Overbooking
Overbooking is deliberately selling more rooms than you have, on the expectation that some guests will not arrive.
Worked example
- A 20-room property overbooks by one room on a night that sells at ₱3,800.
- If everyone arrives, you walk a guest: a refund plus a room somewhere else, often ₱8,000–12,000 all in.
- You would need roughly three no-shows at that rate to break even on the strategy.
Why it matters
Large hotels do it on purpose, priced against a forecast no-show rate, and accept the cost of walking the occasional guest to another property.
At ten to fifty rooms it is usually a bad trade. One walked guest is a larger share of your month's reviews than the empty room would have been of your month's revenue.
The maths only works at scale, where no-show rates are stable enough to forecast. Below fifty rooms a single month can swing from three no-shows to none, which is why most operators here protect the booking with a downpayment instead.
In MangoHost
Not supported, deliberately. Availability is enforced at entry, so you cannot sell a room you do not have — which also means MangoHost cannot run an overbooking strategy for you. If that is a tool you want, this is not the system for it.
Related terms
MangoHost gives Philippine properties these numbers without a month-end spreadsheet. Book a 30-minute walkthrough and see them on your own rooms.