have their prices adjusted.
You can create an OAR rate per Room type, tracking the occupancy of the respective room type and changing the prices based on it. Alternatively, if possible, a more simpler approach can be applied where you have only one occupancy adaptable rate for one of your room types (usually lowest class/cheapest room type) which tracks your total hotel occupancy and changes prices based on it. Rates for the other room types are derived from it and respectively will have their pricing adjusted once a new Occupancy level is hit.
Specifics of Occupancy Adaptable Rates
Changes to the Level Rates Amounts
The prices are the Levels building up an occupancy adaptable rate can be changed at any time. The price in the adaptable rate will correspond to the current state of the respective level.
Clock PMS+ enables you to combine occupancy adaptable rates and manual prices for greater operating flexibility in the management of rates. If you fill in an amount for the adaptable rate itself (for a season or special day), the amount entered by you (a manually set price) takes priority and the adaptable rate does not apply. Thus you can define the price preferred by you for dates and seasons when you expect high occupancy and stop the use of the occupancy rate in these cases only.
Restrictions operate in a similar way to the standard and derived rates' ones: The adaptable rates themselves can contain restrictions.