What is the Star report?

The STAR program is used by the global hotel industry as a vital revenue management tool. The report benchmarks a hotel's performance against its competitive aggregate and local market. The STAR program tracks and delivers monthly, weekly and daily data.

Accordingly, what does Star report mean?

The STAR (Smith Travel Accommodations Report) program is used by the global hotel industry as a vital revenue management tool. The STAR program tracks and delivers monthly, weekly and daily (Non North America only) reporting data.

Subsequently, question is, what is a STR report? Developed by the hospitality industry analytics firm Smith Travel Research, the STR report is a benchmarking tool that compares your hotel's performance against a set of similar hotels.

Similarly, you may ask, what is the Star report for hotels?

Smith Travel Accommodations Report (STAR Report) A benchmark used to evaluate a hotel's performance against its competitive set. The Smith Travel Accommodations Report (STAR Report) tracks matters such as: Occupancy Rate.

What does STR stand for hotels?

Smith Travel Research

Why is RevPAR so important?

RevPAR is used to assess a hotel's ability to fill its available rooms at an average rate. If a property's RevPAR increases, that means the average room rate or occupancy rate is increasing. RevPAR is important because it helps hoteliers measure the overall success of their hotel.

How do you analyze hotel performance?

Following is the list of most important metrics that will help you to analyze your hotel's market performance and create the suitable market strategies:

1. Average Daily Rate (ADR)
2. Revenue per Available Room (RevPAR)
3. Average Occupancy Rate / Occupancy (OCC)
4. Average Length of Stay (ALOS)
5. Market Penetration Index (MPI)

What is RGI in hotel industry?

RGI stands for: Revenue Generation Index. RGI compares your hotel's RevPar to the average RevPar in the market. It is used to determine if a hotel is gaining a fair share of revenue compared to its compset.

What if there are blanks in my comp set numbers on the STR report?

What if there are blanks in my comp set numbers on my Bandwidth Report? This means that your comp set did not include sufficient data for reporting. A minimum of three (3) hotels must report data in order for STR to provide comp set performance.

What is the average number of hotels in a competitive set?

Identifying competition. A competitive set (or comp-set) should typically be a group of at least four to five hotels that are able to qualify as direct competitors to your own asset. To be fair, it is often difficult to define your ideal comp-set due to a variety of reasons.

How do you calculate ADR change?

Simply multiply your average daily rate (ADR) by your occupancy rate. For example if your hotel is occupied at 70% with an ADR of $100, your RevPAR will be $70. The other way to calculate it is by dividing the total number of rooms available in your hotel with the total revenue from the night.

What does Comp Set mean?

Competitive Set

What is a good RevPar?

On average, you rent out about 45 of those rooms every night, making your occupancy rate about 90%. If you charge an average of $100 per night, your RevPAR looks like this: $100 x 0.90 = $90. Basically, RevPAR is the money you're pulling every night from every room in your hotel, not just the ones that are booked.

What is GOP in hotel industry?

GOP stands for: Gross Operating Profit. It is a KPI which refers to the Hotels profits after subtracting all of their operating expenses. It illustrates the level of operational profitability of a hotel.

What is the formula of RevPar?

RevPar is calculated by multiplying a hotel's average daily room rate by its occupancy rate. It is also calculated by dividing total room revenue by the total number of rooms available in the period being measured. RevPAR reflects a property's ability to fill its available rooms at an average rate.

How do you calculate year to date occupancy?

To calculate the year-to-date (YTD) return on a portfolio, subtract the starting value from the current value and divide by the starting value. Multiplying by 100 converts this figure into a return percentage, which is more useful than the decimal format in comparing the returns of different investments.

What is occupancy index?

Occupancy Index: A ratio measure computed as: Occupancy: Rate of a selected hotel. + Occupancy rate of that hotel's competitive set = Occupancy Index.

What is the role of Smith Travel Research?

Smith Travel Research, an american company formerly known as STR provides a monthly report to the hotel industry, which is helps in measuring & benchmarking the hotel performance against other competitive set across the market.

How do you calculate occupancy index?

Occupancy is calculated by dividing the number of rooms sold by rooms available. Occupancy = Rooms Sold / Rooms Available. Occupancy Index– The measure of your property occupancy percentage compared to the occupancy percentage of your competitive set. Formula: Hotel OCC/ competitive set OCC * 100.

How is RGI calculated in hotels?

How to calculate RGI:

1. RGI = 1 The hotel RevPar is equal to the average RevPar of their comp set.
2. RGI > 1 The hotel RevPar is higher than the average RevPar of their comp set.
3. RGI < 1 The hotel RevPar is less than the average RevPar of their comp set.

How is MPI calculated in hotels?

Market Penetration Index (MPI) You can calculate it by dividing your hotel's occupancy rate by that of your comp set and multiplying the result with 100.

What does STR stand for?

STR means "Send To Receive" or "Short Term Relationship" . "Send To Receive". The abbreviation STR is widely used in text-based conversations as a request to exchange pictures.