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

 stands for: Revenue Per Available Treatment Hour

 is a calculation for operations that takes measure to a more detailed level, given the need to “turn over” of rooms during the day. It is very similar to RevPar for Rooms. It helps the spa operation to manage time effectively.

It is a crucial KPI calculation, the first step for  management in the industry.

How do you calculate REVPATH?

  •  Formula:  Occupancy / Average Treatment Rate

Calculation

  • In practical terms, this means that a with a treatment room occupancy of 70% and an average-related expenditure of $200, has a RevPATH of $140
  • 70% *200$ = 140 $
  • Similarly, a twenty-room that makes $1600 on Fridays between 6:00 and 7:00 PM, has a RevPATH of $80
  • 1600$ / (20 * 1) = 80 $

See Also:

  • SREVPOR
  • SUR

Synonyms

  • RevPath
  • Revenue Per Available Treatment Hour

Categories:

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