WHAT IS A CONTRACTED VS. COURTESY BOOK? PROS and CONS?

CONTRACTED BLOCK

A block of rooms with guaranteed availability and set pricing.

The hotel will set aside rooms specifically for your group. Your group will be required to book a percentage of rooms, also known as a hotel attrition rate (typically 80-90%).

For example: If you contracted for 20 rooms x 2 nights, and the attrition clause’s rate is 80%, then your group would be responsible for filling a total of 32 room nights.

If those 32 rooms aren’t filled, you may be charged for those un-booked room nights in your block. This is at the discretion of the hotel.

Payment: Guests pay the hotel directly. You will only be charged for un-booked rooms based on your contracted attrition rate.

Pros: Rooms are guaranteed for your group and can’t be given away to others outside of your group. Hotels can offer upgrades and special promotions for guaranteed room blocks. These blocks are great for large groups, high- demand destinations and high-demand dates.

These blocks are great for large groups, high-demand destinations and high-demand dates.

Cons: You are obligated to fill a percentage of the rooms. When setting up a Guaranteed Block, the hotel will require you to sign a contract and provide a credit card to which any un-booked rooms will be charged.

COURTESY BLOCK

A block of rooms with a discounted rate, available for your group but NOT guaranteed

Your group can book until the cut-off date if the hotel has rooms without financial obligation for you

Payment: Guests pay the hotel directly.

Pros: A courtesy block hotel offers no financial obligation, which helps if you don’t have as many bookings as you expected. In other words, you won’t have to pay for those un- booked rooms yourself. Courtesy room blocks are particularly popular for weddings.

Cons: Rooms are not guaranteed. The hotel can sell out and/or offer them to another group, especially during peak wedding and event dates.

Often hotels do not offer courtesy blocks.

When setting up a Courtesy Block, you will still be required to sign a contract that will outline the quantity, dates, room type and rate being held for your group, but you will not be asked for a credit card as you are under no financial obligation with this type of block.