What does the term "run-of-the-house" (ROH) refer to in the hotel industry?

The term "run-of-the-house" (ROH) refers to a pricing strategy where a hotel offers a set rate for any available room type, with the allocation of specifics such as location or view being determined at the hotel's discretion. This means that guests booking a run-of-the-house rate essentially agree to accept any available room in the hotel, which could range from standard accommodations to potentially higher-category rooms, depending on availability at the time of check-in.

This approach benefits both hotels and guests. For guests, it may present an opportunity to secure a room at a better rate than specific categories might offer, while hotels can maximize occupancy and revenue by filling rooms that might otherwise go unbooked. The flexibility of "run-of-the-house" pricing allows hotels to optimize their occupancy rates by selling any available inventory without committing to a particular room type in advance.