The hotel revenue
intelligence glossary.

ADR is total room revenue divided by total room nights sold. If your hotel sold 100 room nights for €12,000 of room revenue, ADR is €120.

ALOS is the average number of nights per booking. Total room nights divided by total bookings. A hotel with 1,000 room nights from 400 bookings has an ALOS of 2.5 nights.

ARI measures your ADR against the compset average, expressed as a percentage. If your ADR is €120 and the compset average is €100, your ARI is 120. An ARI of 100 means you're priced exactly at the compset average.

ARR is essentially synonymous with ADR (Average Daily Rate) — total room revenue divided by total room nights sold. The two terms are used interchangeably in different markets and industry sources.

Revenue from food, beverage, and meeting-space services attached to events — weddings, corporate dinners, conferences, banquets. Distinct from in-house F&B revenue (restaurant, bar) generated by individual guests.

The standard non-discounted rate offered to guests booking directly or through public channels at a given time. BAR is the rate the OTAs see; it's the reference point for most discount calculations.

Booking velocity is the rate at which bookings are coming in — typically expressed as bookings per day or room nights per day for a given future period. "This week's velocity for next May is 18 room nights per day" means May is filling at that pace right now.

Cancellation rate is the percentage of bookings that get canceled before arrival. A property with 1,000 bookings and 220 cancellations has a 22% cancellation rate.

Software that pushes rate and inventory updates from your PMS (or revenue management tool) to multiple OTAs simultaneously. D-EDGE, SabeeApp CHM, SiteMinder are common examples.

The specific case of "mix" applied to distribution channels. Tracks the share of bookings coming from each channel: direct, OTAs (Booking.com, Expedia), GDS, walk-in, corporate direct.

Compset — short for "competitive set" — is the group of competitor properties you compare your performance against. Typically 3–8 hotels of similar size, location, segment, and quality tier.

A specialized version of RevPAR that includes meeting-space and banquet revenue alongside room revenue. "Conference RevPAR" answers "how well are we monetizing our inventory when meeting-room and group business are included?"

A negotiated relationship with a company that produces recurring business. The hotel offers a discounted rate (corporate negotiated rate); the company commits to using the hotel for travel within a region or volume.

A system for managing guest relationships across stays — profile data, preferences, marketing communications, loyalty status. Distinct from PMS, which handles operations during stay; CRM persists between stays.

A system that aggregates reservations across multiple channels (web, GDS, OTA, voice) and routes them to the PMS. Some hotels use CRS as the "one front" for distribution; others connect channels directly to PMS via channel manager.

Day class is a category assigned to each calendar date based on expected demand — typically labels like "high demand," "shoulder," "low demand," "compression event." A year of dates gets pre-classified so pricing strategy can follow a consistent logic per class.

A direct booking is a reservation made through the hotel's own channels — direct website, phone, walk-in, hotel CRM — rather than through a third-party OTA, GDS, or wholesaler. No commission, no intermediary.

Rooms that are likely to remain unsold without intervention. "We have 12 distressed rooms tonight" means 12 rooms that, at current trajectory, won't be sold by check-in time.

Dynamic pricing is the practice of changing room rates in response to demand signals — pace, compset moves, OTB position, events, day of week. As distinct from static pricing (one BAR for the whole year).

A visualization of how a future period fills up over time, plotted as cumulative bookings against days-until-arrival. Each future period has its own fill curve.

A measure of how close past forecasts came to the actual values. Computed as the difference between forecast and reality, expressed as a percentage or absolute number. Lower is better.

Older distribution networks (Amadeus, Sabre, Travelport) that connect hotels to travel agents and corporate booking tools. Pre-dates OTAs; remains important for corporate and travel-agent business.

Gross operating profit divided by the total number of available rooms. Where RevPAR captures revenue per room, GOPPAR captures profit per room — revenue minus operating costs.

A group block is a set of rooms reserved together for a single group — a conference, a wedding, a corporate event, a tour group. Typically 10+ rooms on overlapping dates, with negotiated rates and shared terms.

Hurdle rate is the minimum rate at which you'll accept a booking on a given night. Below the hurdle, the booking is declined — usually because high-rate demand is still likely to materialize for that night.

The number of days between a booking being made and the guest's arrival date. "Average lead time is 28 days" means guests typically book 4 weeks before they arrive.

Length-of-stay controls (LOS controls) are minimum or maximum night requirements applied to specific dates or rates. A "3-night minimum" rule means a single-night booking is rejected; a "no Saturday-only" rule prevents weekend-only stays.

MAE is the average of the absolute differences between forecast and actual values, in absolute units rather than percentages. A daily forecast with MAE of 4 room nights means the forecast was off by an average of 4 room nights per day.

MAPE measures forecast accuracy. It's the average of the absolute percentage differences between forecast and actual values. A forecast with 10% MAPE means the forecast was off by 10% on average.

The acronym for the segment covering business-driven group bookings: corporate Meetings, Incentive trips, Conferences, and Events (weddings, banquets).

The simplest length-of-stay restriction — a minimum number of nights required for booking. "Min stay 2 nights for July 14–16" means no one-night bookings for those nights.

The proportion of revenue, room nights, or other metrics across categories — channels, segments, room types, rate types. "OTA mix is 65%" means OTAs account for 65% of bookings.

MPI compares your occupancy to the compset average, expressed as a percentage. If your occupancy is 70% and the compset average is 65%, your MPI is 108. An MPI of 100 means you fill at the same rate as the compset.

The ability to combine multiple filter dimensions on a report or dashboard simultaneously — channel × segment × revenue type × period × comparison-mode — to answer specific compound questions.

A discounted rate offered to a specific corporate account or contracted partner. Often expressed as "BAR minus 15%" or as a fixed rate locked for a year. Distinct from public promotional rates.

A no-show is a guest with a confirmed reservation who fails to arrive on the check-in date — without canceling in advance. Charged or not charged depending on the rate plan and policy.

The percentage of your available rooms that are sold for a given period. 70 occupied rooms out of 100 available = 70% occupancy.

A pricing approach where rates are set continuously and uniquely per date, room type, and segment — rather than from a small set of "tier-based" rates. Each room-night gets its own optimal price.

Third-party online platforms that aggregate hotel inventory and sell rooms directly to consumers. Booking.com, Expedia, Hotels.com, Agoda, Hotelbeds, and similar.

OTB is the total of confirmed reservations for a future period, as of right now. "OTB for next May is 1,800 room nights" means you currently hold 1,800 confirmed reservations across the May calendar.

Overbooking is the practice of accepting more reservations than you have rooms, on the assumption that some will cancel or no-show. A 100-room hotel accepting 105 reservations for tonight is overbooking by 5%.

The rate at which a future period is filling up. "The pace for next May is +12% vs same point last year" means you're 12% ahead in room nights booked compared to one year ago for the same future period.

Pickup is the change in your reservations between two points in time. "This week's pickup" means the net new room nights booked since last week's snapshot.

The core operational software used by hotels to manage reservations, check-in/out, room assignments, billing, and other front-of-house operations. The single source of truth for guest and reservation data. Examples: Hostware, Sabeeapp, Previo, Fidelio Opera, Protel.

A measure of how sensitive demand is to price changes. "Price elasticity of -1.5" means a 10% rate increase produces a 15% decrease in demand. Different segments and periods have different elasticities.

Rate parity is the policy that the same room on the same night sells at the same price across all channels. Booking.com sees the same rate as your direct site sees as Expedia sees.

Rate shopping is the practice of monitoring competitor rates — typically by scraping their public OTA listings — to understand market positioning. Tools like RateGain, OTA Insight, and Rate Tiger automate the scrape; manual rate shopping is daily OTA browsing.

A high-level positioning choice for how a hotel sells its inventory. "Yield" prioritizes high ADR even at lower occupancy; "volume" prioritizes high occupancy even at lower ADR; "balanced" targets RevPAR optimization without explicit preference.

Total room revenue divided by the total number of available rooms — occupied or not. If your hotel has 100 rooms and €9,000 of room revenue, RevPAR is €90.

A formal solicitation from a corporate buyer (typically a company or travel-management agency) asking hotels to submit pricing proposals for a defined volume of business over a defined period. Annual RFP cycles are common in corporate hotel sales.

RGI compares your RevPAR to the compset average, expressed as a percentage. Mathematically, RGI = ARI × MPI / 100. RGI above 100 = your RevPAR beats the set; below 100 = the set is generating more revenue per available room than you are.

Software that automatically optimizes room rates based on demand signals, competitive data, and historical patterns. Examples: IDeaS, Duetto, Atomize, RoomPriceGenie. Distinct from BI tools, which focus on analytics rather than pricing optimization.

Same Point YoY means comparing this year's metric to last year's equivalent week-position — not last year's same calendar date. Thursday week 17 this year compares to Thursday week 17 last year.

The classification of bookings into categories based on guest type, source, or pricing tier. Common segments: transient retail (BAR), corporate (negotiated), groups (block bookings), MICE (events), wholesale (tour operators).

SMAPE is a forecast-accuracy metric — a variant of MAPE designed to handle the case where the actual value is very small or zero (where MAPE explodes). The error gets normalized by the average of forecast and actual, not just actual.

Smart Forecast is an AI-corrected forecast: the property's committed forecast feeds a model, which compares it against historical patterns, OTB trajectory, day-of-week effects, and event calendars, then publishes a delta and a recommendation. The revenue manager keeps the final say.

A snapshot is a point-in-time copy of your reservation state — OTB, ADR, occupancy, segment splits — captured on a specific date and preserved unchanged. Think of it as photographing a plant on your windowsill every day: today's photo is today's state, yesterday's photo stays as it was, and the album lets you see the growth between any two days.

A restriction that closes off bookings on a specific channel for a specific date. "Stop sell on Booking.com for May 12" means no new Booking.com reservations for that date.

A distinction between two views of revenue data: "definitive" shows actual on-the-books reservations (OTB); "tentative" shows budget-based projections as if they were reservations. Tentative mode answers "what would the dashboard look like if we hit our plan?"

Time Machine is a class of BI feature that replays the OTB state from any past day — letting you see what the future looked like, from that day's perspective. "On April 15, what did we know about June?"

Total revenue (rooms + F&B + spa + other ancillary) divided by available rooms. Where RevPAR considers only room revenue, TRevPAR captures the whole property revenue per room.

A guest who arrives at the hotel without a prior reservation and books on the spot. Counted as a distinct channel in some PMSes.

Wash factor is the expected percentage of confirmed reservations that won't materialize — through cancellation, no-show, or modification. A wash factor of 8% on a 100-room block means you should plan for ~92 rooms actually occupied.

A composite metric measuring how well a hotel is yielding revenue compared to potential. Often expressed as actual RevPAR divided by maximum-possible RevPAR (full occupancy at BAR), expressed as a percentage.

Yield management is the practice of selling the right room to the right guest at the right price at the right time. Roots in airline pricing in the 1980s; adapted to hotels in the 1990s. The modern, broader version is called revenue management.