Cancellation Policy Overview

Configure cancellation policies to reduce no-shows, protect revenue, and set clear expectations for customers.

What is a Cancellation Policy?

A cancellation policy:

• Sets rules for when customers can cancel
• Defines penalties for late cancellations
• Reduces no-show rates
• Protects your venue's revenue
• Sets clear customer expectations

Accessing Cancellation Policy

Navigate to: Venue Management > All Venues > Cancellation Policy

Why Use Cancellation Policies

Benefits for Your Venue

Operational Benefits:

• Reduced no-show rates (typically 40-60% reduction)
• Protected revenue during peak times
• Better capacity planning
• Improved table utilization
• Professional reputation

Financial Benefits:

• Recover lost revenue from late cancellations
• Reduce waste in food preparation
• Better staff scheduling efficiency
• Predictable income flow

Benefits for Customers

Clear Expectations:

• Know the rules upfront
• Flexibility within defined boundaries
• Fair treatment across all bookings
• Trust in your booking system
• Confidence when making reservations

Industry Standards

Common restaurant policies by venue type:

Casual Dining:

• Cancel up to 2 hours before
• No deposit required
• Minimal or no penalties

Fine Dining:

• Cancel up to 24 hours before
• Deposit may be required
• Percentage penalties for late cancellation

Large Parties (6+ guests):

• Cancel up to 48-72 hours before
• Deposit required
• Higher penalties or full deposit forfeiture

Special Events:

• No cancellations within 7 days
• Full or partial prepayment
• Non-refundable or limited refunds

Creating Your First Policy

Quick Setup with Guided Wizard

The easiest way to create a policy:

1. Click "Create Policy" button
2. Answer a few questions:
   • What type of venue? (casual, fine dining, pub, etc.)
   • What's your average spend per guest?
   • How often do you experience no-shows?
   • How strict should your policy be?
3. Review the recommended policy
4. Customize specific settings if needed
5. Preview customer-facing text
6. Activate policy

The wizard automatically creates appropriate settings based on your answers, following industry best practices for your venue type.

Manual Setup for Custom Control

Create a policy from scratch:

1. Click "Custom Policy"
2. Configure each setting individually:
   • Cancellation windows
   • Penalty structure
   • Deposit requirements
   • Party size thresholds
   • Time-based variations
3. Preview customer-facing text
4. Test with example scenarios
5. Save and activate

Manual setup gives you complete control over every aspect of your policy.

Policy Components Overview

A comprehensive cancellation policy includes:

Cancellation Window - How far in advance cancellations must occur

• Options from 1 hour to 1 week
• Custom time periods available
• Can vary by day of week or time

Penalty Structure - Consequences for late cancellations

• No penalty
• Deposit forfeiture
• Percentage of estimated bill
• Fixed cancellation fee
• Tiered penalties based on notice

Deposit Requirements - When to require upfront payment

• By party size
• By day/time
• By booking value
• For special events

Special Rules - Variable policies for different situations

• Party size thresholds
• Time-based policies (day of week, season)
• Special event overrides
• VIP customer exceptions

Getting Started Tips

Start Moderate

✓ Begin with a moderate policy:

• Reasonable cancellation window (4-24 hours)
• Fair penalties (deposit forfeiture or 25-50% of estimated bill)
• Clear communication
• Flexibility for genuine emergencies

✗ Avoid starting too strict:

• May scare away customers
• Creates negative perception
• Harder to relax than to tighten
• More customer service issues

Monitor and Adjust

After implementing your policy:

Week 1-4:

• Monitor no-show rates
• Track cancellation compliance
• Collect customer feedback
• Document any issues

Month 2-3:

• Analyze effectiveness data
• Identify patterns
• Adjust policy if needed
• Test different approaches

Quarterly:

• Review comprehensive reports
• Compare to industry benchmarks
• Refine policy based on data
• Update customer communication

What Customers See

On the Booking Page

Your policy appears:

• Before payment information
• In clear, prominent display
• With checkbox acknowledgment required
• With link to full terms

Good Example:

"We require 24 hours notice for cancellations. Late cancellations may incur a £10 per person fee. No-shows will be charged 50% of the estimated bill."

In Booking Confirmation

Customers receive:

• Full policy details in email
• Key points highlighted
• Cancellation deadline clearly stated
• Easy cancellation link provided
• Contact information for questions

In Reminders

Reminder emails mention:

• Upcoming reservation
• Cancellation deadline
• Easy cancellation link
• Policy summary

Policy Testing

Before activating, test your policy:

Test Scenarios:

1. Book a test reservation
2. Try cancelling at different times
3. Verify correct penalties apply
4. Check customer-facing messages
5. Test deposit processing (if applicable)

Verification Checklist:

• Policy displays correctly on booking page
• Confirmation email includes policy
• Cancellation window calculates correctly
• Penalties apply as expected
• Deposits process properly
• Refunds work correctly
• Customer messages are clear

Policy Activation

When you're ready to go live:

1. Final Review - Double-check all settings
2. Staff Training - Ensure team understands policy
3. Activate - Switch policy from draft to active
4. Monitor - Watch first few days closely
5. Support - Be ready to answer customer questions

Next Steps

Now that you understand the basics:

1. Policy Configuration - Learn about detailed policy settings and rules
2. Communication & Enforcement - How to communicate and enforce your policy
3. Deposits & Refunds - Managing deposits and processing refunds
4. Analytics & Best Practices - Measuring effectiveness and optimizing your policy

Need Help?

Our team can help you design an effective cancellation policy for your venue:

Support Options:

• Email: [email protected]
• WhatsApp: https://wa.me/message/GPBDMIVKYIELE1

We're here to ensure your policy protects your business while maintaining excellent customer relationships.