Room costs

Overview

Room Costs allow agencies to set and calculate the cost price of hotel rooms over specific periods. Costs can be defined either per room or per passenger, ensuring flexibility in managing different room configurations and pricing models.

Purpose

• Enable entry of cost prices per room for defined time periods.

• Support two pricing methods: per room and per passenger.

• Accurately calculate total passenger costs, including extra charges.

• Ensure transparent and fair cost allocation across bookings.

Cost Price Types

1. Per Room – A fixed price for the entire room, divided among all passengers staying in that room.

2. Per Passenger – A cost applied individually to each passenger, multiplied by the length of the stay.

Extra Prices

In addition to room costs, extra prices can be applied:

• Per Passenger per Night – Extra cost added to each passenger’s price per night of the stay.

• Per Room – Extra cost applied per room, distributed equally among all passengers in the room.

Example:

Let’s consider Room A, a room with 2 ordinary beds and 2 extra beds, and Room B a room with 3 ordinary beds.

Start period	End period	Room type	Price	Per passenger
01/01/2011	31/01/2011	//Room A//	200	True
01/01/2011	31/01/2011	//Room B//	500	False

For a certain booking, we are interested in the cost price for each passenger. Taking the example given above, let’s suppose we have a booking for which the transport arrives at the destination in January 2011. The booking has 7 passengers with 4 passengers (Passenger1 and Passenger2, Passenger3, Passenger4) in Room A and 3 passengers (Passenger5, Passenger6, Passenger7) in Room B. Let’s also suppose that the trip’s length is 7 days (for the next 2 sections, we will consider this example as a default one)

The cost price will be calculated for each day of the period, like this:

• for each of the 4 passengers from Room A: cost price = cost price * trip length// = 200 x 7 = 1400

• for each of the 3 passengers from Room B: cost price = (cost price * trip length) / passengers number = (500 x 7) / 3 = 1167 (Per passenger is set to false; as we are interested in the cost price for one passenger, we divide the cost price by the number of passengers from the room)

From this section there will also be established the extra prices. There will be 2 types of extra prices:

• Per passenger per night

• Per room

Let’s suppose we have these values inserted:

Start age	End age	Extra price/night/passenger	Extra price/room
0	50	100	12

If Passenger1’s age is between 0 and 50 years

• Extra price per night per passenger = extra price x trip length = 100 x 7 = 700. There is one Room A booked for this trip. The value for the second extra price would be calculated like this:

• Extra price per room for one passenger = (extra room price x booked rooms number) / passengers number from the booked room

For Passenger1 that stays in Room A, the value would be

• Extra price per room for one passenger = (12 x 1)/4 = 3

The total cost price for Passenger1 (and also for the other passengers from Room A) is obtained by adding all these 3 prices:

• Total cost for Passenger1 = 1400 + 700 + 7 = 2107

The conclusion would be that for each passenger the cost price is calculated like this:

• Total cost price = cost price + extra price per night per passenger + extra price per room for one passenger