Definition
Measures revenue efficiency per available room. RevPAR = ADR × Occupancy (or Rooms Revenue ÷ Rooms Available).
Why It Matters
Shows how well you’re filling rooms at profitable rates—core to revenue management.
✅ Best Practices
- Track alongside ADR & Occupancy.
- Compare to compset RGI.
- Adjust mix (direct vs. OTA) to lift yield.
- Use demand calendars to plan rates.
Common Mistakes
- Chasing occupancy at the expense of rate.
- Raising ADR without demand signals.
- Ignoring channel costs.
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From Definitions to Decisions
Optimize for revenue quality, not just volume—RevPAR is your truth serum.