Block-based reservation rates

How can I create reservation rates where the hourly rates get cheaper the longer the reservation lasts?

Written By Zemtu

Last updated 3 days ago

In addition to the standard reservation rates (Overview - reservation rates ), there are also block-based reservation rates. Depending on the duration of the reservation, different blocks are applied.

You can find it here:

Zemtu Billing administration → Block based reservation rates

/admin/billing/blockbasedtariff/

Block Selection Strategies in Block-Based Tariffs

In block-based tariffs, the block selection setting controls how the configured time blocks are applied to the reservation duration. Three algorithms are available.

The three strategies

"Select the cheapest combination"

The algorithm tries trains of blocks of mixed sizes and picks the cheapest combination. Every block in the winning train is billed in full; the "Minimum time block fragment size" is ignored.

"Pay for a started block"

Exactly one block size is repeated for the whole trip. Every started block is billed in full, so leftover time always rounds up to a complete block. The "Minimum time block fragment size" is ignored.

"Compare neighboring block sizes and bill the cheaper one by step size"

Like "Pay for a started block", one block size is committed to – but only from the at most two thresholds adjacent to the trip duration (ties go to the smaller block). The difference: completed thresholds are billed as whole blocks, while the remaining time is priced in slices of the "Minimum time block fragment size" at the block's prorated rate. The included distance grows proportionally with each charged step.

Side-by-side example

Tariff with two blocks:

Block	Threshold	Fee	Included km	Minimum time block fragment size
DAY	24 h	€48	100	1 h
HOUR	1 h	€4	0	30 min

Trip: 32 hours

Strategy	Billing	Time fee	Included km
Select the cheapest combination	1× DAY + 8× HOUR	48 + 8×4 = €80	100
Pay for a started block	2× DAY (remainder rounds up)	2×48 = €96	200
Compare neighboring block sizes and bill the cheaper one by step size	1× DAY + 8 steps of 1 h at the day's step rate (€2/h)	48 + 8×2 = €64	100 + 8/24×100 ≈ 133

When to use which

Goal	Strategy
Cheapest price by freely mixing block sizes	Select the cheapest combination
Simple model: "every started unit is billed in full"	Pay for a started block
Minimum billing = one full block, remainder priced more granularly (e.g. hourly) at the block's prorated rate – without a small block becoming a standalone rate for short trips	Compare neighboring block sizes and bill the cheaper one by step size

Good to know

The "Minimum time block fragment size" only takes effect with "Compare neighboring block sizes and bill the cheaper one by step size" – the other two strategies ignore the field.
The strategy only decides the time fee. Booking fee, distance fees beyond the included allowance, late-return and minimum fees are calculated afterwards as usual.
Step-size can express pricing that blocks alone cannot – e.g. "€48/day + €2 per additional started hour" without a standalone hourly rate, or prorated included kilometers.

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