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Average daily rate (ADR)

GLOSSARY

Pricing

Average daily rate (ADR)

Average daily rate (ADR)

Average daily rate (ADR)

THE SHORT VERSION

Average daily rate, or ADR, is room revenue divided by the number of rooms sold over the same period.

Average daily rate, or ADR, is room revenue divided by the number of rooms sold over the same period.

ADR measures the average room revenue per room sold. Divide room revenue by rooms sold for the same period; for several days, count the room nights sold. SiteMinder uses this calculation to describe the average rate achieved, rather than the rate advertised for one particular booking. Source: SiteMinder: Average daily rate

Make the calculation visible

In a hypothetical example, £6,000 of room revenue from 50 room nights sold gives an ADR of £120. Keep the period and the two input figures beside the result. This lets a colleague reproduce the calculation and understand what it measures.

Read it beside occupancy

Review ADR with occupancy and revenue per available room for the same period. Confirm the report’s treatment of taxes and extras before comparing properties. This gives the average rate context and helps avoid comparing figures prepared on different bases.

Written and updated by Travelgenix. Sources checked on 19 October 2026. Practical advice and examples are Travelgenix editorial guidance.

Sources

The official pages behind this explanation. This is general information, not legal advice, and rules change, so check the latest version.