Hotel Front Office Management, 3rd Edition

128 CHAPTER 5: RESERVATIONSFigure 5-1. Areservation clerk isready to process aguest’s request for aroom reservation.(Photo courtesy ofRadisson HospitalityWorldwide.)Importance of a Reservation SystemProfitable business ventures rely on effective marketing principles, which include reviewingpeople who are in need of hotel products and services, determining their needs, developingproducts and services that meet their needs, and making a profit on the sale ofthose products and services.A well-organized reservation system allows hotels to ensure a steady flow of guestsinto their properties. Hotel chains offer their members the ability to fill 30 percent ormore of available rooms on a nightly basis. Independent hoteliers have the onerous responsibilityof creating exciting marketing programs to capture room business. Easy accessto a hotel’s data bank of rooms helps in fulfilling the customers’ needs as well as inreaching a targeted daily occupancy rate, average daily rate, yield percentage, and Rev-PAR. A reservation system represents the primary means of producing positive cash flowand a favorable income statement.Overview of the Reservation SystemThe hotel industry is powered by sales that are derived from the use of computerizedreservations systems. The following information on Choice Hotels International, Six Con-TLFeBOOK