ROLE OF RESERVATION DEPARTMENT

INTRODUCTION
Reservation is defined as holding of a specific type of guest room, for a specific guest, for a specific
amount of time. People are travelling to different cities in greater numbers as a result of Globalization,
advancement in transportation and increase in disposable income. This increase in traveler traffic has
resulted in an increase in demand for tourist accommodation at a variety of destinations. They make
advance reservations in hotel and other types of accommodation to ensure a safe and secure place to
stay during a visit to another town. All hotels accept advance bookings of their room to achieve high
occupancy and to maximize their revenue. Hotels accepts reservation for their rooms and suites only
after considering a number of variables including room availability, sales forecast, room rates, profile
of guest and relevance to hotel. Only by mutual agreement can either the hotel or the guest change or
cancel the reservation. If a guest fails to notify the hotel of a cancellation, the hotel has the right to
penalize the guest for lost revenue or keep any deposit paid. Alternatively, if a hotel cancels a
reservation without prior warning to the guest, the hotel must provide identical lodging at another hotel
and pay for any discrepancies in room rates and additional expenses the guest may have to lay on
self. The reservation made by guest could be tentative, confirmed or waitlisted.

The reservation section of a hotel's front office department is in

charge of recurring and processing reservation inquiries. The role of reservation department is not
limited to making a reservation. It maintains record of the hotel occupancy, which helps in planning
sales and marketing strategies etc. They are salesperson of the hotel and practice their skills of
salesmanship by suggesting higher room categories and also selling other hotel services such as spa
or specialty restaurant to guest at the time of receiving the reservation request. The reservation
section generates the maximum revenue for the hotel. The placement of the reservation section is
determined by the hotel's size and volume of business. In small hotels, the front desk serves as the
reservation section, however in large hotels, a distinct part is necessary, which is usually located right
behind the reception counter.

Managing reservation: Accepting Reservation of Accommodation - If the specified type of

accommodation is available for sale in the hotel, the reservation will be accepted. If it is not available
during peak season or if the guest needs immediate assistance, the staff member recommends a
nearly identical alternative lodging by describing its amenities and services.

Denying Reservation of Accommodation - Failure of a reservation directly results in a loss of revenue.

However, there are times when the reservation staff declines the booking for the guests or
representatives. The following are possible reasons for denying a reservation: all accommodation in
the hotel is reserved, desired type of accommodation is not available.

Cancelling a Reservation of Accommodation - It is just another instance in which the hotel loses a
guest. Despite the fact that there is an obvious drop in sales, the front office personnel must respond
politely and gracefully to it. The team member must also inform the guest of any cancellation fees that
must be paid when cancelling the reservation.

Modes and sources of reservation are the primary requirement for functioning of any room reservation
section of a hotel. Mode of reservation is the method used to process the reservation. Source of
reservation is the channel through which the department receives the reservation. Modes of
reservation – there are two major modes of reservation written and verbal. They are further sub
classified into various types. Written Mode: written modes of reservation are those where written
communication is the mode of getting the room reservation done. It includes Email, text messaging,
letter, fax. Verbal Mode: verbal mode of communication is those where verbal communication is mode
of getting the room reservation done. It includes telephone, in-person. A hotel receives reservation
requests from different sources such as direct guests, central reservation or global distribution
system, travel agencies, and companies. Processing reservation request received from all means on
the hotel property management system (PMS).

There are various sources from whom the requests of reservation pour in – 1. Direct request from
guest: When it comes to single or family tourists, potential guests can approach the hotel separately
to make a reservation for lodging. 2. Request from travel agent: They contact the hotel to make
reservations for a group of visitors. 3. Request from corporate agent: A company might ask a hotel to
book rooms for its employees, clients, or visitors. 4. Request from airlines: The airlines can reserve
accommodations for their working staff for routine stay as well as in case of flight cancellations.5.
Request from institutions: Various SMERF or NGO institutions request to reserve hotels for sports
people, delegations of embassies, or performing-art program groups, workshop groups, and alike who
travel to different location. Activities associated with reservation process includes- conducting the
reservation inquiry, determining the room and rate availabilities, create the reservation record,
confirming the reservation record, maintaining the reservation record, researching, planning and
monitoring reservation. Process of reservation involves matching room requests with room
availabilities and rates, recording, confirming and maintaining reservation, finally producing
management reports.

Reservation with other departments -

For dinner reservations, tour and transport arrangements, and getting tickets for unique events in the
city, the reservation department works closely with the concierge. Sales department is a primary
source reservation for the hotel. (Group sales manager or representatives create group reservations
these are the most commonly corporations). The sales department is usually responsible for sales
with other markets as well as groups. The sale department may have a specialist assigned to
corporations for business traveler and travel agencies. Sales objectives and incentives including
promotions are tied to total revenue. Reservation and sales: the ability of reservation department to
sells room, maximize revenue, inventory control and improve guest satisfaction. Properties can more
accurately forecast and better react to business volumes with emphasis on sales and marketing
techniques. Gathering forecasted sales information and using it to determine pricing of rooms.

The hotel's reservation department is crucial for both the business and the guests. For the hotel, the
reservation department is critical to boosting the property's efficiency. The data generated during the
reservation process can be utilized to accelerate the facilitation of guest services and planning the
activities of the sales and marketing department. The reservation process is a vital importance to the
hotel as – it gives the first impression of the hotel to the guests, it sells the main product of a
hotel(accommodation), it generates customers for other departments, it provides important
management information to other departments. The reservation department improves the efficiency of
the hotel operations by providing services such as: updating the room availability record and thus
maximizing the revenue generated from room bookings; preparing the housekeeping and front desk
for arrivals planning by communicating the arrival details taken at the time of reservation; and
assisting in the planning of staff distribution at the front desk- the roster for the staff can be prepared
according to. It provides the reservation data to the finance department, which forecasts the volume of
business on the basis of confirmed reservations. The sales forecast is compared to the expenditure
budget (e.g., money available for staff wages and purchases) on the basis of which cost is cut on
materials, labor, and overheads. It generates customers for the hotel- first time customers as well as
repeat customers by handling reservation queries and request politely.

For the Guest: When visiting another city, a person prefers to acquire a room in a hotel of his or her
choosing ahead of time. This is to ensure that you have no trouble finding a suitable location to stay
once you arrive in the city. The following are the benefits of a confirmed reservation for the guest:
Assurance of lodging — the guest knows he or she will have a place to stay when they arrive at their
destination. Choice of accommodation- the guest can make a reservation based on his or her
preferences, such as the type of room or suite, floor preference, view, and personal preference.
Budget of the guest-hotels offer a choice of rooms at various prices; the guest can choose a room that
fits his or her budget.
CONCLUSION
The reservation department handles all hotel reservations, interacts with customers, and keeps track
of room and reservation status. For a hotel, reservation can enable a better management of guest
experience during usual as well as peak seasons. The reservation department's responsibilities do
not end with making a reservation. It keeps track of hotel occupancy, which aids in the development of
sales and marketing plans, among other things. It ensures room on arrival, other facilities – the guest
is ensured of certain facilities offered by hotel which can be confirmed by making the reservation e.g.,
iron and ironing board on loan basis, laundry service in hotel, Wi-Fi, tea and coffee maker, kids’ zone,
etc. A business traveler is also able to give the hotel address to his associates for any meetings,
correspondence transfer to and from the hotel. Reservation department generates the maximum
revenue for the hotel.

BIBLIOGRAPHY
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