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What does REVPAR mean? This page is about the various possible meanings of the acronym, abbreviation, shorthand or slang term: REVPAR.

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REVPAR

REVenue Per Available Room

Business » Accounting

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What does REVPAR mean?

RevPAR
RevPAR, or revenue per available room, is a performance metric in the hotel industry, which is calculated by dividing a hotel's total guestroom revenue by the room count and the number of days in the period being measured. Note, if the calculation uses total hotel revenue instead of guestroom revenue, it gives another closely related performance metric in the hotel industry known as TRevPAR. Since RevPAR is only a measurement for a point in time it is most often compared to the same time frame. It is often used in comparison to competitors within a custom defined market, trading area, or DMA or a self-selected competitive set as defined the hotel's owner or manager. Also, comparisons are usually best considered between hotels of the same type, or with target customers. A few syndicated data companies compile RevPAR information across markets via voluntary survey, and provide compiled blinded information back to the industry. Other Caveats: Successful RevPAR numbers differ from market to market based on demand and other factors. Best compared across like time periods. For example, it is proper to compare RevPAR on a Friday only versus other Fridays.

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