When is a confirmed hotel reservation not confirmed? (part 1)When the hotel has sold your room to ‘someone else’, as Linda and Michael Morgan found out in 2010. The hotel, in this case, was the Waldorf-Astoria in Manhattan and the "someone else" was a contingent of Saudi princes and officials who accompanied the 86 year old King Abdullah of Saudi Arabia who suddenly was in town for surgery. The Morgan’s had planned for a festive family gathering in New York, making their reservations in July for four rooms, including three suites, starting two days before Thanksgiving -which fell on 24th November. Mrs. Morgan, who lives in Seattle, said that she and her husband learned only by chance that the rooms were not available when her husband called to make a last-minute change. "If he had not called, we would have all shown up at the Waldorf and effectively gotten kicked out," she said. Reluctantly, the Morgans accepted the Waldorf's offer of alternate accommodations, including a free night's stay, at the nearby Hilton New York.
‘Walking’ the guest
In New York, famous hotels like the Waldorf are always heavily booked during holidays. Given a sudden demand for rooms from prominent customers like a valued foreign delegation, a hotel like the Waldorf can face a tough choice: accommodate individual guests who may have booked at discount rates that were widely available 4-5 months earlier, (as the Morgans did), or accommodate the last-minute, high-yield group that will pay a premium which, in the case of the Waldorf, can account for an estimated $80,000 to $100,000 in additional daily revenue. The practice of providing alternative accommodations when a hotel is overbooked is called ‘walking’ in the hotel industry. Popular hotels often overbook, on the assumption that a certain number of reservations will be canceled at the last minute, or result in some ‘no shows’. Research by TripAdvisor indicates that 30 percent of travelers have been bumped from a hotel at some point, despite having confirmed reservations. This practice is here to stay and the best advice is to routinely call a hotel in cities that are popular tourist destinations, before you arrive, especially during peak seasons, just to double-check that your room reservation is safe.
Be aware of your rights
While on Holiday, a bad hotel room or negative impression can really spoil the experience. So, before you check-in, it’s important to be aware of your rights as a paying customer. Most often than not, hotels tell their guests what not to do or dictate the rules and regulations the hotel guests is expected to follow. These are stated either in the Guest Registration card or in the Guest Services Directory found in the room, or in both. Seldom is the guest told of his or her rights! Whilst the answers to your questions may vary depending on the circumstances, given below are some of the most common hotel questions and their answers:
The difference between a guaranteed reservation and a confirmed reservation:
A guaranteed reservation is one where you have paid for your reservation in advance and the hotel must hold the room for you under any circumstance, unless you cancel the booking. Remember that a guaranteed reservation is also a confirmed reservation. However, a confirmed reservation may not necessarily be guaranteed owing to various conditions. A confirmed reservation means that you have not yet paid, but the hotel agrees to hold the room for you based on some condition. For example, in a typical confirmed reservation, the hotel may agree to ‘hold the room for you until 6.00 p.m.’on a specific day. If you show up before 6.00 p.m. then the hotel must give you a room, but if you fail to meet a condition, then the hotel is not obliged to give you a room. Another condition is where the hotel agrees to hold your reservation for x number of days, during which period, the hotel expects an advance payment to ensure that your reservation is secure. The required advance payment may be a specified amount or a percentage of the room rate. Some hotels request full payment upfront to guarantee your room, i.e. the full room rate. For example if the room rate is $100 per night, and, you plan to spend one night on a specified day, at the hotel, you may be asked to pay $100 in advance. Should you fail to arrive on that specific day you are considered a ‘no show’ and forfeit the advance payment. Let’s say you wish to stay four consecutive nights in this hotel. You may then be asked to pay $400 in advance to cover your full stay and be guaranteed of your room. Another hotel may treat your reservation for the four nights stay differently by requesting that you pay an advance for the first night’s stay only. I.e. pay $100 in advance to receive a guaranteed booking for your intended four nights stay.
Why do hotels have different rates for the same room type for the same specific dates?
Some hotels have dual rates for the same room type for the same specific day/s. In both instances an advance payment is called for to guarantee the reservation. Room rate A is for a booking where the advance payment is refunded in the event of a timely cancellation. Room rate B, which is less than rate A, is also for a guaranteed booking but in the event of a cancellation or an unforeseen shortened stay, there will be no refund whatsoever. For example, Thistle Hotels, UK indicate two types of rates on their website. A “Flexible Rate” - These are cancellable without charge up to 2.00 p.m. local time on the day of arrival. Cancellation and non-arrival charges apply after the relevant time and will be charged to the credit/debit card supplied at the time of booking. The hotel reserves the right to charge for one night’s accommodation per room booked if the above cancellation requirements are not met. For rates marked “Advance Saver” – the hotel will require full prepayment for the entire stay at the time of the Booking and this is non-refundable and the Booking non-changeable. Prepayment is charged to the credit/debit card supplied at the time of the Booking. Cancellation or non-arrival will result in the forfeiture of the prepayment.
To be continued. |
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