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Hotel Revenue Glossary ยท Benchmarking

Fair Share

The proportion of total competitive set demand that a hotel would capture if all hotels in the set performed equally. For a 200-room hotel in a comp set with 1,000 total rooms, fair share is 20% of market room nights, ADR, and revenue.

Why it matters: Fair share is the baseline expectation. Performance indexes measure how far above or below fair share a hotel performs. An RGI of 100 means you are capturing exactly your fair share of market revenue โ€” neither winning nor losing against competitors.

All glossary terms RGI (Revenue Generation Index) MPI (Market Penetration Index) Comp Set (Competitive Set)