# Calculating and increasing hotel revenue > URL: https://furnirent.com/en/guides/calculating-and-increasing-hotel-revenue > Language: en --- # Calculating and increasing hotel revenue More occupancy is nice — but in the end, revenue is what counts. And it comes from two levers: the room rate and occupancy. This guide shows you how to calculate your hotel revenue, why the RevPAR metric bundles both figures into a single number, and which levers you can use to increase revenue per room sustainably. [Calculate your hotel refurbishment](https://furnirent.com/en/hotel-renovation-calculator) [Guide as PDF](https://furnirent.com/en/wp-content/uploads/2026/07/furnirent-ratgeber.pdf) ![](https://furnirent.com/wp-content/uploads/2026/07/hotelauslastung-berechnen-steigern-ratgeber-hero-320x320.avif) ![Dekoratives Hintergrundelement](https://furnirent.com/wp-content/themes/theme-4eck/build/images/design/element-04.svg) ## Calculating hotel revenue: RevPAR as the key metric ### Room rate, occupancy and revenue per available room Your revenue from the rooms business comes from two factors: the average room rate (ADR) and occupancy. A property with 20 rooms, 365 opening days and 59 per cent occupancy sells around 4,300 room nights — at a room rate of €120, that’s about €516,000 in room revenue per year. The metric that bundles both figures into a single number is the RevPAR – Revenue Per Available Room, that is, revenue per available room. You calculate it very simply: room rate multiplied by occupancy. €120 × 59 per cent gives a RevPAR of around €71. Why is the RevPAR so important? Because it can’t be gamed. High occupancy looks good — but if you’ve only bought it with dumping prices, the RevPAR still falls. Conversely, a high room rate does little if the beds stay empty. The RevPAR shows the honest truth and makes different periods and properties comparable. In addition, it’s worth looking at room capacity (rooms × opening days) and full-occupancy days. With our [online calculator](https://furnirent.com/en/hotel-renovation-calculator), you can work through price, occupancy and revenue directly for your property. ![Dekoratives Hintergrundelement](https://furnirent.com/wp-content/themes/theme-4eck/build/images/design/element-03.svg) ## Increasing hotel revenue: turning both levers ### Increase occupancy and raise the room rate The strongest lever for revenue is the quality of the rooms — precisely because it acts on both levers at once. After a renovation, experience shows that occupancy can be increased by up to nine per cent and the achievable room rate by around eight per cent. Since the RevPAR is the product of the two, it grows disproportionately. A worked example: €120 price and 59 per cent occupancy (RevPAR €71) become around €130 at 64 per cent after the modernisation — a RevPAR of about €83. That’s over 16 per cent more revenue per room, without building a single additional room. Besides quality, the classic revenue levers apply: a clear positioning towards the right target group, a well-thought-out price and occupancy management (yield management), plus well-kept online presences and active review management. Higher prices in high season, targeted offers in low season — all of this feeds into the RevPAR. Our tip: measure the success of every measure by the RevPAR, not by occupancy alone. And calculate the additional revenue before every investment — that way you decide based on figures instead of gut feeling. ## Hotels modernised by furniRENT get more revenue out of every room ![](https://furnirent.com/wp-content/uploads/2026/07/hotelauslastung-steigern-01-320x180.avif) ![](https://furnirent.com/wp-content/uploads/2026/07/hotelauslastung-steigern-02-320x180.avif) ![](https://furnirent.com/wp-content/uploads/2026/06/hotel-bergland-bauphase-2-referenz-furnirent-04-320x180.avif) ![](https://furnirent.com/wp-content/uploads/2026/06/hotel-bergland-referenz-furnirent-03-320x180.avif) ![](https://furnirent.com/wp-content/uploads/2026/06/hotel-bergland-speisesaal-referenz-furnirent-05-320x180.avif) ![](https://furnirent.com/wp-content/uploads/2026/06/hotel-bockelmann-referenz-furnirent-03-320x180.avif) ![](https://furnirent.com/wp-content/uploads/2026/06/hotel-grischuna-ag-referenz-furnirent-03-320x180.avif) ![](https://furnirent.com/wp-content/uploads/2026/06/hotel-hirschen-wildhaus-referenz-furnirent-01-320x180.avif) ![](https://furnirent.com/wp-content/uploads/2026/06/hotel-lilienhof-referenz-furnirent-05-320x180.avif) ![](https://furnirent.com/wp-content/uploads/2026/06/hotel-thessoni-referenz-furnirent-02-320x180.avif) ![](https://furnirent.com/wp-content/uploads/2026/07/hotelauslastung-steigern-01-320x180.avif) ![](https://furnirent.com/wp-content/uploads/2026/07/hotelauslastung-steigern-02-320x180.avif) ![](https://furnirent.com/wp-content/uploads/2026/06/hotel-bergland-bauphase-2-referenz-furnirent-04-320x180.avif) ![](https://furnirent.com/wp-content/uploads/2026/06/hotel-bergland-referenz-furnirent-03-320x180.avif) ![](https://furnirent.com/wp-content/uploads/2026/06/hotel-bergland-speisesaal-referenz-furnirent-05-320x180.avif) ![](https://furnirent.com/wp-content/uploads/2026/06/hotel-bockelmann-referenz-furnirent-03-320x180.avif) ![](https://furnirent.com/wp-content/uploads/2026/06/hotel-grischuna-ag-referenz-furnirent-03-320x180.avif) ![](https://furnirent.com/wp-content/uploads/2026/06/hotel-hirschen-wildhaus-referenz-furnirent-01-320x180.avif) ![](https://furnirent.com/wp-content/uploads/2026/06/hotel-lilienhof-referenz-furnirent-05-320x180.avif) ![](https://furnirent.com/wp-content/uploads/2026/06/hotel-thessoni-referenz-furnirent-02-320x180.avif) [Discover more references](https://furnirent.com/en/references) ## Common mistakes when increasing hotel revenue ### Why revenue optimisation often fails A common mistake: looking only at occupancy. 90 per cent occupancy sounds great — but if it’s bought with discounts, revenue per room can be lower than at 70 per cent at sensible prices. Those who ignore the RevPAR are optimising the wrong metric. A second classic: skimping on the substance. Those who postpone modernisations risk worse reviews, falling prices and fewer bookings — the RevPAR then falls twice over. The target group is also underestimated: those who want to appeal to everyone end up appealing to no one properly and have to compete on price. A clear positioning allows higher prices — and thus a higher RevPAR. Our practical tip: renovate in phases to stay open for business and keep revenue losses during the conversion low — that way you increase revenue per room without ending up out of pocket. ## More revenue from every room — with furniRENT furniRENT modernises your hotel rooms on schedule, at a fixed price and while the hotel stays open — the basis for better reviews, higher room rates and more occupancy. Together, these lift your RevPAR. On request, including a profitability calculation and a free investment concept. A higher RevPAR – from price and occupancy Up to 9% more occupancy after renovation Renovation while the hotel stays open Profitability calculated in advance [Contact us](https://furnirent.com/en/contact) [To the calculator](https://furnirent.com/en/hotel-renovation-calculator) ![](https://furnirent.com/wp-content/uploads/2026/07/hotelauslastung-berechnen-steigern-ratgeber-kontakt-320x320.avif) ## Frequently asked questions about hotel revenue ![](https://furnirent.com/wp-content/uploads/2026/07/furnirent-kontakt-daniel-pfeifer-4-320x320.avif) ### Contact us We're happy to calculate exactly how much more is in your rooms, specifically for your property. Get in touch for a no-obligation conversation — by phone or email. Daniel Pfeifer [+43 4242 222 390](tel:+434242222390) [beratung@furnirent.com (öffnet E-Mail-Programm)](mailto:beratung@furnirent.com) How do you calculate a hotel's revenue? You calculate room revenue from room nights sold times the average room rate. Alternatively: room capacity (rooms × opening days) times occupancy times price. Example: 20 rooms, 365 days, 59 per cent occupancy and a €120 price give around €516,000 in room revenue per year. What is the RevPAR? RevPAR stands for Revenue Per Available Room. You calculate it as room rate times occupancy — or as room revenue divided by the available rooms. The RevPAR bundles price and occupancy into a single number and is the most meaningful metric in the rooms business because, unlike occupancy alone, it can’t be dressed up with dumping prices. How do I increase revenue per room (RevPAR)? Via both levers: increase occupancy and raise the achievable room rate. The most effective levers are modern, well-kept rooms (better reviews and higher prices), a clear positioning towards the right target group, and good price and occupancy management. Because the RevPAR is the product of price and occupancy, improvements on both sides have a disproportionate effect. How much does revenue rise after a renovation? From experience and guest surveys, occupancy can be raised by 6 to 15 per cent after a renovation and the room rate by around €5 to €20. Since both values feed into the RevPAR, revenue per room rises correspondingly clearly. The exact figures depend on the property and the starting point — [best worked through in advance](https://furnirent.com/en/hotel-renovation-calculator). How do I find out whether an investment is worthwhile? With an additional-revenue calculation: you compare the expected additional revenue from a higher RevPAR against the investment costs. Using furniRENT’s online calculator, you can work through this for your property with no obligation.