KPIs
Occupancy rate
Occupancy rate is the percentage of available hotel rooms sold in a period: rooms sold divided by rooms available, multiplied by 100.
1 min read · Updated: September 28, 2026
Occupancy is the simplest hotel KPI but it says nothing about revenue on its own: a hotel can be 95% full at very low rates. That is why it is read together with ADR and RevPAR. Rooms out of order (renovation, faults) are usually excluded from available rooms.
Occupancy = rooms sold / rooms available × 100%
How it works in practice
Example: a 50-room hotel has 350 available room nights in a week and sells 245. Occupancy is 245 / 350 = 70%. City hotels in the UK tend to fill up midweek with business travellers, while leisure and coastal properties peak at weekends and in summer.
How technology helps
Occupancy is calculated in the PMS. With higher occupancy, more guests can order extras; with hotelspot, those sales appear in the G-commerce Manager reports.
Frequently asked questions
- How do you calculate occupancy rate?
- Divide rooms sold by rooms available and multiply by 100%. For example, 245 out of 350 is 70%.
- What is a good hotel occupancy rate?
- It depends on location, season and type of hotel. What matters most is whether occupancy and rate together deliver a strong RevPAR.
