Jerielle Pelley is the front office manager at the 125‐room Best Stay Inn. Her general manager has asked her to prepare a net ADR yield report for the hotel's prior month room sales. The manager has asked Jerielle to address several specific issues in the summary she is to prepare. Using the information provided below, help Jerielle calculate the answers she needs to complete her report.

The reservation‐generation (sales) fees that must be paid by the hotel include the following:

Third‐party Internet sales fee per room

$28.00

Franchisor‐Delivered sales fee per room

 $8.00

Travel agent sales fee per room

$15.00

Based on those fees, calculate the net ADR yield percentages for the following distribution channels and then answer the questions that follow:

Distribution Channel

Room Rate ($)

Fees

Net ADR

Net ADR Yield

Third‐party Internet Sales

167.75

Franchisor‐Delivered Sales

165.7

Travel Agent Sales

151.50

Walk‐Ins

147.75

What is the net ADR yield on rooms delivered via the hotel's third‐party Internet partners?

What is the net ADR yield on rooms delivered via the hotel's franchisor?

What is the net ADR yield on rooms delivered via travel agents?

What is the net ADR yield on rooms sold to walk‐ins?"

Answer rating: 100% (QA)

To calculate the net ADR yield percentages for each distribution channel we need to subtract ... View the full answer