Hotel Manager how-to

How to Calculate RevPAR

RevPAR combines occupancy and rate into one metric.

Updated By the Career Education Institute Curriculum Team
Quick answer

RevPAR combines occupancy and rate into one metric. In short: find; find; divide, then complete the remaining steps below.

Step by step

  1. Find total room revenue for the period.

  2. Find total available rooms.

  3. Divide revenue by available rooms.

  4. Or multiply ADR by occupancy.

  5. Compare with your competitive set.

  6. Adjust pricing strategy.

Safety reminders for hotel managers

  • Maintain fire and life safety systems
  • Train staff on emergencies
  • Protect guest data
  • Address safety hazards promptly

ADR · RevPAR · Occupancy rate · Revenue management · Brand standards · Group block: see the full hotel manager glossary.

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