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Glossary overview

Hotel marketing performance metrics

Armin Gögele, last updated on 13.06.2023 

Key figures in the hotel industry

Performance indicators in the hotel industry are the key to success. They help hoteliers to assess performance, identify problems and make improvements. The most important key figures include occupancy, RevPAR (revenue per available room) and GOPPAR (gross operating profit per available room).

Performance indicators in online marketing for the hotel industry

Performance indicators in online marketing provide valuable information about the success of marketing activities. Some of the most important key performance indicators (KPIs) are:

  • Conversion Rate: The conversion rate measures the percentage of website visitors who take a desired action, such as booking a room.
  • Return on Ad Spend (ROAS): ROAS measures the ratio of advertising spend to revenue generated.
  • Return on Investment (ROI): ROI indicates how much profit was generated in relation to the costs invested.

The most important questions regarding performance indicators in the hotel industry

What metrics should I monitor to evaluate the success of my online marketing campaigns?

To evaluate the success of your online hotel marketing campaigns, key performance indicators such as conversion rate, return on ad spend (ROAS) and ROI should be monitored.

How do I calculate ROI for my hotel marketing activities?

The return on investment (ROI) for marketing activities in the hotel industry4 is calculated by subtracting marketing costs from total revenue. The result is then divided by the marketing cost and multiplied by 100 to give a percentage. A positive ROI indicates that the marketing activities have generated a financial profit.

Why are performance metrics important for hotels?

Performance metrics are critical for hotels because they provide objective measures for evaluating the economic situation, the success of marketing and operational strategies, and customer satisfaction. These metrics offer a robust analysis of performance and help hotels take targeted optimization measures to increase profitability and deliver a better guest experience.