Hotel Revenue Glossary · Benchmarking

Competitive Index

A generic term for any metric that compares a hotel's performance to its competitive set, expressed as an index where 100 equals fair share. MPI, ARI, and RGI are all competitive indexes. Values above 100 indicate outperformance; below 100 indicates underperformance.

Why it matters: Competitive indexes add relative context when the set, source, period, room supply, and methodology are valid. ARI 105 means property ADR is 5% above the defined comparison ADR for that period; it does not by itself establish product power, profitability, or cause.

All glossary terms MPI (Market Penetration Index) ARI (Average Rate Index) RGI (Revenue Generation Index)