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Hotel Revenue Glossary · Metrics

Double Occupancy Percentage

The percentage of occupied rooms hosting more than one guest. Calculated by dividing the number of rooms with two or more guests by the total number of occupied rooms. This metric affects labor costs, amenity consumption, and ancillary revenue potential.

Why it matters: Higher double occupancy increases per-room costs (breakfast, amenities, housekeeping labor) but also boosts ancillary revenue opportunities. Hotels charging a double occupancy supplement generate incremental room revenue from the metric.

Worked example: A 140-room hotel runs 112 occupied rooms on Saturday, of which 74 host two or more guests: 74 / 112 = 66.1% double occupancy. If breakfast is included and costs A$14 a head, the second guests add 74 x A$14 = A$1,036 to that night's cost. A A$25 second-adult supplement on those same 74 rooms returns A$1,850, clearing the breakfast cost by A$814.

Common mistake: Assuming the second guest is free money because the room was already sold. Breakfast, linen, amenities and in some properties an extra housekeeping minute all scale with heads, not with rooms. Price the supplement off your own measured per-person cost, not off what the hotel down the road charges.

All glossary terms Occupancy CPOR (Cost Per Occupied Room) Ancillary Revenue