Base Rates

Prerequisites for Base Rates

Overview

When the Base Rates OPERA Control is active, the pricing schedule for a rate code can be derived from another (primary) 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. Up to 75 derived rates codes can be configured for a base rate. For example, if the "RACK" rate code is a primary base rate code, secondary rate codes "CORP1" through "CORP75" can be derived from RACK. 

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 master base rate automatically affect the pricing schedule in all derived rate codes. Up to 75 rate codes can be derived from a base rate code.

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 (primary) rate code pricing schedule changes, the pricing schedule of all derived rate codes are automatically updated.

Note:

Derived rate codes can have packages added to the rate, but not to their pricing schedule.

Note:

Derived rate codes cannot be based off a Daily Rate rate code.

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 13-1 Example 1: Base Rate Extra Person Calculation parameter is Off

Table 13-9 Initial Base Rate Pricing

Number of Persons	Amount
1 Adult	100
2 Adults	200
Extra Adult	50

Table 13-10 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 13-2 Example 2: Base Rate Extra Person Calculation parameter is On

Table 13-11 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.