RevPAR Index (RGI)
The RevPAR index, also called the Revenue Generating Index (RGI), measures a hotel's RevPAR against the combined RevPAR of a group of hotels, such as its competitive set, market or submarket. To calculate it, divide the hotel's RevPAR by the group's RevPAR and multiply by 100 (Glossary, STR Benchmark (CoStar)).
Last updated: October 2026
How the RevPAR index works
An index of 100 means the hotel earned exactly its expected share of the group's RevPAR, a level historically described as "fair share". Above 100, the hotel took more than its expected share; below 100, it took less.
Take a competitive set with a RevPAR of $50. A hotel with a RevPAR of $50 scores 100, a hotel at $60 scores 120, and a hotel at $40 scores 80, which shows it captured less than its expected share (Glossary, STR Benchmark (CoStar)). The RevPAR on both sides of the division is the ordinary figure for the same period; What is RevPAR? explains how that figure is built.
Hilton's brand and company figures add a weighting step. For the Hampton brand figures in Hilton's 2025 US franchise disclosure, each competitive set's room supply is adjusted to equal the subject hotel's room count before brand totals are calculated, a process STR refers to as "portfolio weighting" (2025 US Hampton Franchise Disclosure Document, Item 19 (Hilton)). Hilton's company-wide RevPAR index is the weighted average of its share of RevPAR against each hotel's own competitive set, as calculated by STR (2025 Proxy Statement, Hilton Worldwide Holdings (SEC)).
Why the RevPAR index matters for hotel distribution
The index turns rate and channel decisions into a share score. RevPAR index growth makes up 25% of the long-term incentive metrics in Hilton's 2025 proxy statement, which describes the index as showing whether the company's hotels outperformed the other hotels in their competitive sets (2025 Proxy Statement, Hilton Worldwide Holdings (SEC)). Growth there is counted in points: the index for the final year of the performance period minus the index for the year before (2025 Proxy Statement, Hilton Worldwide Holdings (SEC)).
Price cuts show how a gain in one index can hide a loss in another. In a study of US hotels using STR data, those that cut rates by more than 25% in 2020 saw their RevPAR index fall 25% relative to hotels that raised rates by more than 5% (Cross-Sectional Differences in Hotel Revenue Performance During the Covid-19 Pandemic (Singh and Corsun, Cornell Hospitality Quarterly, 2023)). The same rate cutters improved their occupancy index by 20% against that group, so the extra rooms sold did not make up for the lower price (Cross-Sectional Differences in Hotel Revenue Performance During the Covid-19 Pandemic (Singh and Corsun, Cornell Hospitality Quarterly, 2023)).
US hotels showed the same pattern in 2009. A 5% drop in average rate typically equated to a 1% improvement in occupancy index, while a 15% drop drove about 4%. The more properties dropped rates, the worse their RevPAR index change was (Love-hate Relationship: Occupancy, Rate (STR Analytics, Hotel News Now, 20 Jul 2010)).
A single RevPAR index figure can also mask weak occupancy or a weak ADR underneath it, so the two component indices are worth reading alongside it (Hotel STAR Report Guide: Reading STR Reports (Mews)).
Brands use the index to show owners what their systems deliver. Country Inn & Suites by Radisson reported a 19-point increase in RevPAR index, and upper midscale Choice hotels that engaged with the ChoiceROCS program held an average 2% more RevPAR index year over year in 2024 than hotels not on the program (Country Inn & Suites by Radisson Achieves Strong Performance Gains (Choice Hotels, 10 Mar 2025)). Both figures are the company's own claims about its brands.
RevPAR index compared with occupancy index (MPI) and average rate index (ARI)
STR publishes two sister indices built with the same formula, one for occupancy and one for average daily rate.
| RevPAR index (RGI) | Occupancy index (MPI) | Average rate index (ARI) | |
|---|---|---|---|
| Compares | The hotel's RevPAR with the group's RevPAR | The hotel's occupancy with the group's occupancy | The hotel's ADR with the group's ADR |
| Formula | (Hotel RevPAR / group RevPAR) x 100 | (Hotel occupancy / group occupancy) x 100 | (Hotel ADR / group ADR) x 100 |
| Answers | Did the hotel earn its share of revenue per available room? | Did the hotel fill its share of rooms? | Did the hotel charge its share of rate? |
Sources for the indices and the table: Glossary, STR Benchmark (CoStar).
Frequently asked questions
How do you calculate RevPAR index?
How do you calculate RevPAR index percent change?
What is RevPAR index in hotels?
Does the RevPAR index work for short-term rentals?
Related terms
See all termsWhere Jetstream fits
A RevPAR index shows whether a property is winning its share of revenue against the hotels around it. Moving that number means changing rates and availability on every channel where guests book, and keeping each channel accurate as those changes land. Jetstream builds an AI channel manager that connects a property's systems to those channels and keeps rooms, rates and availability accurate on each one, managed from one place.