👉 The true margin that ends up “in your pocket” after deducting discounts, commissions, and variable costs.
📘 What is Pocket Margin?
It is the effective profit per booking after removing all direct booking-related costs.
✅ Why is Pocket Margin important?
Because it reveals the true profitability of each channel or rate.
💡 Practical example of Pocket Margin
- Selling price: £150
- OTA Commission: £18
- Discount applied: £15
- Variable cost: £10
Pocket Margin = 150 − 18 − 15 − 10 = £107
🔄 Disambiguation Pocket Margin
Unlike RevPAR , or ADR, Pocket Margin accounts for costs.
In summary: it measures the real net margin.
