Dear WuBookers, when we say “no show,” what do you think of? Most likely, the first thing that comes to mind is a major hassle in terms of time and money, compounded by the difficulty of limiting the damage and maintaining the right approach to the situation. Let’s take a look at how to best handle these unfortunate incidents.

Hotel no-shows: what are they?

The term no-show refers to guests who fail to arrive at the hotel. A person has purchased a room but, on the scheduled day, does not show up to check in, without having canceled or modified the reservation beforehand.

The consequences for the property are varied: most likely, the room will remain unsold (at least for the first night), but the costs and staff required to prepare it have already been incurred. In addition, time and energy must be invested again to resell the room. If the no-show occurs during high season, the damage can be quite substantial.

Of course, cancellations can also be unpleasant to deal with, but they are often associated with policies that allow for the loss of revenue to be mitigated.

But why would a customer decide not to show up at the hotel despite having a confirmed reservation?

Factors that can affect no-shows

There can be many different reasons behind a no-show: it may be a personal emergency or an unexpected event that prevented guests from arriving on the scheduled day. Or it may be a last-minute change: especially in high season, travelers may book multiple options at once or continue to search, changing their plans as they go. Sometimes, more simply, they are reservation errors.

Not everyone is aware of what a no-show entails and adopts this behavior lightly. In reality, no-shows can have consequences not only for the hotel but also for customers, especially if the property takes appropriate measures to protect itself.

How to protect yourself from no-shows in hotels

Some countries have established specific regulations regarding no-shows. Italian law, for example, stipulates that if a person has booked a room and decides not to show up without notifying or canceling, they are subject to a penalty. The penalty is at the discretion of the property and usually corresponds to the cost of one night, charged to the customer’s credit card. However, the customer must always be made aware of the reservation conditions and the terms that apply in the event of failure to cancel.

This applies to Italy, but what can a hotelier do in general? Possible solutions are:

• create a no-show policy;
• request a confirmation deposit;
• pre-authorize the customer’s credit card;
• offer non-refundable rates;
• use planned overbooking;
• communicate with guests.

Let’s look at these points in detail.

Create a no-show policy

As mentioned above, beyond local regulations, it is important that guests are always aware of the hotel’s policies. Creating a clear and comprehensive no-show policy, to be shared with all customers on the website and upon completion of the reservation, helps protect against complaints. The policy must describe what happens in the event of a no-show and what penalties may be applied: a detail that can also act as a deterrent to no-shows.

Request a deposit

The confirmation deposit serves as a guarantee of the reservation and is requested in advance of the stay. If the hotel’s policy allows it, this amount can be retained when the guest does not show up or cancels the reservation. Again, however, it is essential that the person who made the reservation is informed.

Make a pre-authorization

A pre-authorization can also serve as a guarantee of the reservation. In this case, it is an amount that is “frozen” for a limited period of time and can be withdrawn under certain conditions (e.g., no-show). That’s why, in order to avoid unpleasant surprises, it is always a good idea to ask for credit card details at the time of reservation and check immediately that the card has not expired.

Offer non-refundable rates

Non-refundable rates (in whole or in part) are an excellent tool for reducing the damage caused by no-shows. Adopting them is therefore highly recommended, especially in high season, but also if you tend to have a high no-show rate or if your clientele consists of particular types of guests. Groups, for example, can generate significant losses if they do not show up: it is therefore better to apply more stringent conditions to reservations.

Use planned overbooking

One of the most common practices for managing no-shows is planned overbooking. Unlike random overbookings, which are due to reservation issues, an overbooking that is planned is a very precise strategy that anticipates the actual number of guests and compensates for any absences. However, it is a rather delicate process and, if not managed perfectly, the disadvantages may outweigh the benefits.

Communicate with guests

Communication with guests is essential to protect the property not only from possible no-shows, but also from unfounded complaints and negative reviews. As mentioned, transparency is necessary and rewarding. So yes to reminder emails, with a summary of the dates and details of the stay, cancellation policies, and no-show policies.

It is also useful to know the check-in time of guests: this way, you will know if and when to call them to make sure they actually show up at the property.

Reduce and try to use no-shows to your advantage

As with cancellations, it is also important in case of no-shows to contact customers who have canceled their reservation and try to understand what happened. Keeping track of missed reservations and their causes allows you to check for recurring reasons.

This is essential for correcting any flaws in your offer and preventing no-shows from occurring too frequently in the future.

For example, you may find that overly strict cancellation rules discourage guests from canceling their reservations, leading them to prefer no-shows. Or that certain policies such as “minimum stay” are not compatible with the flexibility sought during busy periods, when this requirement is more likely to be the cause of no-shows.

On the other hand, for special cases such as family emergencies, it may be appropriate to offer promotions and special deals to guests who were unable to show up at the property. By doing so, you will establish a relationship of solidarity and trust that will encourage them to book again.

Managing no-shows with Zak by WuBook

Many of the operations described above can be carried out even more easily and quickly through the hotel’s PMS. With Zak by WuBook – the all-in-one management software for hotels and properties – you can configure rates and cancellation policies for each type of accommodation or individual room, customizing prices and sales rules according to the distribution channels.

Direct reservations are managed securely through the Booking Engine and can include different payment methods, including pre-authorizations and deposits, which the hotelier can use as they see fit.

And to improve transparency, autonomy, and communication between the property and travelers, Zak provides a Guest Page for each guest: a private link sent to the guest via automatic or manual messaging. Here, each customer can check their status: they can find a summary of their reservation, print their voucher, fill in their details to speed up the check-in process at the property, and add notes or requests for the property. They can also purchase extras and additional experiences, request an invoice, and fill in their tax details, to name just a few of the main actions. This is an important feature that greatly facilitates the work of the reception and empowers guests, making no-shows less likely.

Overbookings can also be managed through the software connected to the Channel Manager, providing an up-to-date overview of sales across all channels. Speaking of which, when the hotel receives a no-show from a reservation made on Booking.com and reports it on the PMS, Zak directly sends the notification to the OTA to start the relevant bureaucratic process. In general, it is possible to keep track of and trace back at all times any no-shows at any time. In the dedicated section, hoteliers can view all no-shows to analyze them and try to understand how and what to improve.

In conclusion, no-shows happen, and more often than you might think. So you have to take them into account and try to protect yourself in the ways we have outlined here. Technology can be a big help in this!