Are you already partner with booking channels such as Booking and Expedia? Then you might have come across the term derived pricing. Derived prices are rates that are dependent on other rates. The idea behind derived prices is that you, as a hotelier, need to manage less individual rates. A good example for commonly used derived prices are non-refundable rates or rates based on occupancies.

Let's say you have a double room that you offer for €100,- a night. You might want to give a 5% discount for corporate guests who stay alone. Instead of having to manage both rates independently, derived pricing enables you to make the single use rate dependent on the standard rate. If you decide to increase your standard rate due to an event in your city, the single use rate will adjust itself accordingly. 



RoomRaccoon & Derived Pricing

Set up derived prices in RoomRaccoon and we will make sure to connect the correct price types to your booking channels. Here are the steps:

Go to your room types in your property settings (key-icon) 
Here you will find an add button that will make sure the newly created rate is added to the belonging room type automatically
Give your rate a recognisable name such as '_2 guests - non refundable_'. The name will show on the booking confirmation to your guests as well as on your agenda.
Now you can make it depended on one of the other rates connected to the same room type.
Choose if you want a % or a fixed price.
If you want to add an extra fee, just fill in the amount ( 5 )
if you want to give a discount, fill in the amount with a minus sign ( -5 )
Get in contact with us to connect your new rates.

Booking Channels & Derived Pricing

Even though you might have used derived pricing already on booking channels, you actually need to disable this feature before we can connect your RoomRaccoon channel manager. The reason for this is that we need independent rates to actually '_see_' them and be able to connect them properly. If you make a rate type derived on booking channels, they actually take one of RoomRaccoon's standard rates and add a discount to it, but keep in mind that the standard rate is still connected. Confusing? Yes, for RoomRaccoon as well... that is why you should always make a new rate category also on your booking channels. Call us for help if needed. 

No worries, if you have set up derived pricing in RoomRaccoon, the way of managing your rates actually does not change at all. It simply shifts from Booking.com (or any other channel) to RoomRaccoon. This also has a big + to it as you do not only offer the derived discount on a booking channel, but on your own Booking Engine as well. Keep in mind, direct bookings should always be the best deal for your guests, right?

Ok, but what needs to be done?

So what do you need to do? If you want to offer a non-refundable rate on Booking.com, make sure that you create a new rate category in Booking.com that is called 'non-refundable'. We then can connect it to the non-refundable that you have created in your RoomRaccoon account.



Apples with apples

Let's give as an example a basket filled with fruit. Think of a connection to a booking channel in the way that you have two baskets full of fruit. 

On the one hand (RoomRaccoon), you hold a basket with a banana, an apple and a pear. You want to connect this to your basket that you hold in your right hand (booking channels) also filled with fruit. Now you want to make sure to connect the apple to an apple, the banana to a banana and the pear to a pear. Connecting the banana to a peach is confusing, right?
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