Dynamic Base Rate

This type of base rate is available for ORS and PMS. The functionality is property-specific. Dynamic Base Rates functionality automatically calculates and displays dependent rates during the availability search (as opposed to being statically stored in the system as when Base Rate functionality is used). Simply put, Dynamic Base Rate functionality is identical in the means of calculating and displaying these rate amounts as when Base Rates is used; however, the Rate Detail tab for Dynamic Base Rates will display as a normal rate details. For example, a rate code AAA may be dynamically based off of the rate code RACK. RACK has been defined as a Daily Rate. When viewing the Rate Details tab for RACK, the Daily Rate screen is visible; when viewing the Rate Details tab for AAA (the rate code that is dynamically based off of RACK) the normal static rate code Rate Details screen is visible, and not the Daily Rate Code rate details screen.

When the Rates>Base Rates application function as well as the Rates>Dynamic Base Rates application function is active, a Dynamic Base Rate rate code can be based on a rate code that is itself a Dependent Rate rate code. For example, assume a rate code RACK (Amount = 100 for 1 adult); rate code CORP is a Base Rate rate code based on RACK (Amount = -10%). Rate code ABC is then configured as a Dynamic Base Rate which is based on CORP (with flat Amount = -5.00). Rate queries would show RACK = 100, CORP = 90, and ABC = 85.

Revenue managers, or other users, do not have to make any rate calculations themselves when Dynamic Base Rates are configured. When they change the amount of a rate code, there is no need to change dependent rates or make other changes.

For properties with a more complex rate structure, Dynamic Base Rates can be used with both regular static rates and the calculated dynamic based rate amounts simultaneously. The Compare with Rate Details check box can be selected on the Rate Setup screen More tab. When this check box is selected, the system compares the static rates in the Rate Detail tab and the rates as calculated by the Dynamic Base Rate rate code calculations, conducts a comparison of the two rate amounts, and then displays the lowest rate per day during the availability search on the Availability screen.

For example, rate code AAA's rate details define the 1 Adult rate for room type DLX to be 100. Rate code BBB is dynamically based off of rate code AAA with a - 25 flat discount, and the Compare with Rate Details check box is selected. Then, a rate detail amount of 300 for 1 Adult is set up for rate code BBB for room types DLX, SUP, and STD. When viewing a rate query for rate code BBB, room type DLX displays as $75 while room types SUP and STD display at $300. Rate code BBB's rate detail amounts are resulting from both the dynamic base rate calculations for some room types (i.e., DLX) and the defined rate details for rate code BBB for other room types (i.e., SUP and STD).

By not selecting the Compare with Rate Details check box, any rate amounts defined in the Rate Details tab will not be used when conducting the rate calculations based on the defined Dynamic Base Rate rate code.

With the Dynamic Base Rate functionality, you must enter at minimum a single rate detail. This will define the room types for which this dependent rate will be available for and also the 1 Adult rate amount will be used by GDS system for example in the event that the GDS is offline.

Application function Rates>Dynamic Base Rates must be active in order to display the Dynamic Base Rates section on the Rate Setup screen More tab.

Dynamic Base rates

Process Overview

To activate the Dynamic Base Rate functionality, the application function Rates>Dynamic Base Rates should be set to Y.
ORS Only - The CRO sets up and maintains individual properties (property-specific) in the ORS database.
PMS Only - The property sets up and maintains their own rates in their database.
PMS and ORS Combined - When PMS and ORS are in the same database, with the same OPERA version, the functionality affects both ORS and PMS. If a property sets up this functionality, it will be applied to ORS, and vice versa.
Note: It is recommended that you do not use BBAR, DBAR, Extended Stay Tiered Rates, or Rates by Defined Bucket functionality along with Dynamic Base Rates. It may affect the performance.
On the More tab Dynamic Base Rate section, use the Base Rate field drop down list to select the rate code you want to base rate off of (e.g., GWRACK).
Note: A rate code may not be selected as a BAR Based rate code or (in ORS) as a Dynamic BAR Based rate code and at the same time have a rate code configured in the Dynamic Base Rate Base Rate field.

Dynamic Base Rates is the same functionality as Base Rates, except that the rate details are not being stored. Instead, rates are dynamically calculated during availability searches, i.e., on-the-fly calculations. Another advantage to using Dynamic Base Rates is that the Rate Code LOV contains additional rate codes that are not available in the Base Rate Rate Code LOV, most importantly rate codes marked as Daily Rates. In order to see rate codes marked and configured as Daily Rates the application function Rates>Daily Rates must first be active.

Note: When the Rates>Prevailing Rate by LOS application function is set to Y, Prevailing Rates functionality is available. In this case, the rate code defined as the Prevailing Rate rate code is not available for selection as the base rate for Dynamic Base Rates.
Enter the amount you want changed/deducted from the Base Rate in the Dynamic Base Rate section Amount field (e.g., -10), based on a percentage or flat rate. A decimal amount can also be entered. Indicate whether it will be rounded or not. See a description of the Rounding fields above.

Leaving the Compare with Rate Details check box unmarked will mimic the rate calculation method identically to the Base Rate rate calculation. Assuming GWRACK is 100 for 01/01/10 for room type DLX, the rate code being configured will return the rate amount of 90.00 for DLX for 01/01/10. To be able to reach this 90.00 value, OPERA fetched the rate when it was requested, rather than search within the Rate Details for this rate code for the defined record. Again, with Dynamic Base Rates, the calculated rate details are not stored.

For those more complex rate management handling scenarios, the Compare with Rate Details check box can be selected. When this is done, the above Dynamic Base Rate calculation is conducted and then an additional step is taken. The system will compare the two rates and dynamically calculate the lowest rate for the day and display it during the availability search. Using the above example, the Dynamic Base Rate calculation returns the rate amount of 90.00 for room type DLX on 01/01/10. Now this rate code, because the Compare with Rate Detail check box is marked, will go to this Rate Code's Rate Detail tab and see what the rate amount for a DLX on 01/01/10 has been defined. Assuming this is 125.00, OPERA compares the 125.00 to the calculated value of 90.00 and would return the lower of the two values, 90.00, in the rate availability screens. Let's take another example where the Rate Detail tab shows a rate amount of 85.00. OPERA would compare the Dynamic Base Rate calculation returning a 90.00 and compare it against the 85.00, returning the lower of the two rates, 85.00, in the rate availability screens.

Should a property require such complex rate management control in their rate derivation, both Base Rates and Dynamic Base Rates can be defined for a single rate code. Let's take the following example to explore this configurable option. Assume the following:

Rate Code RACK

Rate Code AAA is a discounted rate code

Rate Code GWRACK with base and dynamic base rates defined

When viewing the Rate Code GWRACK, the rate code RACK is defined as its Base Rate Code and rate code AAA as its Dynamic Base Rate rate code within the More Tab. The Compare with Rate Details check box is marked.

When viewing the GWRACK Rate Detail tab will display a view only screen with its derived rate details coming from the Base Rate calculation.

The user then searches availability for rate code GWRACK's rate amount. OPERA will dynamically fetch the rate amount from the Dynamic Base Rate rate code, i.e., AAA, and return its value and perform the Dynamic Base Rate calculation, flat or percentage, with rounding. For this example, let's say this returned dynamic calculation returns a rate amount of 129.99. Because the Compare with Rate Details check box is marked, OPERA will then look at its stored Rate Detail values for the rate code and pull the corresponding rate amount for the room type for the date. In this example, the rate amounts seen in the Rate Details tab are computed from the rate calculation of the Base Rate calculation. For this example, we will assume this amount is 125.25. The 129.99 is compared to the 125.25, and the lower of the two amounts, 125.25 in this scenario, is then displayed within the availability screens.

Note: Once a base rate has been configured and you remove the base rate from the Base Rate field, you will receive the following warning, advising you that all related rate details will be removed: "Rate details will be deleted for the XXX rate code. Do you want to continue?" If you proceed, all rate details created from the base rate calculations are automatically removed.

Tiered Rates and Dynamic Base Rates

When the Dynamic Base Rate rate code is itself a tiered rate code (that is, when the Tiered check box is selected on the Rate Header tab), the Base Rate LOV displays only tiered rate codes for selection as the Base Rate. Assuming the Compare with Rate Detail check box is not selected, when the Dynamic Base Rate rate code is selected for a rate query, the rate display will apply the rate calculation to the base rate for the appropriate length of stay. For example, ETIER1 is a Tiered Rate rate code with the following LOS tiers:

LOS Tier	Rate
Tier 1 (1 night)	200
Tier 2 (2-3 nights)	150
Tier 3 (4-5 nights)	100
Tier 4 (6 or more nights)	50

If ETIER2 is a Dynamic Base Rate rate code, also a Tiered Rate rate code that is based off of ETIER1, and ETIER2's rate calculation is -25 flat off of the ETIER1 rate, the following rates would apply depending on the length of stay:

LOS Tier	Rate
Tier 1 (1 night)	175
Tier 2 (2-3 nights)	125
Tier 3 (4-5 nights)	75
Tier 4 (6 or more nights)	25