Average Treatment Rate

Average Treatment Rate (ATR) is most relevant for spa or wellness operations in a hotel or resort property. It can apply to spa operations within a hotel or from an independent operator. It determines the average rate for treatments that guests receive in the spa. It...

Benchmarking

Benchmarking uses a number of hotel KPIs to make comparisons against competing hotels. Examples of KPIs used in hotel benchmarking include prices, level of service, product offerings, location, and distribution channels. Some competitors may compete on all factors at...

Booking Curves

Booking Curves are visual representations that display how hotel bookings occur over a certain period of time. These curves are usually displayed in graph form and can include several data items, including room pickup, bookings, and availability. The data that is...

Cost of Sales Ratio

Cost of sales ratio applies directly to the cost of goods sold. It provides a metric for comparing a hotel’s expenses from sales activity against total revenue. It is an important hotel KPI used to give revenue managers a better idea of how a hotel’s food and beverage...

Cost per Occupied Room

Cost per occupied room (CPOR) is a formula used to calculate the average cost of a guest occupying a room. It is a key performance indicator that helps hotels understand profitability. As a hotel lowers its CPOR, it can increase profits per available room and/or...