Hospitality Management Glossary
25 essential terms — because precise language is the foundation of clear thinking in Hospitality Management.
Showing 25 of 25 terms
Total room revenue divided by the number of rooms sold, measuring average rental income per occupied room.
The areas of a hospitality property not visible to guests, including kitchens, laundry, employee areas, and storage.
A detailed document outlining all specifications for a catered event, including setup, menu, timing, and audiovisual requirements.
Software that synchronizes room availability and rates across multiple distribution channels in real time to prevent overbooking.
A group of similar hotels used for benchmarking performance comparisons in occupancy, ADR, and RevPAR.
A specialized guest service role responsible for assisting guests with reservations, recommendations, transportation, and special requests.
The ratio of food ingredient costs to food sales revenue, used to monitor profitability in food and beverage operations.
A business arrangement where a hotel owner licenses a brand's name, systems, and marketing in exchange for fees and royalty payments.
The guest-facing areas of a hospitality property, including the lobby, front desk, restaurant dining areas, and public spaces.
Gross Operating Profit Per Available Room, a comprehensive profitability metric that accounts for operating expenses beyond just room revenue.
A structured marketing program that rewards repeat guests with points, perks, and status tiers to encourage direct bookings and brand loyalty.
The department responsible for cleanliness, maintenance, and aesthetic upkeep of guest rooms, public areas, and back-of-house spaces.
An agreement in which a hotel owner hires an external management company to operate the property in exchange for base and incentive fees.
The percentage of available rooms sold in a given period, calculated as rooms sold divided by rooms available times 100.
Third-party platforms such as Expedia and Booking.com that sell hotel inventory online, typically charging commissions of 15-25%.
The practice of accepting more reservations than available capacity to compensate for anticipated cancellations and no-shows.
The characteristic of hospitality services that they cannot be stored; an unsold room night represents permanently lost revenue.
Central software for managing hotel operations including reservations, check-in/out, billing, room assignments, and guest profiles.
The practice of maintaining consistent room rates across all distribution channels to prevent price undercutting and guest confusion.
Revenue Per Available Room, calculated as ADR multiplied by occupancy rate or total room revenue divided by available rooms.
The process of resolving a guest complaint or service failure to restore satisfaction and potentially increase future loyalty.
A benchmarking report from STR that compares a hotel's performance metrics against its competitive set.
Management practices that reduce environmental impact, support local communities, and maintain long-term economic viability.
A pricing strategy that adjusts rates and restrictions based on demand forecasts to maximize revenue from fixed, perishable inventory.