What is the definition of Allotment in the hospitality industry?
The word Allotment is used in the Hotel industry to assign a certain block of pre-negotiated rooms which have been bought out and seized by a third party (such as a travel organizer, wholesaler, tour operator, hotel consolidator, travel mediator, OTA).
Allotments can be constricted with a tour operative or an OTA for a precise period of time such as a whole period; part of a season or for any single dates and then resold to travel partners and final consumers around the world. A couple of days prior to guest appearance any unsold rooms may be on the loose back to the dealer if such a contract exists between the two parties. An allotment release back period is also negotiated as part of the allotment contract (e.g. four days prior to arrival). This frame of time is called release period or cutoff date.
Allotments can be lithely managed via an extranet or channel administrator.