A practical reference for the terms used by hospitality analysts and reputation managers — from financial KPIs (RevPAR, ADR) to satisfaction signals (NPS, GuestScore) to analytical methodologies (Root Cause, Sentiment Analysis).
The average revenue a hotel earns from each occupied room in a single day, net of discounts and promotions. Calculated as total room revenue divided by rooms sold.
When to use it? Compare pricing power across seasons or against competitors in the same city and category.
RevPAR — Revenue Per Available Room
The industry's headline KPI
The most important performance indicator in hospitality. Blends occupancy and ADR into one number. Calculated as ADR × occupancy rate, or total room revenue ÷ rooms available.
When to use it? To assess overall efficiency. A hotel with high ADR and low occupancy can have a worse RevPAR than one with lower ADR but higher occupancy.
GOP — Gross Operating Profit
Operating profit before rent, tax, interest, depreciation
Profit from operations, stripped of financing and ownership structure effects. Measures operational management efficiency fairly, independent of the owner's financing decisions.
When to use it? To evaluate the performance of a GM or operations team on a level playing field.
NPS — Net Promoter Score
Guest advocacy score from -100 to +100
Based on a single question: "How likely are you to recommend this hotel to a friend?" (0–10). Detractors (0–6) are subtracted from Promoters (9–10). Result ranges from -100 to +100.
When to use it? A strong predictive signal for repeat bookings and word-of-mouth referrals. +50 is excellent in hospitality, +70 is exceptional.
GuestScore / Review Score
Weighted average across review platforms
The average guest rating across review platforms (Booking.com, Google, TripAdvisor, Agoda). The most commonly benchmarked number because it's public and verified.
When to use it? Every 0.1 point gain on Booking.com is often associated with a lift in your page's conversion rate. Highly sensitive.
OTA — Online Travel Agency
Commission-based booking platforms
A platform that sells hotel bookings electronically on commission. Major ones: Booking.com, Expedia, Agoda, Almosafer. Typically take 15–25% of the booking value.
When to use it? When planning a Direct Booking strategy aimed at reducing OTA dependence and building a higher-margin channel.
Review Velocity
Rate of new reviews over time
A measure of reputation "liveliness". A hotel with a 4.5 average and ten fresh reviews per month ranks higher in search algorithms than one with 4.7 but no reviews in a year.
When to use it? Booking.com and Google both boost hotels with higher review velocity — it signals ongoing activity.
Sentiment Analysis
Classifying review tone
Classifying the tone of each review (or each sentence inside it) as positive, neutral, or negative. Some commercial platforms produce it automatically with topic tagging, at accuracy that varies with dialect and sarcasm.
When to use it? As a first input for ordering the review, never as the verdict: tone tells you the guest is angry, not which department angered them — and that needs a human read.
Root Cause Analysis (RCA)
Engineering methodology to reach the underlying cause
Rather than treating symptoms, RCA searches for the real cause. Example: repeated "room was dirty" complaints may be rooted in an unrealistic housekeeping schedule, not a careless employee.
When to use it? When the same complaint keeps recurring despite surface-level interventions. Our methodology at SIA Hub is built on this principle.
Review Response Rate
Share of reviews management has replied to
Measures how seriously a hotel engages with its guests. TripAdvisor displays this publicly, and Booking.com factors it into listing rank.
When to use it? The realistic target we apply in our reports: 80%+ for negative reviews, 30%+ for positive. Replying within 24 hours multiplies the impact.
Reputation Management
Structured process of monitoring, analyzing, influencing image
Wider than "responding to reviews". Covers: multi-platform monitoring, trend analysis, operational coordination to fix root causes, and encouraging positive reviews through well-timed post-stay outreach.
When to use it? As a standing responsibility of the hospitality manager, not a reactive task. Industry research indicates that most bookings pass through a review-reading stage before confirmation.
Brand Standards Audit
Periodic compliance check against chain standards
For hotels tied to a global brand (Marriott, IHG, Accor…), a periodic audit compares actual performance to the brand's standards manual. Results may affect the franchise license.
When to use it? Typically twice a year. Can be combined with review analysis to expose gaps between written standards and real guest experience.
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