Hotel ADR Calculator & Revenue Analysis

ADR Calculator
RevPAR
Occupancy

Average Daily Rate (ADR) Calculator

Formula: ADR = Total Room Revenue ÷ Rooms Sold

Understanding ADR: The Key to Hotel Revenue Management

2024 Industry Benchmark: The average ADR for U.S. hotels is $155.62 (Source: STR Global)

Average Daily Rate (ADR) measures the average rental income per occupied room each day. Unlike occupancy rate which measures volume, ADR reflects your pricing power and revenue quality.

How to Interpret Your Results:

  • Above $155: You're outperforming most U.S. hotels
  • $100-$155: Typical range for midscale properties
  • Below $100: May indicate need for pricing strategy review

7 Proven Strategies to Increase ADR:

  1. Implement dynamic pricing - Adjust rates based on demand forecasts
  2. Create value-added packages - Bundle rooms with breakfast/spa credits
  3. Optimize distribution channels - Reduce OTA dependence to lower commissions
  4. Train staff in upselling - 42% of guests accept upgrade offers
  5. Segment your pricing - Different rates for business vs. leisure travelers
  6. Enhance direct bookings - Offer perks for booking on your website
  7. Monitor competitors - Use tools like STR or OTA Insight

Pro Tip: Calculate ADR separately for weekdays vs. weekends to identify pricing opportunities.

Revenue Per Available Room (RevPAR) Calculator

Formula: RevPAR = Total Room Revenue ÷ Total Available Rooms

Why RevPAR Matters More Than Occupancy

RevPAR combines ADR and occupancy into a single metric that shows how well you're monetizing your total inventory. A hotel with 60% occupancy at $200 ADR generates the same RevPAR ($120) as one with 80% occupancy at $150 ADR.

RevPAR Optimization Strategies:

  • Balance rate and occupancy based on demand forecasts
  • Use length-of-stay restrictions during peak periods
  • Analyze RevPAR index relative to competitors

Occupancy Rate Calculator

Formula: Occupancy Rate = (Rooms Sold ÷ Total Available Rooms) × 100