Average Daily Rate (ADR) is a common metric used to measure the performance of a hotel. It is the calculation of the average price or rate of a hotel room charged for a given period.Â
ADR = Revenue Ă· sold rooms
For example, if  your revenue was $100,000 and you sold 500 rooms, your ADR would be $200
$100,000 (revenue)Â Ă· 500 (rooms) = $200 (ADR)
ADR is often considered the most common indicator of a hotels success, especially in relation to competitor hotels with similar demographics.Â
See also:Â
Average Rate Index (ARI, ADR Index)
Revenue Per Available Room (RevPar)
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