Sales, Marketing & Distribution Flashcards
6 cards from real CHA practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 6 Sales, Marketing & Distribution flashcards as text
When a hotel's revenue manager applies overbooking as a strategy, the primary objective is to:
Answer: Accept more reservations than available rooms to offset predicted no-shows and cancellations and achieve full occupancy
Strategic overbooking offsets predictable no-shows and cancellations, enabling the hotel to achieve target occupancy rather than operating with empty rooms.
A hotel's meeting planner satisfaction score is MOST critical for growing which revenue segment?
Answer: Group and meeting business which drives room block, food and beverage, and ancillary revenue
Meeting planners are gatekeepers for group and meeting business — high satisfaction scores generate repeat business, referrals, and positive RFP responses.
In hotel distribution, the billboard effect refers to:
Answer: The phenomenon where listing on OTAs drives incremental direct bookings on the hotel's own website
The billboard effect documents that OTA exposure drives travelers to the hotel's direct site for price comparison and direct booking, generating incremental direct revenue.
A hotel's revenue management system generates a recommended room rate significantly higher than the GM's intuition. The BEST action is to:
Answer: Review the RMS's underlying demand forecast and assumptions, and adjust only if specific market knowledge contradicts the data
RMS recommendations should be followed by default but reviewed against specific local intelligence — a hybrid approach that combines data-driven analysis with market expertise.
Which marketing metric BEST measures the long-term value of a hotel's loyalty program membership?
Answer: Customer lifetime value of loyalty members versus non-members
Customer lifetime value measures the total revenue a loyalty member generates over their entire relationship with the hotel brand — the ultimate measure of program financial impact.
A hotel is evaluating whether to list on a new OTA offering lower commission rates but significantly less traffic volume. The decision framework should consider:
Answer: Incremental net revenue: new bookings multiplied by net revenue per booking after commission versus the cost of integration and management
OTA evaluation must be based on incremental net revenue — not commission rate alone. A low-commission OTA delivering few bookings may generate less total net revenue than a higher-commission, high-volume OTA.