What is the meaning / definition of in the hospitality industry?

stands for: Per Available Room

is a very classic KPI and regarded as one of the most important financial calculations for any hotel to see how much they have made within a certain period of time.

When an analysis is carried out, figures can be compared to RevPAR of the hotel during the same time frame of the previous years or to its compset.

How do you calculate RevPAR?

RevPar Formula: RevPAR = Rooms Revenue / Rooms Available

With RevPAR you can only evaluate your income as a percentage of room sales, not including any other factors that also take account into making profitability (like toursales, room service, and bookings).

  • Alternative Formula: RevPAR = ADR (average daily rate) * % Occ (occupancy)

See Also:

Synonyms

Gross Room

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