Hotel Revenue Glossary · Metrics
Denied Revenue
Revenue lost when a hotel cannot accommodate a potential guest because rooms are sold out, closed for sale, or restricted. Denied revenue captures the value of turned-away demand and is calculated by multiplying denied requests by the rate that would have been charged.
Why it matters: Denied revenue quantifies the opportunity cost of selling out too early or at rates that were too low. High denied revenue on a date indicates rates could have been higher, or restrictions could have been used to shift demand to shoulder dates.