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Front Office Formulas

This document outlines several key performance indicators (KPIs) used in hotel front office operations including average room rate, average rate per guest, bedroom occupancy rate, revenue per available room, cost per occupied room, potential average rate, room achievement factor, and labor cost ratio. Formulas are provided to calculate each KPI to measure room sales, occupancy levels, revenue generation, costs, and labor efficiency.

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vikesh mehra
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980 views1 page

Front Office Formulas

This document outlines several key performance indicators (KPIs) used in hotel front office operations including average room rate, average rate per guest, bedroom occupancy rate, revenue per available room, cost per occupied room, potential average rate, room achievement factor, and labor cost ratio. Formulas are provided to calculate each KPI to measure room sales, occupancy levels, revenue generation, costs, and labor efficiency.

Uploaded by

vikesh mehra
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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Front Office KPI's

KPI Formula
Average Room Rate (ARR) = Rooms
Average Room Rate (ARR/ADR)
Revenue / Number of rooms sold
Average Rate Per Guest= Total
Average Rate Per Guest (AGR) Room Revenue / Total Number of
guests
Bedroom occupancy rate = % of
Bedroom Occupancy Rate Number of rooms sold / Number of
rooms available x 100
Total Room Revenue / Total Number
Revenue per Available Room
of Available Rooms for sale
Total rooms department cost /
Cost per Occupied Room
Number of rooms sold
Single Room Revenue at
Potential Average
Published Tariff or Rack Rate /
Rate Single and Double Rate
Number of Rooms sold as singles
Room Achievement Factor AF (Rate Actual Average Rate / Potential
Potential Percentage) Average Rate
% Rooms Payroll & Related
Labour Cost Ratio
expenses x 100 / Room Revenue

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