#hotelfinance #hotelmanagement #hotelops #hotelinvestment #revenuemanagement #adr #revpar | Jinheon KIM
💸 RevPAR, a key hotel metric, can mislead when used in isolation. Higher RevPAR may coincide with stagnant profits due to rising costs or discounting strategies. Operational stress, such as overtime and service delays, isn't reflected in RevPAR. Short-term discounts boost RevPAR but can harm long-term pricing. Owners focus on metrics like GOP and NOI instead. RevPAR indicates performance, but true success is seen in flow-through, cost discipline, and sustainability.
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