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Guide · Revenue

ADR explained

Understanding the average daily rate · ← All guides

The ADR (Average Daily Rate) is the average price per night actually rented and a central metric in revenue management.

Calculating ADR

ADR = room revenue ÷ nights sold. Example: €2,800 revenue across 20 rented nights gives an ADR of €140. Note: ADR doesn't account for vacancy – for that, RevPAR is the better metric.

How to increase ADR

  • Professional listings and photos (see have your listing created)
  • Dynamic pricing for demand spikes
  • Better reviews through fast communication

Frequently asked questions

ADR measures the price per night sold; RevPAR measures revenue per available night (including vacancy). RevPAR is more meaningful.

It depends heavily on location and property. What matters isn't ADR alone, but RevPAR from price and occupancy.

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