What is Green RevPAR?
Green RevPAR measures revenue per available room, but only for sustainable rooms.
👉 It’s like traditional RevPAR, but applied to the green inventory.
Formula of Green RevPAR 🧮
Green RevPAR = Green ADR Light × Occupancy of sustainable rooms
Why does Green RevPAR matter?
Because it lets us compare whether sustainable rooms perform as well as or better than standard rooms, in terms of revenue per available inventory.
Practical example of Green RevPAR 🏨
A hotel has 50 sustainable rooms, with a Green ADR Light of €120 and 70% occupancy.
Green RevPAR = 120 × 0.70 = €84
🔍 Disambiguation between green and traditional metrics
Although sustainable metrics follow the same logic as traditional Revenue Management metrics, their focus is narrower:
- Green RevPAR differs from standard RevPAR, as it only considers eco-rooms and their occupancy.
💡In summary: Green metrics do not replace traditional ones, they complement them by providing insights into the value and performance of sustainability within a hotel strategy.