What does the term "sleep out" mean in the context of hotel occupancy?

In the context of hotel occupancy, the term "sleep out" refers to a situation where a guest has checked into a hotel but did not actually spend the night in the room. This can happen for various reasons, such as the guest choosing to stay elsewhere or participating in activities away from the hotel that prevent them from using the bed they have paid for.

Understanding this term is crucial for hotel management as it affects occupancy statistics and revenue calculations. It indicates that while a room may be officially counted as occupied due to the check-in, it is not being utilized for its intended purpose, which is to provide overnight lodging. This distinction assists hotels in managing their inventory and forecasting future occupancy accurately.