What is the meaning / definition of TREVPAR in the hospitality industry?
TREVPAR stands for: Total Revenue Per Available Room
This calculation is preferable for the management board and the accountants to have a broad and more generic view of the hotel’s potential and its actual performance. It is also a good benchmarking tool for all inclusive hotels or resorts.
How do you calculate TREVPAR?
- TREVPAR Formula: Total Revenue* / Total Available Rooms
*Total Revenue = Accommodation + Breakfast + Spa + Bar + Mini Bar +[Any other extra revenue]
- Total Revenue Per Available Room