What is occupancy rate?
Occupancy rate is the percentage of your available rooms that are sold. It's one of the three metrics every hotelier watches — alongside ADR and RevPAR. High occupancy is great, but only paired with a healthy rate — which is why RevPAR (ADR × occupancy) is the number that ties them together.
How to calculate occupancy rate
Divide the rooms you sold by the rooms you had available, then multiply by 100: Occupancy = (Rooms Sold ÷ Rooms Available) × 100. Read Revenue Management for Independent Hotels to turn occupancy into pricing decisions, or browse all our free hotel tools.