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Hotel terminology: A complete guide for hotel owners

SiteMinder

KPI (Key performance indicator) A measurable value such as RevPAR or occupancy used to gauge success against goals. MPI (Market penetration index) Compares your occupancy against a competitive set; a score above 100 shows stronger market share. Occupancy underpins every major KPI. PMS terminology keeps data clean.

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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. KPI in hospitality industry is also used to find out if or not you are on the right track to meet the targets set.

KPI
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Nomadix unveils new WiFi 6 access points

Hotel Business

According to 2023 predictions from wireless infrastructure analysts Maravedis, WiFi 6 will continue its fast market penetration due to its ability to “deliver significant KPI improvements, particularly high throughput, reduced latency and better performance in crowded environments.”

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Hotel RevPAR Formula: Measure Performance in 2025

Hotelogix

In the hotel business, tracking the right performance indicators is non-negotiable. Market Penetration Index (MPI) MPI compares your property’s occupancy to your competitive set. It reveals how well you are performing in terms of capturing demand in your market segment.  

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Hotel KPIs: How should hotels be measuring success?

SiteMinder

Key performance indicators (KPIs) permeate every successful hotel; it’s crucial that you know at all times how you’re tracking towards any key goals and objectives you have outlined for your business over a certain period of time. Your KPI would be how many room nights you have sold at any point during May. Hotel profit.

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

SiteMinder

Profit hotel metrics You certainly don’t want to run a business that puts you into bankruptcy so driving and measuring profit is incredibly important for the longevity of your hotel. MPI – Market penetration index is a way to directly compare yourself with your competitors.

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Hotel rate management: Best software to use

SiteMinder

Internal factors such as expenses like taxes, wages, supplies, cleaning, and refurbishment mean there’ll be a minimum rate you have to set to break even on your business each month, quarter, or year. If it’s the height of your busy season and hotels locally are becoming booked up, you can afford to charge your guests more.