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What You Need to Know Before You Book
Hotel room blocks are a great option for many couples but since you are entering a contract with the hotel, there are several things you need to know before booking.
You need a minimum of 10 rooms to qualify.In order to get a discounted rate, you need to sign a contract with the hotel guaranteeing a minimum of 10 rooms. Most hotels work off an attrition rate (the amount of the contract you need to book of 80-90%).
Often times hotels allow you to use all room nights toward your block. So if one person stays 10 nights or 5 people stay 2 nights, that means you meet your obligation.
If you do not meet 80-90% of the minimum contracted amount of rooms, the hotel may make you pay for the rooms that did not get booked. It is very important to contract for only the rooms you know you will need.
There are ways we combat this:
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Allowable Shrinkage Clause
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What this means: this number refers to the percentage of rooms that are allowed to go unbooked.
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Target Percentage: Between 10–20 percent. Meaning, if you booked 20 rooms but 2–4 go unbooked, you will not be penalized with a fee.
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Attrition Rate or Minimum Commitment
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What this means: This number refers to the percentage of rooms that must be filled in order to avoid paying a penalty fee.
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Target Percentage: Between 80–90 percent. Example: If the entire hotel room block is not used, you'll owe the hotel damages for all unused rooms based on a minimum commitment of 80 percent. This means that if you don't book the minimum amount of rooms agreed to, you'll owe for up to 80 percent of the room block.
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Mitigation Clause or Resell Clause
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What this means: The hotel must try to book unused rooms in your block so you're no longer responsible for them if they're later sold to other customers. In short: You shouldn't be paying for rooms other guests are paying for.
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The room rates are only valid for a short period of time. Once we present you with room rates, they are generally only guaranteed for one week. Since rates fluctuate frequently, it is important to contact us when you are ready to make a decision on your room block, otherwise the rate is subject to change.
WHY IS IT FREE?
Since we are licensed travel agents, hotels pay us a commission for each room booked. This does not change your room rate or affect you in any way, but instead is a great way for us to be able to offer this service free to you, while keeping our doors open. Plus, since we deal with the hotels on a regular basis, they provide us with their best available rates - so we are able to pass savings onto you and your guests!