Per Person Pricing

By default, G3 RMS optimizes by room and room revenue, without considering the number of occupants in the room or other revenues. This works best for properties that price by room and where room revenue is by far the largest part of the room price. If needed, they add supplements for included extra services, like breakfast.

Properties whose prices include many non-room revenues like food and beverage or entertainment usually price per person. Such properties, like all-inclusive resorts, can use Per Person Pricing where G3 RMS optimizes by number of occupants and considers the total revenue that is included in the price. And when G3 RMS forecasts by number of occupants, it can restrict by occupancy type when demand exceeds capacity. See the following example.

In this graph, you see the unconstrained demand forecast for a Forecast Group and Room Class. With Per Person Pricing, G3 RMS also forecasts demand by occupancy for each day. For example, for Tuesday the demand for two adults and two children (in blue) is enough to fill this Room Class, so the system raises the LRV above the price for the three lower-occupancies, restricting their availability.

Note: you can't see the unconstrained demand by occupancy in the system. The system displays demand for each Forecast Group and Room Class; adding the data for each occupancy becomes too granular.

Steps to Set Up and Monitor

With Per Person Pricing, there are some differences in setup and in monitoring:

Rooms Configuration

  • Define the Maximum Occupancy by room type, for example, three persons in the Standard King and four in the Superior King. This allows you to set up the optimal pricing for each room type.

  • Per Person Pricing properties often have many and very different room types. Make sure the Upgrade Path reflects your setup, for example, that you can't upgrade from a Room Class with a maximum occupancy of five to one with a maximum of four.

Pricing Configuration

  • Define the Occupant Value Groupings, like the age groups for pricing children, and at what occupancy you price by extra adults versus a fixed price.

  • Then enter the Offsets per person, following these best practices. To understand how Offsets impact the prices, review the scenarios.

Monitoring - Operations Report

In the Operations report you can see the On Books and forecasted number of adults and children.