Erik's Blog

Average Daily Room Rate (ADR)

What is ADR? ADR is the average daily income per paid occupied room and is used to measure the operating performance of the hotel. ADR is one of the KPIs used by hotels. Other KPIs like Occupancy Rate are used in combination with ADR to result in revenue per available...

Occupancy Rate

What is Occupancy Rate (OCC)? OCC is one of the KPIs used by hotels. Other KPIs like ADR are used in combination with OCC to result in revenue per available room (RevPar). OCC results in a percentage (e.g. 75% occupancy) and shows the available space that is being...

RevPar

What is RevPar? RevPAR (Revenue Per Available Room) is the most commonly used KPI to measure financial performance in the hotel industry. Many of you readers will probably be quite familiar with this ratio. Why are hotels using it? Specifically, Revenue Managers are...

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