ADR & Occupancy Index vs. Comp Set
Benchmark your hotel's performance against your direct competitors. This tool calculates your Average Rate Index (ARI), Market Penetration Index (MPI), and Revenue Generation Index (RGI) to reveal your market position.
See if your rates are higher or lower than your competitors' and by how much.
Understand if you are capturing your fair share of guest demand in the market.
Make informed decisions on rates and marketing to optimize your total revenue.
Results
Enter values and click Calculate to see results
Understanding Your Market Position
Knowing your own ADR and Occupancy Rate is only half the story. To truly understand your performance, you must compare it to your competitive set (comp set) - a group of other hotels that you compete with directly for guests.
Average Rate Index (ARI): (Your ADR / Comp Set ADR) x 100. Measures your pricing performance. An ARI greater than 100 means your average rate is higher than your comp set's.
Market Penetration Index (MPI): (Your Occupancy / Comp Set Occupancy) x 100. Measures your occupancy performance. An MPI greater than 100 means you are capturing more than your fair share of the market's demand.
Revenue Generation Index (RGI): (Your RevPAR / Comp Set RevPAR) x 100, or simply (ARI x MPI) / 100. This is the ultimate benchmark, combining both rate and occupancy performance. An RGI above 100 indicates you are outperforming your market.
Frequently Asked Questions
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