Hotel Performance Indicators # 1
To perform Hotel Benchmarking and Revenue Management it is essential to identify the performance indicators (KPI) based on which to analyze and compare your hotel. Within a platform such as HBenchmark, Hoteliers can choose from a wide range of KPIs that also include those of occupancy and turnover most used by revenue managers, such as:
- Occupancy
- ADR
- RevPAR
- RevPOR
- TrevPAR
- APP
- TrevPEC
Facciamo un po’ di chiarezza sul loro significato.
Occupancy
The occupancy rate expresses the percentage of rooms sold per day and is calculated as the ratio between rooms sold and rooms available.
OCC (%) = Rooms Sold / Rooms Available
ADR – Average revenue per room sold
ADR - Average revenue per room sold ADR represents the average revenue per room sold per day and is calculated as the ratio between the revenue per room (not including meal rates) and the rooms sold.
ADR (€) = Rooms / Rooms Sold
RevPAR – Average rate per available room
The RevPAR represents the average revenue per available room and expresses the ratio between the average room revenue and the accommodation capacity of the structure: it is an important KPI that allows you to compare hotels of different sizes. It is calculated as the ratio between room revenue (not including meal rates) and available rooms.
RevPAR (€) = Revenue Rooms / Available Rooms
RevPOR – Average total revenue per room sold
The RevPOR indicates the total average revenue per room occupied and is calculated as the ratio between the total revenue (including meal rates) and the number of rooms occupied. Let us remember that, unlike ADR, this indicator also considers the revenues of the Food & Beverage component and extras.
The RevPOR indicates the average total revenue per occupied room and is calculated as the ratio between the total revenue (including meal rates) and the number of occupied rooms.
Let us remember that, unlike ADR, this indicator also considers the revenues of the Food & Beverage component and extras.
RevPOR (€) = Total Revenue / Rooms Sold
TrevPAR - Average total revenue per available room
The TrevPAR expresses the ratio between the total average room revenue and the accommodation capacity of the structure and is calculated as the ratio between the total revenue (including meal rates) and the available rooms. Let us remember that, unlike the RevPAR, this indicator also considers the revenues of the Food & Beverage component and extras.
TrevPAR (€) = Total Revenue / Available Rooms
APP - Average revenue per guest
The APP indicates the average revenue from the overnight stay per single guest and is calculated as the ratio between the revenue from the rooms (not including the meal rates) and the number of guests present.
APP (€) = Revenue from Rooms / Guests present
TrevPEC – Average total revenue per guest
The TrevPEC indicates the average overall turnover generated per customer and is calculated as the ratio between the total revenue (including meal fees) and the number of guests. Let us remember that, unlike the APP, this indicator also considers the revenues of the Food & Beverage component and extras.
TREVPEC (€) = Total revenue / Guests present
