Average Daily Rate: Average rate of all sold rooms. Calculation: (Total room revenue) / (Number of all sold rooms)
A comparing analysis of results having a fixed reference value. It is common practice to also name market leaders “benchmark”, as they represent the highest point, possible to reach.
Big Data stands for the vast amount of data, companies and organizations are facing about their activities. It means for example the data coming from the business itself and its customers, which were captured with the business processes.
Cloud Software Solution
A Cloud Software Solution is a software, that does not need to be installed locally on your PC, laptop or any other devise. It can be run directly online via your personal Log In. The advantage of this solution is, that it is available from anywhere in the world (if you have an internet connection) and updates are installed automatically.
Length of stay: LOS is always indicated with a number. 4 LOS means a length of stay restriction of 4 days which means the hotel only allows bookings with a minimum stay of 4 nights during this time.
On the books: Figures are on the books, when they are fix in the system. For example, a reservation that has been made does change the OTB figures for revenue and room nights for this reservation. When for example a reservation of 5 nights with an ADR of € 150,- has been made, the OTB revenue goes up by € 750,- and the OTB room nights go up by five.
Online Travel Agency: is the collective term used for all travel agencies working via the internet. The most common examples are Booking.com and Expedia.
The Pick Up is one of the major figures for Revenue Management. It represents the dynamic of the company´s performance. When many new reservations were made, we call this a strong Pick Up und if only few reservations were entered we are speaking of a weak Pick Up. This figure is used for both room nights sold and revenue of these room nights.
Property Management System: A PMS is a support software that assists hoteliers with the administration of the reservations and prices. Modern systems can be connected to OTAs, so that hoteliers can manage all prices and the availability with one system. Well-known systems are ASA, Fidelio Suite 8, Protel and many more.
Revenue per available room: This KPI combines occupancy and ADR (see ADR). It takes the whole inventory of a hotel to see how it was performing. There are two ways of calculating the RevPAR:
- RevPAR= (total room revenue) / (total number of rooms) or
- RevPAR= (ADR) x (occupancy in %)
Year to Date: Result of the KPI from beginning of the year until the current day.