The KPI header in our Groups Quotation tool allows you to quickly and easily evaluate critical data points for groups negotiations.
The Pricing Section
Avg. Recommended Price- This is a weighted average of any prices generated by our intelligence engine for your specific inventory request. A full breakdown is available in theNegotiationsection of your Groups Quotation.Breakeven- This is the room rate above which this group will be net positive for revenue after factoring in displaced accommodation revenue. This is not a minimum price, but a guide to understand how much room you have to negotiate.Group Budget- This is the specified budget available for room rate only from your input on Step 1 of the Groups Quotation creation.If the group budget was input as
Accommodation Budget per Room, that same figure will reflect here.If the group budget was input as any one of
Total Budget,Total Budget per Room, orBudget per Guest, this figure is reflective of their given budget amount minus any ancillary revenues. This is done to normalize these figures and allow a direct comparison between the Avg. Recommended Price and the Budget Price.
More information about budget input and their impact on this KPI can be found here.
The Group Revenue & Profit Section
Group Revenue- This is all top line revenue that will be generated by this group, calculated as a sum of Accommodation + Ancillary revenue. There are no costs deducted from this figure.Group Profit- This is bottomline revenue that will be generated by this group, calculated as a sum of Accommodation (minus commissions) + Ancillary (minus costs and commissions)
When hovering over both Revenue and Profit, you will see a detailed breakdown of the following:
Total Group:Revenue - This is a sum of the gross group accommodation and ancillary figures
Profit - This is a sum of the net (of costs and commissions) group accommodation and ancillary figures
Accommodation:Revenue - This is the total group accommodation revenue, calculated as
Requested UnitsxRecommended RateProfit - This is the total group accommodation profit, calculated as
Requested UnitsxRecommended Rate-Commission
Ancillary:Revenue - This is the total group ancillary revenue, calculated as a sum of your gross revenue inputs in Step 4
Profit - This is the total group ancillary profit, calculated as a sum of your gross revenue inputs in Step 4, minus any configured profit margin
The Incremental Revenue & Profit Section
Incremental Revenue- This is the incremental (or extra) top line revenue that will be generated by this group, beyond what you would have expected to realize without this piece of business. It is calculated asTotal Group Revenue-Total Displaced Revenue(Accom + Ancillary). There are no costs deducted from this figure.Incremental Profit- This is bottomline revenue that will be generated by this group, beyond what you would have expected to realize without this piece of business. It is calculated asTotal Group Profit- (Displaced Accom Profit+Displaced Ancillary Profit+Potential Walked Guest Value)
When hovering over both
RevenueandProfit, you will see a detailed breakdown of the following:Total Incremental:Total incremental is your group accommodation and ancillary figures, minus forecasted accommodation, ancillary, and potential walked business that would be displaced by accepting this group business.Revenue - (
Total Group Revenue) - (Incremental Accommodation Revenue+Incremental Ancillary Revenue)Profit - (
Total Group Profit) - (Incremental Accommodation Profit+Incremental Ancillary Profit)
Accommodation:Incremental accommodation is your group accommodation totals, minus forecasted accommodation totals that would be dispalaced by accepting this group business.Revenue - (
Requested UnitsxRecommended Rate) - (Forecasted Extra UnitsxForecasted ADR)Profit - (
Requested UnitsxRecommended Rate-Commission) - (Forecasted Extra UnitsxForecasted ADR-Channel Cost)
Ancillary:Incremental ancillary is your group ancillary totals, minus expected transient spend for your forecasted segments that would be displaced by accepting this group business.Revenue - (Sum of
Fixed + Variable Ancillary inputs) - (Ancillary Spend by SegmentxForecasted Extra Units by Segment)Profit - (Sum of
Fixed + Variable Ancillary inputsxAncillary CategoryProfit Margin) - (Ancillary Spend by SegmentxForecasted Extra Units by SegmentxAncillary Category Profit Margin)
Potential Walked Guest Value: Potential lost revenue when a group block request is for more rooms than the hotel currently has left to sell.Walked Accom Profit - Revenue for OTB reservations that would be displaced by accepting this group
Walked Ancillary Profit - Expected ancillary revenue for OTB reservations that would be displaced by accepting this group
Walked Cost Applied - Cost per unit, per night, if input in Step 2 of Group Quotation workflow