The shift to RevPAG

As the industry shifts toward a more guest-focused revenue strategy, leveraging technology and data-driven insights will be essential for success

The hospitality industry is evolving, and traditional revenue metrics like Revenue Per Available Room (RevPAR) are no longer sufficient in capturing a hotel’s true financial performance. Instead, Revenue Per Guest (RevPAG) is emerging as a more holistic, guest-centric approach, focusing on maximizing revenue from individual travelers across all touchpoints. This global research study explores hotel leaders’ perceptions of RevPAG, shedding light on its potential, challenges, and technological enablers.

Key takeaways

• Growing recognition: A majority of hoteliers acknowledge the limitations of RevPAR and see RevPAG as a more accurate measure of business performance;
• Challenges in implementation: Despite enthusiasm, concerns remain about data collection, analysis, and integration across various hotel departments;
• Data-driven strategies: Effective RevPAG implementation relies on data analytics, guest profiling, and personalized experiences to enhance revenue;
• Technology as a key enabler: CRM systems, AI-powered platforms, and data visualization tools play a crucial role in successfully adopting RevPAG.

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