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Introduction to Reservation

Updated: Feb 12

Reservations are the most reliable revenue stream for many hotels, and they affect everything from cash flow projections to staffing. Ensuring that guests get the accommodations when they expect them is the easiest way for a hotel to reduce complaints and increase guest satisfaction.

Types of Reservation

There are two types of reservation and they are:

  1. Guaranteed reservation In this guest confirms the booking by paying a conformational charge and on another hand hotel also hold the room request until specific due dates and time of arrival. It protects hotel revenue in case of no-show until cancellation is done as per hotel rules.

  2. Non –guaranteed reservation A conditional reservation or simple agreement between guest and the hotel in which hotel agrees to hold the room until 6 pm on the date of arrival. If the guest fails to attain within cancellation hours, the room will be released for resale.

Sources of Reservation

The most common sources of reservation are as follows:

1. Travel agent

Travel agent acts as a middleman between guest and hotel by making a reservation for a guest. A travel agent may make a reservation for FITs (Free individual travellers) or chance guests.

2. Companies/corporate houses

The companies may book rooms or other services for their visitors, executives, delegators or clients in a hotel at special rates.

3. Airlines

Different airlines book hotel rooms for their regular crew members or for their clients in case of cancellation of their onward flights and also for the use of their executives.

4. Embassies/consulates

They provide large business in capital cities for their visiting dignitaries, executive, officers etc


These group book hotel rooms directly for conducting seminars, research, training programmes etc.

6. Government Office and Ministries

The can be a good source of reservation of rooms for several visiting dignitaries, executive, officers from different countries to participate conference and seminars conducted and hosted by government officials.

7. Personal approach

The may directly give their reservation to the hotel. They are also termed as FITs (Free individual travellers) or chance guest. Those guest are also termed as walk-in guests.

Modes of Reservation

The reservation may come from the guest directly through the different organization but the medium through which the reservation requests reach the hotel are also different and they are as follows:

1. Letter

A return request for the room, reservation is sent directly to hotel reservation section through the post office, hand delivery or by courier.

2. Telephone

Today’s most common system is a telephonic reservation. These are a faster way of getting confirmation and are handled directly by reservation staff. Guest can directly reserve hotel rooms through the telephone.

3. FAX (Far access Xerox)

The most common and cheapest modes of reservation in which written statement and graphics are transmitted over telephone lines.

4. CRS (central reservation system)

Many hotels have their own CRS network which allows direct reservation access to a travel agent, clients through their own network.

5. In person

A person can directly arrive at the hotel to seek reservation which is usually low in practice.

6. E-mail/internet

Due to fast advancement and development of internet all over the world, today most of the hotel allows reservation online on the internet through their websites. Even reservation sent on e-mail is accepted.


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