GOPPAR (Gross Operating Profit per Available Room)
GOPPAR, or Gross Operating Profit per Available Room, is a performance metric used in hospitality to assess a property’s profitability. It considers both revenue and expenses, such as salaries, utilities, maintenance, etc.
GOP (Gross Operating Profit) is the profit remaining after subtracting all operating expenses from the total revenue generated per available room. GOPPAR is calculated by dividing the total gross operating profit by the total number of available rooms.
Focusing on GOPPAR allows a hotel to assess how efficiently it is managing its costs relative to its revenue.