What is Minimum Spent?
Minimum spent is a reservation policy where guests must commit to spending a set amount in order to secure a booking. This is commonly applied in restaurants, bars, clubs, or event venues during peak hours or special events.
Why Do Businesses Use a Minimum Spent Policy?
The minimum spent requirement ensures that valuable seating or premium areas are reserved for customers who are likely to generate enough revenue to justify the allocation. It also helps businesses:
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Maximize revenue per table or area
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Manage demand during busy periods
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Prevent no-shows and low-value bookings
Examples of Minimum Spent in Action
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A rooftop bar may require €50 per guest for a prime table on Saturday night
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A beach club may set a €200 minimum for private cabanas
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A fine dining restaurant may request a set spend during New Year’s Eve reservations
Benefits of Minimum Spent Policies
For businesses:
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Guarantees revenue even before upselling
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Optimizes space allocation with table allocation strategies
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Reduces cancellations by requiring commitment
For guests:
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Access to premium spots with priority booking
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Assurance of a curated, higher-quality experience
How Minimum Spent Works with Upsalt
Upsalt allows venues to integrate minimum spent policies directly into their automated booking system. Guests see the minimum requirement upfront, making the process transparent and reducing disputes. Businesses can combine this with dynamic pricing and deposit requirements to create flexible revenue strategies.
Related Terms
FAQs about Minimum Spent
What is the difference between a minimum spent and a deposit?
A deposit is a prepayment to secure a reservation, while a minimum spent requires guests to reach a set spending amount during their visit.
Can minimum spent policies reduce cancellations?
Yes, they encourage guests to commit to their booking since they know a spending requirement applies.
Do guests benefit from minimum spent policies?
Yes, in many cases minimum spent reservations give access to premium areas or better service experiences.
Can minimum spent be combined with promotions?
Yes, businesses can combine it with promotional codes or loyalty programs to balance revenue goals and guest satisfaction.