Target Revenue Calculator
Turn your monthly revenue goal into the occupancy, ADR and RevPAR your hotel needs to reach it.
How to use the free Target Revenue Calculator
- Enter your figures in the fields above – use real numbers from your PMS, channel manager or accounts.
- Tap the button to see the result instantly. Change any value to compare scenarios.
- Copy, print or save the result and use it in your daily or monthly review.
This Target Revenue Calculator runs fully in your browser on mobile or desktop – no sign-up and nothing is uploaded. Free target revenue calculator for hotels. Find the occupancy, ADR and RevPAR you need to hit your monthly room revenue goal, with a combinations table.
Work backwards from the number you need
Most owners set a monthly revenue target – to cover the loan EMI, salaries and a fair profit – but then manage rates day by day without checking whether the plan adds up. This target revenue calculator turns one monthly number into the occupancy, ADR and RevPAR you need, so the team knows exactly what has to change.
Worked example
A 30-room hotel wants ₹25,00,000 of room revenue in a 30-day month. It has 900 available room nights.
- RevPAR needed = ₹25,00,000 ÷ 900 = ₹2,778
- At the current ADR of ₹3,500, occupancy needed = ₹25,00,000 ÷ (₹3,500 × 900) = 79.4%
- At the current occupancy of 60%, ADR needed = ₹25,00,000 ÷ 540 = ₹4,630
- At current numbers the hotel earns ₹18,90,000, a gap of ₹6,10,000.
The combinations table shows every mix between 40% and 95% occupancy, so you can pick a realistic path such as 70% at ₹3,968.
Turning the plan into action
- Need more occupancy? Open weekday deals, corporate accounts, group business and better OTA visibility. Check whether lower-rate groups still help with the group booking quote calculator.
- Need higher ADR? Raise rates on high-demand dates first, sell upgrades and packages, and reduce discounts that are not needed.
- Check costs too. Revenue is only half the story – see whether the target covers your costs with the break-even occupancy calculator.
Keep it realistic
Compare the target with the same month last year and your competitors. If the table shows that you need both 90% occupancy and a 30% higher ADR, the target is probably too high for that month; spread it across stronger months instead. Review progress weekly using rooms already on the books, and convert the figures with the RevPAR calculator if you track performance by RevPAR.
Frequently asked questions
How do I calculate the occupancy needed to reach a revenue target?
Divide the revenue target by your ADR multiplied by available room nights (rooms times days), then multiply by 100 to get the occupancy percentage.
What if the required occupancy is above 100 percent?
Then the target cannot be reached at your current ADR. You need a higher average rate, more inventory, or a lower target for that month.
Should the revenue target include GST?
No. Use room revenue excluding GST, because GST is collected for the government and is not hotel income.
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