Pearson New International Edition International pcl tp indd 1

FRONT OFFICE SEMANTICS
Inventory (rooms):
Rooms that are available to be sold by the hotel.
To fully understand the importance of the revenue manager, consider two hotels
(250 rooms each) in the same city. Both are branded with well-known franchisors,
are part of each other’s competitive sets, and offer similarly priced rooms and ameni-
ties. The average ADR for the city is $100, and the average citywide occupancy for
May is 65 percent. Noel is the revenue manager at one hotel; JeAnna is the revenue
manager at the other.
On May 1 (current year), the city’s CVB announced that the city will host next
year’s meeting of the State Association of Retired College Professors in the city’s
downtown convention center. This nonprofit association rotates its annual meeting
at sites throughout the state and generates more than 5,000 room nights during its
three-day meeting period. The last time the group met in this city, most area hotels
achieved occupancy levels over 90 percent for the three days, and better-recognized
hotel brands sold out on two or three of group’s three meeting days.