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Cancel, rebook, save: Revenue leakage from price cuts in hotels

Martyna Kmiecik & Nuno António

International Journal of Hospitality Management2026https://doi.org/10.1016/j.ijhm.2026.104647article
AJG 3ABDC A*
Weight
0.50

Abstract

Rebooking—canceling a reservation and booking the same stay at a lower rate—creates revenue leakage for hotels, whether the savings go to guests or intermediaries. We analyze 2,223,024 reservations from 628 Portuguese properties (2022–2024) and match cancellations to near-immediate, lower-priced replacement bookings. Rebookings account for 0.94 % of reservations and generate €1,241,281.58 in gross revenue displacement (i.e., the difference between the original and replacement booking values). Rebooking is more frequent in urban markets but typically involves smaller per-stay losses. Losses vary by region, season, and accommodation type. We propose a measurement framework and recommend policies: guardrails on late price cuts, fenced discounts, parity audits, and rebooking risk flags in reservation systems. To our knowledge, this is the first large-scale multi-property estimate of within-property rebooking-related revenue displacement in hotels. Results extend empirical evidence on strategic consumer behavior under dynamic pricing and inform more robust monitoring and pricing safeguards in revenue management practice. • Large-scale, multi-hotel evidence of rebooking-driven revenue leakage. • 0.94 % of reservations yet €1.24 M loss across 628 Portuguese properties in 3 years. • Revenue leakage can be captured by guests or intermediaries. • Varies by region, season, property; urban more frequent, smaller loss. • Framework: rate, loss per stay. Actions: guardrails, fences, parity check.

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https://doi.org/https://doi.org/10.1016/j.ijhm.2026.104647

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@article{martyna2026,
  title        = {{Cancel, rebook, save: Revenue leakage from price cuts in hotels}},
  author       = {Martyna Kmiecik & Nuno António},
  journal      = {International Journal of Hospitality Management},
  year         = {2026},
  doi          = {https://doi.org/https://doi.org/10.1016/j.ijhm.2026.104647},
}

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Cancel, rebook, save: Revenue leakage from price cuts in hotels

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Evidence weight

0.50

Balanced mode · F 0.40 / M 0.15 / V 0.05 / R 0.40

F · citation impact0.50 × 0.4 = 0.20
M · momentum0.50 × 0.15 = 0.07
V · venue signal0.50 × 0.05 = 0.03
R · text relevance †0.50 × 0.4 = 0.20

† Text relevance is estimated at 0.50 on the detail page — for your query’s actual relevance score, open this paper from a search result.