CPOR (Cost Per Occupied Room)

Definition

Cost Per Occupied Room — the variable cost of servicing one sold room for one night: housekeeping, amenities, utilities, laundry, and the rooms-department labour that scales with occupancy. A €18 CPOR means each occupied room costs €18 to service before fixed overhead.

What it tells you

CPOR is the floor under every rate decision — the point below which an occupied room fails to cover its own variable cost. It also sharpens displacement and channel math: a booking is worth its net ADR minus CPOR (and minus acquisition cost), not its headline rate.

How to track it

Sum the variable rooms-department costs for a period and divide by occupied room nights. Track it against ADR — a stable ADR with a rising CPOR quietly erodes rooms profit even when RevPAR looks flat.

Where it fits

CPOR is the cost side of rooms profitability — the complement to RevPAR on the revenue side and a building block under GOPPAR. Knowing it turns “is this rate too low?” from a gut call into arithmetic.