What is hotel occupancy rate?
Hotel occupancy rate is a key performance indicator in the hotel industry. It shows the percentage of a hotel that is occupied, or in this case an average percentage of many hotels’ occupancy within a region. Other useful KPI’s that are used in the lodging industry are the average daily rate (ADR) and revenue per available room (RevPAR).
Monthly occupancy trends
The monthly occupancy trends in the U.S. are quite simple to spot. For example, the summer months (June to August) annually show a high occupancy rate. Summer is typically high season for hotels due to factors like good weather, longer days and school holidays. Winter occupancy rates reflect the low season, typically year-on-year the occupancy begins to decrease around October and spike around June. In 2021, the occupancy rate of the hotel industry in the U.S. was 57.6 percent.