Occupancy Rate Calculator – Hotel Room Utilization Tool
Easily Calculate Your Hotel’s Occupancy Rate.
Use this free occupancy rate calculator to understand how effectively your rooms are being filled and make better revenue decisions.
What is Occupancy Rate?
Occupancy rate is one of the most fundamental metrics in hotel operations. It shows what percentage of your available rooms are being sold during a specific time period.
By revealing how full your hotel is, this metric helps you understand demand patterns, evaluate your pricing strategy, and plan for staffing, inventory, and marketing.
Whether you’re running a boutique hotel or a large resort, tracking occupancy consistently allows you to make informed decisions that affect both daily operations and long-term performance.
Occupancy Rate Formula
The formula to calculate occupancy rate is:
Occupancy Rate =
Sold Rooms
Available Rooms
x 100
To use it, divide the number of rooms you sold during a specific period by the total number of rooms available, then multiply the result by 100 to convert it into a percentage. For example, if you sold 75 rooms out of 100 available, your occupancy rate would be 75%.
This calculation provides a fast, reliable way to measure how effectively your hotel is utilizing its available room inventory. It’s typically tracked daily, weekly, and monthly as part of standard performance reporting.
Why Occupancy Rate Is Essential for Hotel Success
Occupancy rate is more than just a number — it’s a direct reflection of your hotel’s ability to attract and convert bookings. High occupancy can indicate strong demand or successful marketing, while a low rate might point to pricing issues, distribution gaps, or competitive pressure.
When used alongside other metrics like ADR and RevPAR, occupancy helps paint a complete picture of your hotel’s performance. It also plays a crucial role in budgeting, forecasting, and scheduling.
For instance, understanding expected occupancy helps you plan housekeeping shifts, control operating costs, and align staff resources more efficiently.
How Occupancy Rate Works with ADR and RevPAR
Occupancy alone doesn’t tell you how much revenue you’re generating — that’s where it works together with ADR and RevPAR. While occupancy tells you how many rooms are sold, ADR tells you at what average rate they were sold.
RevPAR combines both into a single metric that shows how well your inventory is being monetized. Tracking all three gives you a well-rounded view of your performance.
For example, a high occupancy rate with a low ADR may mean you’re filling rooms but leaving revenue on the table. A lower occupancy rate with a high ADR might show strong pricing power but limited demand. Understanding these dynamics helps you find the right balance between rate and volume.