On this page
- Which KPIs does a hotel or glamping owner really need?
- The main KPIs and their formulas
- Example: a 12-cabin glamping site over 30 days
- Operating cost structure in the example
- How seasonality changes the picture
- How do you keep these KPIs in management accounting?
- Month-end checklist
- Terms
- Frequently asked questions
Which KPIs does a hotel or glamping owner really need?
Occupancy on its own guarantees nothing: you can fill every cabin at a discount and still not earn. That is why hospitality looks at pairs of numbers — how many nights were sold and at what price, how much revenue there is and how much of it is left after operating costs.
Below are the formulas, an illustrative example for a 12-cabin glamping site and tips on organising the data in management accounting. All numbers in the example are made up.
The main KPIs and their formulas
| Metric | Formula | What it shows |
|---|---|---|
| Occupancy | Sold nights ÷ available nights × 100% | How much of the capacity is used |
| ADR | Room revenue ÷ sold nights | The average price of one sold night |
| RevPAR | Room revenue ÷ available nights = occupancy × ADR | What each available night earns, sold or not |
| GOPPAR | Gross operating profit (GOP) ÷ available nights | What is left after operating costs from each available night |
| ALOS | Sold nights ÷ number of stays | The average length of a stay |
| Operating cost per occupied night | Operating costs ÷ sold nights | The price floor below which a night loses money |
Example: a 12-cabin glamping site over 30 days
Available nights: 12 cabins × 30 days = 360. Sold: 234 nights across 78 stays at an average price of €120 per sold night.
- Occupancy: 234 ÷ 360 = 65%.
- Room revenue: 234 × 120 = €28,080. ADR: 28,080 ÷ 234 = €120.
- RevPAR: 28,080 ÷ 360 = €78. Check: 0.65 × 120 = €78.
- ALOS: 234 ÷ 78 = 3.0 nights.
- Extras (sauna, breakfasts, equipment rental): €4,320, so total revenue is €32,400, or €90 per available night.
- Operating costs are €24,600 (breakdown below). GOP: 32,400 − 24,600 = €7,800, a GOP margin of 24.1%.
- GOPPAR: 7,800 ÷ 360 ≈ €21.67.
- Operating cost per occupied night: 24,600 ÷ 234 ≈ €105.1.
GOP excludes costs below that line: land rent, insurance, depreciation and loan interest. Add them separately to see the result of the business as a whole.
Operating cost structure in the example
| Category | Amount, € | Share of revenue |
|---|---|---|
| Staff | 9,000 | 27.8% |
| Cleaning and laundry | 3,240 | 10.0% |
| Utilities | 3,600 | 11.1% |
| Consumables | 1,800 | 5.6% |
| Marketing and platform commissions | 3,960 | 12.2% |
| Repairs and maintenance | 1,800 | 5.6% |
| Other | 1,200 | 3.7% |
| Total operating costs | 24,600 | 75.9% |
How seasonality changes the picture
The same 12 cabins in different seasons (illustrative numbers, 360 available nights per month).
| Season | Occupancy | ADR, € | RevPAR, € | Monthly room revenue, € |
|---|---|---|---|---|
| Peak | 85% | 140 | 119 | 42,840 |
| Shoulder | 55% | 110 | 60.5 | 21,780 |
| Low season | 30% | 80 | 24 | 8,640 |
How do you keep these KPIs in management accounting?
First, split room revenue from extras into separate categories: ADR and RevPAR use room revenue only. Then track each cabin as its own project so you can see their profitability separately. It is better to record booking-platform commissions as costs rather than deduct them from revenue, so ADR stays comparable with your listed price.
On the cost side, separate operating categories (staff, cleaning, utilities, marketing) from fixed charges below GOP (rent, insurance, loan). In the profit and loss report categories can be assigned to direct, indirect or other sections, and cash flow by project shows which cabins drag the result down. Set the seasonal plan in budgets, and check off-season cash gaps in the payment calendar.
To be clear about the limits: Financist does not manage bookings and does not calculate occupancy, ADR or RevPAR automatically. Take sold and available nights from your PMS or a simple sheet, and revenue and costs from the books. More on the use case is on the hotel and glamping solution page.
Month-end checklist
- Record available nights under a single rule (whether to subtract cabins closed for repair).
- Reconcile sold nights and stays with the booking system.
- Check that room revenue and extras sit in separate categories.
- Calculate occupancy, ADR, RevPAR and ALOS.
- Calculate GOP and GOPPAR once all operating costs are entered.
- Compare with the same month last year, not with the previous season.
Terms
- Available nights
- The number of units multiplied by the days in the period; the denominator of occupancy, RevPAR and GOPPAR.
- GOP
- Gross operating profit: total revenue minus operating costs, before rent, insurance, depreciation and interest.
- OTA
- An online travel agency or booking platform that charges a commission on the stay.
- TRevPAR
- Total revenue (rooms plus extras) per available night; €90 in the example.
Frequently asked questions
What is RevPAR and why does it matter more than occupancy?
RevPAR is room revenue per available night, equal to occupancy multiplied by ADR. It reflects both how many nights were sold and at what price, so a high occupancy bought with deep discounts cannot flatter the result.
How is ADR different from RevPAR?
ADR divides room revenue by sold nights only, so it shows price. RevPAR divides by all available nights, empty ones included, so it shows the return on total capacity. ADR can rise while RevPAR falls if fewer nights are sold.
Do extras count towards ADR?
Usually not: ADR is calculated from room revenue only. Extras go into total revenue, TRevPAR and GOP. That is why accommodation and extras should be separate categories in your books.
What is GOPPAR?
GOPPAR is gross operating profit per available night. It is total revenue minus operating costs, before fixed charges such as rent, insurance, depreciation and interest, divided by available nights. It measures management efficiency, not just sales.
Does Financist calculate these KPIs automatically?
No. Financist provides the financial base — revenue and costs per cabin, the profit and loss report, budgets and the payment calendar. Nights and stays come from your PMS or a sheet, and the metrics are easy to calculate with the formulas above.