rack rate

Popular Terms
Terms used in the hotel industry to describe the cost to a customers that request accommodations for the same day without prior booking arrangements . The rack rate price tends to be more expensive than the rate that the customer could have received if he/she used a travel agency or third-party service. Rack rates can vary based on the day that the room is requested. For instance, the rack rate may be more expensive on weekends, which are usually high travel days.

Use 'rack rate' in a Sentence

Sometimes you may be able to get a better price on the rack rate if the hotel is empty on that day.
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I had to know the rack rate at the hotel, because I could not violate my budget and had to make sure things ran smoothly.
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Because the Smith family had not made arrangements for the hotel room with a travel agent the week before, they had to pay the rack rate, which was much more expensive than it would have been to reserve a room.
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