ADR (Average Daily Rate) is a key performance measure used in the hotel industry to track how much money a hotel makes from its rooms on average per day. It's calculated by dividing the total room revenue by the number of rooms sold. Hotel managers and owners use ADR to understand their pricing strategy and how well their property is performing compared to similar hotels. When you see ADR mentioned in a resume, it usually means the person has experience in hotel revenue management, pricing strategies, or general hotel management.
Increased ADR by 15% through strategic room pricing and market analysis
Managed property achieving ADR of $250 in peak season
Developed pricing strategies that improved Average Daily Rate by 20% year-over-year
Typical job title: "Revenue Managers"
Also try searching for:
Q: How would you develop a strategy to improve ADR during low season?
Expected Answer: A senior candidate should discuss market analysis, competitive pricing, package creation, targeting different market segments, and using historical data to make informed decisions. They should also mention working with marketing to create demand.
Q: How do you balance ADR with occupancy rates to maximize revenue?
Expected Answer: Look for answers that show understanding of RevPAR (Revenue Per Available Room), ability to analyze market conditions, and experience in adjusting prices based on demand while maintaining profitability.
Q: What factors do you consider when setting room rates?
Expected Answer: Candidate should mention seasonality, local events, competitor pricing, operating costs, target market, and historical performance data.
Q: How do you track and analyze ADR performance?
Expected Answer: Should discuss using hotel management software, creating regular reports, comparing performance across different periods, and making data-driven recommendations.
Q: Can you explain what ADR is and how it's calculated?
Expected Answer: Should be able to explain that ADR is total room revenue divided by number of rooms sold, and why it's important for hotel performance.
Q: What's the relationship between ADR and hotel profitability?
Expected Answer: Should understand that higher ADR generally means better profitability, but also recognize the balance needed with occupancy rates.