About Tiered Rate Codes

Prerequisites for Rate Tiers

Tiered Rates allows you to setup pricing schedules by length of stay. The extended-stay concept of rate tiers is usually "the longer the guest stays, the lower the rate the guest pays". For example: a reservation with a stay within Tier 1 (1 -5 nights) would pay a rate of $180 per night; whereas a reservation that extends into the second stay tier (6-15 nights) would pay a rate of $160 per night, commencing from the first night of the stay.

Between 2 and 5 rate tiers can be configured for your property in Rate Management OPERA Controls. As the tiers are configured, the next tier set automatically defaults to the start day of +1 from the end day of the last tier. For example, if tier 1 is configured from 1 -5 days. Tier 2 automatically starts from day 6 by default and you cannot edit it unless the first tier end date is altered.

You can manage rate restrictions of tiered rates by placing a Min. Stay Through restriction or a Max Stay Through restriction at the rate code level. Any restriction placed at the rate code level is applicable to all pricing schedules, and thus tiers within that rate code. For example: If Tier 1 equals 1-5 nights, and a 3-night Min. Stay Through restriction is set at the rate code level, OPERA Cloud does not allow you to sell one-night stays and two-night stays for that rate code but will allow you to sell three-night stays and greater for that rate code.

When a tiered rate is sold in a Block allocation, OPERA Cloud uses the lowest tier for revenue forecasting.

Configuring Tiered Rates

To configure a tiered rate code, select the Tiered Rates check box on the Rate Code Type panel.

Note:

OPERA Cloud prevents you from changing an existing standard rate to a tiered rate. Therefore, all rates that have at least one standard pricing schedule configured will cause the Tiered Rates check box to be disabled for update.

Base Rate fields (available when Base Rate OPERA Control is active) are removed when a rate code is indicated as a Tiered Rate.

The configured tiers are displayed in the Pricing Schedules panel. For example, if 2 stay tiers are configured, only 2 tiers are visible in the Pricing Schedules panel. You can add the tier pricing schedules either by date ranges or seasons.

Note:

The Market, Source and Package fields do not appear on the Pricing Schedules panel; this is to ensure that the compiling of statistics and posting of package allowances is correct and does not cause imbalances.

For more information, see Configuring Rate Codes.