RoomTetris in room committing: why the role of minimum-length-of-stay requirements should be revisited

Abstract

Purpose This study aims to analyze how different room-committing practices affect the occupancy and profitability of hotels and it critically reviews the role of minimum-length-of-stay (MLOS) requirements given these findings. Design/methodology/approach The approach uses statistical analysis of simplified contexts to develop understanding, and simulations of more complex situations to confirm the relevance in realistic contexts. Findings The study demonstrates that proper solutions of the room-committing problem improve occupancy and profitability, in particular, for hotels working in high-season and high-occupancy situations. Smart committing algorithms diminish the role of MLOS requirements. More demand can be accepted without sacrificing late-arriving long reservations. Originality/value To the best of the authors’ knowledge, this work, building upon a previous one cited in this paper, is the first to rigorously study the room-committing problem and to demonstrate its relevance in practical situations and its implications on MLOS rules.