Component Rooms

Component rooms consist of two or more physical rooms. The physical rooms are sold individually with the door closed. With the door open, the physical rooms are sold together as a single component room. Selling a component room means that all its component parts are also sold. Following is an example:

Blue rooms = physical room types

Green rooms = component room types

In this example:

• KING and DBL combine to form component room type KINGSUITE. Selling one KINGSUITE sells the KING and DBL rooms.
• DLX and DBL combine to form component room type DLXSUITE. Selling one DLXSUITE sells the DLX and DBL rooms.
• DBL is shared between all the component room types.
• The two component room types, KINGSUITE and DLXSUITE, combine to form component room type PRESIDENTIAL. Selling PRESIDENTIAL sells the four physical rooms.

Understand How to Map Component Room Types to Room Classes

Follow these rules in the Room Class setup:

• Do not place a component room type in the same Room Class as its component parts. Keeping them separate helps G3 RMS understand the demand separately for the component parts and the component room.
• You can combine a physical and a component room type in a Room Class if the physical room type is not part of the component room. As with all room types in the same Room Class, the room types should have similar characteristics.
• You can place component room types that do not share component parts into the same Room Class.

Manage Your Overbooking

G3 RMS doesn't calculate overbooking for component room types because selling systems Any distribution system, like a PMS, CRS or a Channel Manager, that is used to sell your transient guest room inventory. Ideally, G3 RMS sends all controls to your selling systems, but this may vary based on their capabilities. For some integrations, the selling systems may not include the reservation system that provides with data. usually accept decisions only for physical room types. You can't select the option to allow overbooking for component room types in the Room Type setup. For other room types where overbooking is set to None, G3 RMS sends 0 as the overbooking value. For component room types, the system doesn't send an overbooking value, since a selling system could misinterpret the value.

Understand the System's Upgrade Path Rules

Although component room types can't be overbooked, G3 RMS still considers the possibility that component rooms can be upgraded. The system uses your Upgrade Path to know how to handle wash and not lose demand. The system doesn't allow the following:

• You can't upgrade from Room Classes with only physical room types to Room Classes with only component room types.
• A physical room that is the component part of a component room can’t be in a higher ranked Room Class than the component room.

In the following example, you can’t upgrade from Room Class 1 to Room Class 2 (indicated by price rank only arrow ), because 1 contains only physical room types and 2 contains only component room types.

Properties with component room types are more likely to have small Room Classes and to require the Advanced Upgrade Path.

Review the best practices below or, for a shorter summary, click the PDF button:

Understand Potential Differences in LRV

G3 RMS optimizes LRV for each Room Class, including those that contain component room types. G3 RMS knows that it can be more valuable to hold component parts to sell as component rooms. In this case, G3 RMS might raise the LRV above BAR for the component parts, to protect their capacity for sale as component rooms.

Let's use the KINGSUITE example from the overview and assume its component parts are in a separate Room Class. If there is high demand for KINGSUITE, but low demand for KING, the LRV for KINGSUITE will be higher than KING. The hotel might sell KING, losing the opportunity to sell KINGSUITE. To optimize the demand for the component room, G3 RMS restricts selling KING by setting the LRV for KING as high as the LRV for KINGSUITE.

Select LRV at the Room Type level in the Data Extraction Report to see where LRV is inflated to protect the capacity of a room type.

Use the Sales Forecast to Understand the System's Strategy

When you use the Component Rooms module, you see a Sales Forecast value for each Forecast Group and Room Class in the Business Details window of Demand and Wash Management.

Sales Forecast is the number of rooms that G3 RMS expects to sell, either component rooms or physical rooms. The Sales Forecast value is important for understanding the system’s expectations and strategy. Along with Available Capacity to Sell, it helps you make informed overrides.

Using our example from the overview again, if G3 RMS expects to or attempts to prioritize the sale of KINGSUITE, then the Sales Forecast equals 1 and the Occupancy Forecast (counting the physical rooms that will be occupied) equals 2. If the system expects to sell KING and DBL separately (and not as KINGSUITE), then both the Sales Forecast and the Occupancy Forecast equal 2.

If your Room Classes combine physical rooms and component rooms, you might not know to which of these the Sales Forecast value refers. You can still use the Sales Forecast to understand that demand for that Room Class is what G3 RMS wants to prioritize.

Read Metrics with Component Rooms in Mind

Component rooms present some unique challenges for metrics like rooms and revenues On Books. Let's look at our first example again:

If the component room type KINGSUITE is sold, G3 RMS receives one reservation. How should this information be reflected in the rooms sold at the total hotel and room type levels?

At the room type level, you want to know that one KINGSUITE sold. But you also want to know how it impacts the physical room types that are occupied. Because you sold KINGSUITE, you need to know that the KING and the DBL each have one room less capacity. You also want the system to show one room On Books for KING, DBL, and KINGSUITE each. If you add up the On Books at the room type level, you would see three rooms sold even though you only sold two physical rooms.

On the total hotel level, you want to avoid this double counting and see only the two total physical rooms sold. You also want to see the revenue from the single reservation, not from both the physical rooms and the component room.

This simple example shows how important it is for you to understand how G3 RMS accounts for component rooms differently at different levels. When you view reports and dashboards, you need to know when the data represents physical rooms or both physical and component rooms.

For a more complex example, see the Detailed Scenario.

By default, G3 RMS optimizes pricing for the component room type separately from the pricing for its physical room types, based on the demand for each. Which means the revenue-optimal price for the component room can be higher or lower than the sum of the prices of the physical parts.

Using this example , let's assume there is high demand for suites like the component room type KINGSUITE and low demand for regular rooms like its parts, KING and DBL. In that case, G3 RMS might price KINGSUITE at 250 and KING and DBL at 100 each.

In some rare cases, a property needs to price their component rooms as the sum of its parts. In our example, if KING and DBL are priced at 100, then KINGSUITE has to be priced as 200. If you think that this applies to your property, G3 RMS has a pricing option for this scenario. It causes some loss in revenue opportunity , so please contact your IDeaS representative to discuss. If the feature is the right solution, IDeaS enables it.

When enabled, a Price as Sum of Parts option displays in the Base Room Type tab of Pricing Configuration. Select that option and G3 RMS prices all component room types of the selected Room Class as the sum of the physical room types. The system doesn't optimize pricing for the selected component rooms, and you can't override their Final Price.

Note: For you to be able to select it, the Room Class must contain only room types that are component rooms. It can't contain parts of component rooms or other room types not used in component rooms.