How to calculate revpar with occupancy and adr with pictures
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There are two ways to calculate revpar. For a given period, you can calculate hotel revpar using these revpar formulas: Revpar helps hotels measure their revenue generating performance to accurately price rooms.
This is how to calculate revpar by this method:
Revpar = average daily rate x occupancy rate. In general, a higher adr and occupancy rate means more revenue per available room. There are two formulas you can use to calculate revpar: Contrary to what many hoteliers think, a higher adr and not a higher occupancy rate, translates to a higher revpar.
