Glossary
Hotel Revenue Management Glossary
Short, clear definitions of the terms used most often in hotel revenue management. If you've come across a term and want to know what it means, you're in the right place.
- RevPARRevenue Per Available Room
- Revenue per available room. Total room revenue divided by the total number of rooms, whether sold or not. Because it combines both price and occupancy performance in a single metric, it is the most fundamental measure in revenue management.
- ADRAverage Daily Rate
- Average daily room rate. Revenue from sold rooms divided by the number of rooms sold. It reflects the hotel's pricing performance.
- OccupancyDoluluk
- The ratio of rooms sold to total rooms, as a percentage. It's the most basic indicator of demand and inventory use, but on its own it doesn't tell the whole revenue story.
- GOPPARGross Operating Profit Per Available Room
- Gross operating profit per available room. Unlike RevPAR, it accounts for costs, so it reflects the hotel's true profitability better than RevPAR does.
- TRevPARTotal Revenue Per Available Room
- Total revenue per available room. It covers not just rooms but all revenue sources — food and beverage, spa, events. It measures the hotel's overall revenue performance.
- BARBest Available Rate
- The best available rate. The lowest unconditional public room rate a hotel offers for a given date. It's the reference point of the pricing structure.
- OTAOnline Travel Agency
- Online travel agency. Platforms like Booking.com and Expedia that sell hotel rooms for a commission. They provide high visibility but carry a commission cost.
- PMSProperty Management System
- Property management system. The core software that runs operational processes — reservations, check-in/out, room status and billing. All of the hotel's commercial data passes through it.
- RMSRevenue Management System
- Revenue management system. Software that forecasts demand and produces price recommendations, automating dynamic pricing. Where the PMS is operational, the RMS focuses on commercial optimisation.
- Channel ManagerKanal Yöneticisi
- The system that distributes a hotel's rates and availability to all OTAs and sales channels simultaneously. It keeps channels consistent and removes the burden of manual updates.
- Rate ParityFiyat Paritesi
- The principle of offering the same room at the same price across all sales channels. Price inconsistency across channels damages both OTA relationships and guest trust.
- Direct BookingDoğrudan Rezervasyon
- A reservation made through the hotel's own website or channels rather than an OTA. Because it carries no commission, it contributes directly to net profitability.
- Upsell / Cross-sellÜst Satış / Çapraz Satış
- Offering the guest a higher room category (upsell) or an additional service (cross-sell). It's one of the most practical ways to grow revenue per room from the same booking.
- Booking PacePickup
- Tracking how quickly reservations come in over time for a given date. Compared against previous years, it guides pricing and inventory decisions.
- ForecastTahmin
- A projection of occupancy, ADR and revenue for a future period. It forms the basis of budgeting, pricing strategy and operational planning.
- OverbookingFazla Rezervasyon
- Accepting slightly more reservations than there are rooms, to offset cancellations and no-shows. Managed well it protects revenue; managed badly it creates guest problems.
- Length of StayLOS
- How many nights a guest stays. Minimum/maximum stay restrictions are tools used to optimise revenue during high-demand periods.
- SegmentSegment
- Grouping guests by booking type, channel or purpose (corporate, individual, group, OTA, etc.). Revenue strategy is built segment by segment; each has its own price and profitability.