About Hurdle Rates
Revenue Management (yield) solutions calculate the actual hurdle rates which OPERA Cloud compares against. The revenue management software receives data from OPERA Cloud and evaluates the changes that have occurred in OPERA Cloud. Based on these changes as well as historical data, the revenue management solution determines hurdle rates, which are updated in OPERA Cloud; these hurdle rates are used to determine the rate code/room type availability at the time of making a reservation.
Hurdle Rates represent the monetary hurdle value calculated by the revenue management solution after considering the information received from OPERA Cloud. This is the value that must be reached for OPERA Cloud to display a rate code/room type on the rate grid. Hurdle rates are sometimes referred to as bid prices or opportunity costs. All values will be in your property’s base currency.
Parent topic: Rate Management