Glossary
Event sales glossary for hotels and venues
The terms hotel and venue sales teams use with planners and with each other, each explained in a few sentences. Where AirPlate AI has a live feature for a term, the entry links to it.
A to Z
The terms
Attrition
Attrition is the gap between the rooms or covers a group contracted and the number it actually uses. A group contract often lets part of the block go without charge and sets a fee for any shortfall beyond it. The terms are agreed contract by contract.
Banquet event order (BEO)
A banquet event order (BEO) is the internal sheet that tells each department what to deliver for one event: the room and its set-up, times, menus, drinks, equipment and the guest count. The events team issues it before the event and revises it when the details change.
Cancellation tiers
Cancellation tiers set the fee a client owes for cancelling, by how much notice it gives. Each tier names a number of days before the event and a fee as a percentage of the booking. The nearer the event, the higher the fee.
Cut-off date
The cut-off date is the day unbooked rooms in a group's room block go back on general sale. Before it, attendees book from the block at the group rate. After it, the hotel may still accept bookings, subject to availability and rate.
Day delegate rate (DDR)
A day delegate rate (DDR) is a price per attendee for a day meeting. It usually bundles the meeting room, refreshment breaks, lunch and basic equipment. Venues often quote it beside a residential rate that adds an overnight stay.
Deposit
A deposit is the part of the event price the client pays in advance to confirm the booking. The contract sets its amount, often a percentage of the total, its due date and what happens to it if the client cancels.
Displacement
Displacement is the revenue a hotel gives up when it accepts a group: the individual rooms, meetings or events the same dates and spaces could have sold otherwise. Revenue teams weigh it against the group's total value before they accept.
F&B minimum
A food and beverage (F&B) minimum is the lowest amount a group agrees to spend on catering. If the actual spend is lower, the group usually pays the difference. Venues use it instead of, or beside, a room-hire charge.
First and second option
A first option is a provisional hold on a date and space for the client who asked first. A second option puts another client next in line: if the first client releases the hold or does not confirm by the option date, the space is offered to the second. Neither option is a booking.
Pickup
Pickup is the number of rooms in a block that have actually been booked, often tracked night by night. Comparing pickup with the block before the cut-off date shows whether the group will reach its contracted numbers.
Request for proposal (RFP)
A request for proposal (RFP) is a planner's request for a priced offer: dates, guest count, event type, rooms, catering and often a budget. Several venues often receive the same RFP, so the reply competes with others.
Room block
A room block is a set of bedrooms a hotel holds for a group on given nights, at an agreed rate. Attendees or the organiser book from it until the cut-off date. The contract sets what happens to rooms the group does not use.
Tentative and definite
A tentative booking is held but not confirmed: the space or rooms are pencilled in while the client decides. A definite booking is confirmed, usually by a signed contract and often a deposit. Property management systems such as Apaleo keep both states (the AirPlate AI connection to Apaleo is in certification).
Wash
Wash is the part of a room block that is released or never used between the contract and arrival. Hotels and planners estimate it from past events and size the block to allow for it, so that attrition fees are not triggered.