A commercial case for hotel revenue teams
At midnight, unsold room revenue becomes £0. Before midnight, a late booking can still add contribution after the costs created by occupancy.
See the room maths ↓
The worked example
Based on published operating data from a real UK limited-service hotel, with an assumed channel charge.
Follow one £100 room
Commercial terms and each hotel’s cost base will differ.
Cleaning, linen, utilities, upkeep and other room operating costs.
Revenue that disappears if the room reaches midnight unsold.
Where the logic holds
Forty Eight is deliberately constrained so the discounted booking adds revenue rather than replacing demand the hotel could have captured normally.
Inventory appears only inside the final 48 hours before check-in.
You choose the rooms, timing, quantity and minimum acceptable price.
Your hotel can remain hidden until booking, reducing direct comparison with public rates.
Read the model correctly
A room can be sold far below its public rate and still make a positive contribution after the stay costs it creates.
Founding hotel partners