REVinsight

A pricing strategy whereby prices are set strategically in relation to those of the
competition.

A pricing method whereby prices are set according to how much the product
costs the seller, rather than according to demand or in relation to those of the
competition.

Pricing which is sensitive to demand patterns at the hotel—specifically to hot,
warm, and cold periods.

Any one of the channels through which a consumer can purchase a room at a
hotel: by phoning the hotel, through an online intermediary, through the hotel
Web site, through a travel agency, etc.

The general perception that customers are entitled to a reasonable price and that
firms are entitled to a reasonable profit.

Demand that changes when prices are changed.

Demand that remains constant regardless of changes in price.

Pricing by menu guide involves presenting consumers with a menu of rates, then
asking them to choose the rate that applies to them.

A model of pricing where prices are varied methodically in order to increase demand.

The degree to which a price, restriction, or rate fence is perceived as fair by the public.

Strategies for setting prices in relation to those of the competition,
including skim, match, undercut, surround, and penetrate.

The degree to which demand can be affected by changes in price.