Hotel Attrition Explained: What It Is & Why It Costs So Much
Hotel attrition is the penalty you pay when your group doesn’t fill the number of rooms promised in your contract. If you reserved 300 rooms and only used 200, you could be on the hook for the difference.
Attrition can be calculated by:
- Number of unused rooms (shortfall)
- Percentage missed below the agreed threshold (often 80-90%)
- Revenue loss for food & beverage minimums
Many planners are unaware that attrition applies even if attendance drops due to budget cuts, emergencies, or market shifts. That’s where Hotel Attrition steps in.
We help you:
- Understand your contract terms
- Determine if you qualify for force majeure or frustration of purpose
- Renegotiate penalties or restructure your event