HOSPITALITY REVENUE MANAGEMENT
ACTUAL SCRIPT 2026 VERIFIED ANSWERS
GRADED A+
⩥ Occupancy rate. Answer: percentage of available rooms(# of rooms
sold/# of rooms available)
⩥ Average daily rate(ADR). Answer: the average selling price per
room(rooms revenue collected/# of rooms sold)
⩥ Revenue per available room(RevPAR). Answer: occupancy rate times
ADR
⩥ Overbooking. Answer: selling more rooms than available
⩥ Competitive set. Answer: A selection of competing hotels against
which a property or chain measures its own performance. Competitors
are selected based on their location, service level, amenities, and
physical condition.
⩥ Demand-based pricing. Answer: The practice of offering low rates
during periods of low demand in order to attract guests while offering
higher rates during periods of high demand in order to maximize
revenues.
, ⩥ Demographic profile. Answer: Information gathered about large
groups of guests to identify common trends; examples include age,
education level, income, and gender. This information is used by
marketing departments to gain insight into how best to sell a product
(such as a guest room or food).
⩥ Dynamic pricing. Answer: A pricing strategy in which prices adjust
daily or even more frequently to refect up-to-the-minute market
information. Dynamic pricing is common in several industries, including
hospitality and travel.
⩥ Loyalty programs. Answer: Programs that reward frequent customers.
⩥ Potential revenue. Answer: the max revenue that can be attained under
perfect conditions
⩥ Revenue management team for a large hotel. Answer: the revenue
manager, sales manager, front offce manager, reservations manager, and
general manager.
⩥ High yield customer segments. Answer: the guests who pay the most,
stay the longest, and return most often
⩥ Capacity management. Answer: selective overbooking
ACTUAL SCRIPT 2026 VERIFIED ANSWERS
GRADED A+
⩥ Occupancy rate. Answer: percentage of available rooms(# of rooms
sold/# of rooms available)
⩥ Average daily rate(ADR). Answer: the average selling price per
room(rooms revenue collected/# of rooms sold)
⩥ Revenue per available room(RevPAR). Answer: occupancy rate times
ADR
⩥ Overbooking. Answer: selling more rooms than available
⩥ Competitive set. Answer: A selection of competing hotels against
which a property or chain measures its own performance. Competitors
are selected based on their location, service level, amenities, and
physical condition.
⩥ Demand-based pricing. Answer: The practice of offering low rates
during periods of low demand in order to attract guests while offering
higher rates during periods of high demand in order to maximize
revenues.
, ⩥ Demographic profile. Answer: Information gathered about large
groups of guests to identify common trends; examples include age,
education level, income, and gender. This information is used by
marketing departments to gain insight into how best to sell a product
(such as a guest room or food).
⩥ Dynamic pricing. Answer: A pricing strategy in which prices adjust
daily or even more frequently to refect up-to-the-minute market
information. Dynamic pricing is common in several industries, including
hospitality and travel.
⩥ Loyalty programs. Answer: Programs that reward frequent customers.
⩥ Potential revenue. Answer: the max revenue that can be attained under
perfect conditions
⩥ Revenue management team for a large hotel. Answer: the revenue
manager, sales manager, front offce manager, reservations manager, and
general manager.
⩥ High yield customer segments. Answer: the guests who pay the most,
stay the longest, and return most often
⩥ Capacity management. Answer: selective overbooking
