How your occupancy compares to the competition.
👉 Compare your occupancy versus the average occupancy of your compset.
📊 What is the MPI?
Market Penetration Index (MPI) your occupancy against the average of your competitive set. It reflects how well your hotel is performing in terms of market share.
🧮 Formula
MPI = (Hotel occupancy / Compset occupancy) × 100
✅ Why is it important?
- If your MPI > 100, you outperform your market.
- Evaluate your competitiveness and reveals your true positioning in the market.
- Supports pricing and commercial strategy.
📘 Practical example
Your occupancy: 85%
Compset average: 80%
MPI = (85 / 80) × 100 = 106.25 → You are above the market.
🔍 Clarifying the terms: MPI, DQI and Occupancy
These three concepts might seem similar at first glance, but they serve different purposes and actually complement each other:
- Occupancy is an absolute metric – it tells you how many rooms you’ve sold compared to how many you had available. It’s an internal figure, with no external comparison.
- MPI (Market Penetration Index) is a relative metric – it shows whether your occupancy is higher or lower than that of your direct competitors. In short, it measures your share of the market.
- DQI (Dataria Quality Index) assesses how your hotel is perceived in terms of value for money, compared to others, from the guest’s point of view. It helps explain whether you’re well-positioned at the crucial moment of the booking decision.
While MPI shows how much you’re booking compared to your compset, DQI helps you understand why guests are choosing (or not choosing) you over others.
They’re complementary metrics that give you sharper insight for strategic decision-making.