TRevPAR : total revenue per available room
The TRevPAR integrates all the revenues (bedrooms, F&B, spa, event) reported to the available rooms. It better reflects an institution's ability to monetize all its profit centres.
A hotel with a correct RevPAR but a weak TRevPAR reveals an underexploitation of its ancillary areas: restaurant, bar, seminar room. This is often where value creation is played.
GOPPAR: The nerve of war
The GOP (Gross Operating Profit) per available room is the preferred indicator for investors as it incorporates operating expenses. An increasing GOPPAR indicates an improvement in operational efficiency regardless of the tariff situation.
Hotel investment funds value the assets mainly on the basis of a multiple standard GOPPAR. Knowing how to improve this ratio is therefore directly correlated with the resale value.
Our perspective
The most sophisticated investors no longer stop at RevPAR. Mastering the TRevPAR, the GOPPAR and the NRevPAR not only allows you to better pilot, but also to present your project in its best light during a fundraising event.
