Revenue Per Occupied Room
The calculation takes into account the services and other additional sales from guests, during their stay at the hotel. RevPOR often comes second to revenue per available room (RevPAR), which takes unoccupied rooms into consideration by multiplying the overall occupancy rate by the average daily rate (ADR). Usually rooms, have higher transaction costs, so selling more rooms to guests results to more profit for hotel busisnesse. Improvements in RevPOR do result to profits, but the effect slower than the immediate impact of increasing the occupancy rate.
How do you calculate RevPOR?
The formula to calculate RevPOR:
REVPOR is calculated by dividing the total revenue by the number of rooms actually being sold to guests