Glossary / Pricing & strategy Beginner

Segmentation

Definition

The classification of bookings into categories based on guest type, source, or pricing tier. Common segments: transient retail (BAR), corporate (negotiated), groups (block bookings), MICE (events), wholesale (tour operators).

What it tells you

Segmentation reveals where revenue is coming from — not just the channel but the type of demand. Two hotels with similar revenue can have very different segment mix.

How to track it

PMS segments are configured at setup; review and refine quarterly. Hierarchical segments let you drill from category to source to specific deal.

Where it fits

Foundational to strategy. Different segments have different lead times, different ADR, different cancellation patterns. In the hotel data analytics guide segment mix is a core metric: averages lie, segmentation confesses. The free Academy teaches it step by step: Segmentation in depth.

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