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

Hotelogix

Average Daily Rate (ADR): Average daily rate can be used to calculate the average rate at which occupied rooms are booked and is immensely useful to identify performance over time by drawing a comparison between the current and previous periods or seasons.

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Understanding ARI: A key metric in hotel management

Cloudbeds

Modern hotel management requires a robust set of tools and metrics to evaluate and continuously optimize revenue performance, especially in relation to competitors. Among these, the average rate index (ARI) is one of the lesser-known but extremely useful metrics to keep under check. How is ARI calculated?

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Hotel rate management: Best software to use

SiteMinder

What is hotel rate management? Hotel rate management is the process of strategically pricing rooms to attract guests while also maximising revenue. This process requires continuous analysis of market trends, booking patterns, and competitor strategies. Table of contents Why does hotel rate management matter?

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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

Average Daily Rate (ADR) ADR shows the average income earned from rooms sold, offering insight into pricing effectiveness. It helps hoteliers benchmark revenue performance and adjust room rates depending on seasonality and competition.   👉 Read Also - Invest in PMS: Smart Move for B&B Success 6.

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Top 7 KPIs every hotelier must track

Hotelogix

That being said, there are a handful of KPIs for hotel general manager which help hoteliers meet the benchmarks set. These KPIs range from the daily operations to financial performance to sales and marketing and customer service. Average Daily Rate or ADR The Average Daily Rate or ADR is a popular KPI for hotel industry.

KPI
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Investors consider operational aspects of a hotel

Hotelier Magazine

Financial Benchmarks The hotel industry uses many financial benchmarks to measure success, including Average Daily Rate (ADR), RevPAR, occupancy and Market Penetration Index (MPI). We do a comparison of all operating costs and staffing models of the potential property to similar assets we manage.