What is the definition of Rate Hurdle in the hotel industry?
The phrase Rate Hurdle also recognized as Lose-It Rate refers to a kind of rate that sets a verge that must be crossed by the channel manager to book a room. It generally surrounds the case at which a hotel is enhanced off leaving the room empty than to sell it. Hotels usually do this in peak times in forward of reservations. The Hurdle Rate helps informing that rooms should be sold to whom, when and at what cost to attain utmost productivity for a hotel.
A hotel computes this rate if it plans on advertising the rooms independently or to a collection at a elevated rate closer to the date.