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Hotel terminology: A complete guide for hotel owners

SiteMinder

ABVPAR (Average booking value per available room) Divides total booking value by the number of available rooms to reveal how much revenue each room could generate. ADR ( Average daily rate ) Shows the average room revenue earned from sold rooms over a given period. PMS terminology keeps data clean.

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Measure your hotel’s performance with a RevPAR formula and more

Hotelogix

To thrive in the unpredictable business environment is no mean feat. So, whether it is assessing yourself through a RevPAR formula or scoring yourself as an ADR hotel, you may have often wondered if these are enough and what those key performance metrics are that you must weigh your business on.

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Understanding ARI: A key metric in hotel management

Cloudbeds

The average rate index (ARI) is a metric that allows hoteliers to evaluate the performance of their room rates relative to a group of competitors during a specific period. The other two indicators are MPI (market penetration index) and RGI (revenue generated index). How is ARI calculated?

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Top 7 KPIs every hotelier must track

Hotelogix

Hotel KPI or Hotel Key Performance Indicator is the value that can be measured and which lets you set a standard to measure the success rate of your hotel business as to how is it faring in the market. These KPIs range from the daily operations to financial performance to sales and marketing and customer service.

KPI
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Hotel metrics: How to measure performance in the hotel industry

SiteMinder

These metrics encompass a wide range of areas, from financial figures like revenue per available room (RevPAR) and average daily rate (ADR) to operational aspects such as occupancy rates and guest satisfaction scores. It can be calculated by multiplying your average daily rate by your occupancy rate.

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Hotel RevPAR Formula: Measure Performance in 2025

Hotelogix

In the hotel business, tracking the right performance indicators is non-negotiable. In an increasingly competitive market, evaluating performance through accurate hotel KPIs allows hoteliers to make proactive decisions that directly influence occupancy, guest satisfaction, and profitability.

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Hotel rate management: Best software to use

SiteMinder

It’s not just about setting the right price, but also about adjusting it in response to market changes. This strategy is crucial for enhancing both occupancy rates and the average daily rate (ADR), directly influencing the hotel’s financial performance. The time of year Is it peak or off-peak season?