Room nights: one room, for one night
A room night is one room sold, or stayed in, for one night. A booking for two rooms for three nights is six room nights. Hotels count in room nights rather than bookings or guests because the other figures are built on them: occupancy is room nights sold over room nights available, average room rate is room revenue over room nights sold, and a company's or a travel agent's business is easiest to judge in room nights a year.
The formulaRooms × nights
Also called: room night, RN, RNs, room nights sold, net room nights, room-night.
A OneHorizyn page. Updated .
How to count room nights
- 1For each booking, multiply the rooms by the nights: one room for three nights is three room nights, and so are three rooms for one night.
- 2Add them up for the period, by the night each room is used, so a stay that runs into the next month counts its nights in each month.
- 3Take off cancelled bookings, unless you mean to count what was booked before cancellations.
- 4Count rooms, not people: two guests sharing a room for a night is one room night, though it is two guest nights.
Booking.com's own definition is the same: the number of rooms booked or stayed on a given date or over a period, so a guest who books a room for three nights is three room nights.
Booked, cancelled and stayed
The same month can give three different counts, and the booking sites use all three. Booking.com's notes for developers set them out:
- Booked gross: every room night booked in the period, counted by the day of booking, even if it was later cancelled.
- Booked net: the same, with cancelled bookings taken off.
- Stayed net: room nights counted by the night of the stay, with cancellations taken off. This is the count your occupancy uses.
Agoda's and Expedia Group's reports show net room nights. When you compare a site's figure with your own, check which count it is.
Room nights available
Room nights available are your rooms multiplied by the nights in the period: every room night you could have sold. A room night that isn't sold is gone; it can't be kept for tomorrow.
The room nights a 200-room hotel has to sell in a year, in EHL Hospitality Business School's example: each one a chance to sell that won't come again.
- Leave out rooms that truly can't be sold, such as rooms closed for repairs, and note it.
- Count rooms given free, to staff or as an apology, the same way every month.
- Count day use apart: a room sold for three hours isn't a room night.
What room nights feed
- Occupancy: room nights sold ÷ room nights available.
- Average room rate: room revenue ÷ room nights sold.
- RevPAR, revenue per available room: room revenue ÷ room nights available.
- Average length of stay: room nights sold ÷ bookings.
- Your share of the town: your room nights against those of the hotels around you, where you can find them.
- Deals: a company rate, a travel agent's block of rooms or a group, judged by the room nights it brings a year and on which nights.
A worked example
In September a 40-room hotel has 1,200 room nights available (40 rooms × 30 nights). It takes 300 bookings of one room for two nights, 600 room nights; 70 bookings of two rooms for one night, 140 room nights; and a wedding block of 20 rooms for four nights, 80 room nights. That is 820 room nights sold from 371 bookings, so its occupancy is 820 ÷ 1,200, or 68.3%. The wedding was one booking, but nearly one in ten of the month's room nights.
Where to read your room nights
- Booking.com: the “Analytics” dashboard in the extranet keeps track of the room nights you've sold and your revenue, and “Sales statistics” compares sales from guests who stayed with previous years.
- Agoda: the property performance tab of the Analytics Center shows net room nights, net revenue and average daily rate.
- Expedia Group: the “Data and insights” page lets you put net room nights among your priority metrics, with this year beside last.
- Your property management system: the only count that adds up every channel, walk-ins and phone bookings included.
Add up each site's room nights to see where your nights come from, and set that beside what each site costs you in commission.
Sources
- EHL Hospitality Business School: how revenue management works in hotels (EHL Insights), read
- Booking.com for developers: understanding the Market insights reports, read
- Booking.com Partner Hub: understanding your Analytics space, read
- Agoda Partner Hub: what is the Analytics Center, read
- Expedia Group Partner Central help: performance metrics on the Data and insights page, read