RevPAR Index measures the performance of your RevPAR relative to a grouping of other hotels, such as a competitive set, market, or sub-market. It will allow you to see how well your strategy is working relative to competitors, It can also show you the variance between you and your competitors. Through RevPar index, you can also see your positioning in relation with your competitors, so you can evaluate if your hotel occupancy plan is working.

The RevPAR Index, should be 100. This indicates your hotel is getting the expected, or fair, market share amongst the particular group of hotels. A RevPar Index greater than 100 represents more than the expected market share, and less than 100 represents you are not getting as expected.

To calculate the index you need to divide your RevPAR with the aggregated group of hotels’ RevPAR and multiply it by 100