What is the meaning / definition of MaxLOS – Maximum Length of Stay in Hotels in the hospitality industry?
At a hotel, sometimes the number of nights an individual guest, couple or family can stay has to be limited, even if the hotel is intensely focused upon maximising revenue! This can apply to a group booking, too, particularly if arrival is planned for a certain date and where a group booking discount has been offered and availed of.
The hotel’s revenue management team, in conjunction with the overall hotel manager, will assess the situation and possibly impose a booking limitation, after considering how many rooms could be sold to other customers at higher rates. Imposing this restraint is done by using a controlling tool called Maximum Length of Stay or MaxLOS. This is orginally from airlines, and is not so much used in hotels.
City hotels are using it currently to avoid long-stay ‘ghost’ reservations which are used for obtaining a Visa. Such reservations are cancelled late or no-show, but as a ghost credit card is use, the hotel cannot charge a penalty fee. Hotel protect themselves from these types of bookings by use the MaxLos yield restriction.
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