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Unformatted text preview: ooms Sold 4 Definition of RevPAR
Definition of RevPAR RevPAR – ability of a hotel to produce income and how many dollars each room is producing. Room Revenue
Number of Available Rooms
Hotel occupancy % x ADR 5 Discussion Question
Discussion Question How useful are?
A. B. C. OCCUPANCY %
RevPAR 6 Discussion Question Answer
Discussion Question Answer A. B. C. Used to project room revenues
Demonstrate how room revenue is calculated
Leads into Revenue Management 7 History of Yield Management
History of Yield Management Airline industry’s use of yield Management Deregulation of airlines in late 1970s “Take It or Leave It” Certain periods, certain seats, certain flights…
Compare similarities of the airline industry and hotel industry Volatile product Demand periods which places the producers in a favorable position
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- Fall '07