As a result of competition for occupancy, hotels often lower their rates to achieve max occupancy. Hotels are known to have a low profit margin and the resulting competition forces them to even lower it. Hotels often overcharge guests for items and services to extract extra profit as a result of a lowered room rate. A bottle of soda may sell for $3.00 at a 5 star hotel minibar while one can get it for $1.00 if they take the time to walk down the street and purchase it. Price sensitive guests may not even touch the bar at all, but for those who are not may just grab one as a convenience penalty.