In the ADR/RevPAR report you can see main indicators characterizing the efficiency of the hotel industry.

Report is composing by selecting a period and a room type. You can build reports both for separate room types and for all at once. Marking “Compare with period beginning” you will get a comparison report for a more detailed study of the hotel’s processes.

ADR (Average daily room rate) — average rate for room per night. It is calculated by dividing a hotel’s total guestroom revenue and the number of rooms sold in the reporting period.

RevPAR — revenue per available room per day. It is calculated by dividing a hotel’s total guestroom revenue by the room count and the number of days in the period being measured.

Indicators of average room rate (ADR) and revenue per available room per day (RevPAR) are very important to be analyzed together, as a separate indicator of average room rate will not show a hotel’s revenue from selling at this price. It is necessary to compare an average room rate with a value of revenue in order to understand if a price was chosen correctly, as well as to see how much revenue depends on price changings.

Constructing a report for the future is based on calculation of prices of reserved accommodation services, instead of revenue, as services has not yet been rendered.

All hotels aim to ensure that ADR and RevPAR are equal, and are as high as possible, because it means a 100% occupancy and a maximum revenue. Comparing figures with the same period a month ago, you can understand what a room rate per night must be  to improve a hotel’s revenue.

For example: If you make a report for the last month and ADR=2500 and RevPAR=1700 and 2 months ago those figures were: ADR=2300 and RevPAR=1900, you can conclude that the average room rate (ADR) in the past month was higher, but revenue per room (RevPAR), and, consequently, the total revenue of the hotel, was lower. So you can see how a hotel’s revenue varies depending on changes in price. A price increasing does not always results in an increase in total revenue of a hotel. Keep to flexible pricing policy, consider how RevPAR is changing depending on changes in ADR. This will help you to find the best price at which you will get the maximum revenue for a roomtype and a maximum occupancy.

ADR/RevPAR report can be uploaded from the system to an Excel file by clicking the icon to the right of the date selection. More details about reports export can be found in the article.