That's very likely why it'll be above the pier diem, yes. If it's set as a percentage, it'll fluctuate as they move their BAR around to meet market demands. Not all hotels set their government or military rates as a percentage, of course, but it is definitely common.
Also, lot of hotels are very, very sloppy about keeping their rates up to date. And it gets complicated when there's negotiated rates that are a flat negotiated rate vs. being a percentage off BAR. I've had negotiated corporate rates come up at a rate more expensive than our current BAR (BAR being rather lower this time of year in Phoenix, AZ, of course). Of course, that's the rate that we'll honour even in the height of season! But it doesn't make a lot of sense when my BAR for Joe Schmoe looking for a room for the night is lower than what the system is giving me as their negotiated rate.
Usually the hotel will be happy to adjust the rate if there's an issue like what you describe (or what I just described). And if they're not, that's a very bad sign and an excellent reason to look for somewhere else to stay if at all possible.
I really never knew any of this until I started working in the field (and even more so when I started being the person who's answering the phone and making your reservation). I imagine regular business travelers tend to know a lot of this, but I definitely didn't!
no subject
Also, lot of hotels are very, very sloppy about keeping their rates up to date. And it gets complicated when there's negotiated rates that are a flat negotiated rate vs. being a percentage off BAR. I've had negotiated corporate rates come up at a rate more expensive than our current BAR (BAR being rather lower this time of year in Phoenix, AZ, of course). Of course, that's the rate that we'll honour even in the height of season! But it doesn't make a lot of sense when my BAR for Joe Schmoe looking for a room for the night is lower than what the system is giving me as their negotiated rate.
Usually the hotel will be happy to adjust the rate if there's an issue like what you describe (or what I just described). And if they're not, that's a very bad sign and an excellent reason to look for somewhere else to stay if at all possible.
I really never knew any of this until I started working in the field (and even more so when I started being the person who's answering the phone and making your reservation). I imagine regular business travelers tend to know a lot of this, but I definitely didn't!