OTA Dependency Calculator – Measure Your Hotel’s Dependency on OTAs

Understanding your hotel’s Average Daily Rate (ADR) is crucial to making smarter pricing and revenue decisions. Our free ADR Calculator helps you instantly find your property’s ADR so you can track performance, adjust pricing, and boost revenue.

What is ADR (Average Daily Rate)?

ADR (Average Daily Rate) is a key hotel metric that measures the average income earned per occupied room during a given period.
It shows how well your property is performing in terms of room pricing essential for revenue management.

Formula:

ADR = Total Room Revenue ÷ Number of Rooms Sold

How to Use the ADR Calculator

1. Enter your Total Room Revenue (for a day, week, or month).
2. Enter the Number of Rooms Sold during the same period.
3. Click Calculate to instantly get your Average Daily Rate.

Example Calculation

If your hotel made ₹450,000 from 150 rooms sold in a month:

ADR = 450,000 ÷ 150 = ₹3,000

So, your hotel’s ADR is ₹3,000 per occupied room.

Why ADR Matters

• Measure pricing effectiveness
• Compare rates across different time periods
• Analyze impact of discounts or promotions
• Plan future pricing strategies

How to Improve Your ADR

• Segment pricing for corporate, leisure, and group travelers
• Enhance rooms and guest experience to justify higher prices
• Implement dynamic pricing using PMS or RMS tools
• Upsell room upgrades or packages
• Promote direct bookings via your website

Related Hotel Metrics

RevPAR Calculator – Measure Hotel Revenue Performance

RevPAR (Revenue Per Available Room) is a key metric that combines ADR and occupancy to show how efficiently your rooms generate revenue.

Formula:

RevPAR = ADR × Occupancy Rate

or

RevPAR = Total Room Revenue ÷ Number of Available Rooms

Example:

If ADR = ₹6,000 and Occupancy Rate = 80%:

RevPAR = 6,000 × 0.8 = ₹4,800

OTA Dependency Calculator – Track Your Hotel’s OTA Reliance

OTA Dependency measures the percentage of bookings coming from OTAs versus direct bookings.

Formula:

OTA Dependency (%) = (Bookings from OTAs ÷ Total Bookings) × 100

Example:

If total bookings = 400 and OTA bookings = 260:

OTA Dependency = (260 ÷ 400) × 100 = 65%

This means 65% of bookings come from OTAs you can now plan strategies to increase direct bookings.

Tips to Reduce OTA Dependency

• Promote direct bookings on your hotel website
• Offer exclusive packages or perks
• Use channel managers to optimize inventory
• Run email campaigns to convert OTA guests to direct bookings
• Price direct channels competitively

Frequently Asked Questions (FAQs)

What does ADR mean?

ADR shows the average revenue earned per occupied room in a given period.

How is ADR calculated?

ADR = Total Room Revenue ÷ Number of Rooms Sold

What’s the difference between ADR and RevPAR?

• ADR = Average revenue per occupied room
• RevPAR = Revenue per available room (ADR × Occupancy Rate)

What is OTA dependency?

OTA Dependency = Percentage of bookings coming from OTAs compared to total bookings.

OTA Dependency (%) = (Bookings from OTAs ÷ Total Bookings) × 100

Why is OTA dependency important?

High OTA reliance means more commission fees and less control over guests. Reducing dependency improves profitability.

How can I increase ADR?

• Upsell rooms or packages
• Use dynamic pricing
• Improve guest experience
• Encourage direct bookings

Can ADR drop if occupancy rises?

Yes, selling more rooms at discounted rates can increase occupancy but lower ADR. Balance both for healthy RevPAR.

What is a healthy OTA dependency rate?

Hotels aim for 40–60% OTA dependency, but it depends on property type and market. Track trends more than a single number.