The Hotel Adviser
Revenue & Pricing

TRevPAR (Total Revenue Per Available Room)

Definition

TRevPAR is total revenue per available room — it widens RevPAR to capture every rupee a guest and a square foot of the hotel generate, including food and beverage, banquets, spa and ancillary income.

Also called: Total Revenue Per Available Room · Total RevPAR

How it is calculated

  • TRevPAR = Total Hotel Revenue ÷ Total Available Rooms

In practice

RevPAR measures only the room. TRevPAR measures the whole guest. In a full-service Indian hotel a large share of revenue, and an even larger share of profit potential, sits outside the room — yet most hotels price rooms carefully and leave every other income stream to chance.

The shift TRevPAR forces is from departmental silos to a whole-guest, profit-led view. Asked whether to discount a room rate to win a booking, a rooms manager working in isolation says no. Measured on total revenue, if that guest reliably spends in F&B and the spa, a slightly lower room rate can be the more profitable decision.

It also extends revenue-management logic from rooms to space and time. A banquet hall on a Saturday in wedding season is a far more valuable unit of inventory than the same hall on a Tuesday afternoon, and restaurant seats in peak dayparts behave the same way.

Why it matters to an owner

For many Indian hotels F&B and banquets are the largest total-revenue prize and the most under-managed. Measuring TRevPAR is usually the first time an owner sees what the non-room business is actually worth.

Frequently Asked Questions

RevPAR counts room revenue only. TRevPAR counts all revenue — rooms plus F&B, banquets, spa and ancillary — divided by the same available rooms, so it reflects the full value of a room-night.

Integrated systems. When the PMS, POS, banquet and sales systems and BI tools talk to each other, a hotel can finally see total profit per guest and per space — the data the discipline has always needed and rarely had.

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