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PartI 7. Occupancy index:v Rooms Available Rooms Sold YYMM Su Revenue man 19 327

ID: 3879501 • Letter: P

Question

PartI 7. Occupancy index:v Rooms Available Rooms Sold YYMM Su Revenue man 19 3270 e Subiect Hotel 8. ADR index: 2017/01 Hotel A Iotel Hotel C Hotel De Hotel E* 355100- 990 6568e 714618 494867 731419- 2017/01 10106 9. RevPar index: 2017/01o 11136 7872 664p Use the above table to answer questions 1-12. Please compute occupancy, ADR, and RevPar for the competitive set (only aggregate data) and the subject hotel.- Please calculate the fair market share, actual market share and market share in revenue for the subject hotel Competitive Set:- 10. Fair market share: 2. ADR 11. Actual market share: 3. REVPAR 12. Market share in revenue:- Subject Hotel: 5. ADR 6. REVPAR

Explanation / Answer

Occupancy= Room sold/ Room Available

ADR = Room revenue/ Rooms sold

REVPAR = Room revenue/ Room Available

1. Occupancy: 7583+7872+6568/8990+11136+10106 = 22023/30232 = 0.7284

2. ADR : 701840+714618+731419 / 7583+7872+6568 = 97.52

3. RevPar :701840+714618+731419/8990+11136+10106 =71.04


Subject hotel

4. Occupancy: 7519/11904 = 0.6316
5.ADR : 716335/7519 = 95.26
6.RevPar : 716335/11904 = 60.17

7.Occpupancy index = (The subject hotel occupancy / competitive set occupancy) * 100 = (0.63/0.73)*100 = 86.30

8.ADR index = (The subject hotel ADR / competitive set ADR) * 100 = (95.26/97.52)*100= 97.68

9.RevPAR index(RGI) = (The subject hotel REVPAR/ competitive set REVPAR) * 100= (60.17/71.04)*100 = 84.69


10. Fair Market Share: Total no.of rooms at the Subject hotel/ Total no.of rooms at the competitive set(include subeject hotel as well)
                      
                        Total no.of rooms = rooms available+rooms sold
                      
                         11904+7519 /8990+7583+10106+6568+11136+7872+11904+7519 = 19423/71678 = 27%

11. Actual market= Rooms sold by the subject hotel/ rooms sold by competitive set(include subeject hotel as well)
                         7519/7583+7872+6568+7519+7519 = 7519/29542 = 25.4%


12. Market Share in Revenue: Revenue of the Subject hotel/ Revenuw of the competitive set(include subeject hotel as well) = 716335 /701840+714618+731419 = 716335/2864212 = 25%