Under what circumstances will the average hotel price be lower than revpar?

RevPar= total room rate/total number of rooms on that day, which means it will appear when the number of rooms on that day is higher than the total number of rooms.

RevPar shows the performance of a hotel in room inventory management, which can provide some basic market trends, but it can't provide any cost indicators of a hotel, so it can't show that the hotel has made more money.

RevPAR is the abbreviation of Revenue Per Available Room, which refers to the average actual operating income generated by each available room. As long as you know the data of the hotel in the same period or in the previous period, you can calculate and estimate according to the known data.

In a word, RevPar shows a hotel's performance in room inventory management, which can provide some basic market trends, but it can't provide any cost indicators of a hotel, so it can't show that the hotel has made more money.

On the other hand, GopPar can show the profits of hotels more clearly by considering management control and efficiency and excluding the potential advantages of small hotels. As a hotel manager in China, it is a basic principle to measure the performance of hotel management, whether it is to continue to use the room occupancy rate standard, to adopt RevPar, or to adopt the general idea of international hotel industry.

Extended data

The calculation formula is as follows:

RevPar= total room revenue/total number of rooms

RevPar= actual average house price × occupancy rate

Occupancy rate = total number of rooms for rent/total number of rooms.

Actual average house price = total room income/total number of rooms for rent.

Baidu encyclopedia -—RevPAR