Overview
When the Base Rates function is active, the pricing schedule for a rate code can be derived from another (master) rate code, called the Base Rate. The rate code that derives its pricing schedule from the base rate is called the dependent or derived rate and is indicated as a dependent rate in the rate code configuration.
For example, you could consider the RACK rate as a Base Rate and configure derived rates based on the pricing schedule of RACK (such as 10% less than the rack rate).
Up to 75 dependent rate codes can be derived from a given base rate code.
When you select a Base Rate code from the Base Rate list of values, the pricing schedule auto-populates for the current rate code (making the current rate code a dependent rate code). Any changes to the pricing schedule in the base rate automatically affect the pricing schedule in all derived rate codes.
The Amount and Rounding fields enable you to vary the pricing schedule for the derived rate code by a flat or percentage amount increase or reduction on the base rate. When a rate code is based on another rate, its pricing schedule is restricted from update because the Base Rate automatically controls it. This feature is useful when you have negotiated rates with a certain percentage off the property's RACK rate code. If you have multiple negotiated rates, all with different percentages of RACK, it is easy to manage rate changes. When the RACK pricing schedule changes, the pricing schedule of rates based on it automatically update.
Note:
Dependent rate codes can have packages added to their rate header, but not to their pricing schedule. For example, if Rate Code B is a derived rate code based on Rate Code A, packages can be added to Rate Code B's rate header, but not to its pricing schedule.
Base Rate Extra Person Calculation
Base rate calculations are applied to extra adult and child rate amounts when the Base Rate Extra Person Calculation parameter is On in the Rate Management group in OPERA Controls. When the parameter is Off, the extra adult or child amount is not discounted by the amount set on the derived rate code. All amounts are calculated based on the status of the parameter at the time the rate is created or updated. Changes to the parameter affect all pricing schedules created from that point forward (previously created pricing schedules are not dynamically updated when changing the parameter. When an existing rate is modified, the status of the parameter is checked and the rate amounts are calculated and updated accordingly.
Example 12-3 Example 1: Base Rate Extra Person Calculation parameter is Off
Table 12-6 Initial Base Rate Pricing
| Number of Persons | Amount |
|---|---|
|
1 Adult |
100 |
|
2 Adults |
200 |
|
Extra Adult |
50 |
Table 12-7 Derived Rate Pricing Results
| Number of Persons | Base Rate Amount | Base Rate Calculation | Derived Rate Amount | Derived Rate Calculation |
|---|---|---|---|---|
|
1 Adult |
100 |
100 |
75 |
100–25 |
|
2 Adults |
200 |
200 |
150 |
200–50 |
|
3 Adults |
250 |
200 + 1 Extra Adult @ 50 |
200 |
150 + 1 Extra Adult @ 50* |
|
4 Adults |
300 |
200 + 2 Extra Adults @ 50 |
250 |
150 + 2 Extra Adults @ 50* |
|
5 Adults |
350 |
200 + 3 Extra Adults @ 50 |
300 |
150 + 3 Extra Adults @ 50* |
Note:
The Extra Adult amount is not discounted when the Base Rate Extra Person Calculation parameter is Off.
Example 12-4 Example 2: Base Rate Extra Person Calculation parameter is On
Table 12-8 Derived Rate Pricing Results
| Number of Persons | Derived Rate Amount | Derived Rate Calculation |
|---|---|---|
|
1 Adult |
75 |
100 -25 |
|
2 Adults |
150 |
200 -50 |
|
3 Adults |
187.50 |
250 -62.50* |
|
4 Adults |
225 |
300 -75* |
|
5 Adults |
262.50 |
350 -87.50* |
Note:
When the Base Rate Extra Person Calculation parameter is On, the rate amount equals the calculated Rate Code A (Base Rate) amount minus the 25% Derived Rate discount.
Parent topic: About Rate Codes