Revenue & pricing

Why occupancy alone does not show profitability

Marbella Hospitality · Prepared · Practical note

A full calendar can still produce weak results when commissions, cleaning and service costs absorb the revenue. Review the contribution each booking leaves after costs that change with the stay.

A practical approach

  1. Calculate net room revenue after distribution costs.
  2. Deduct cleaning, laundry and stay-specific expenses.
  3. Separate owner-use and maintenance blocks from sellable nights.

An example to consider

Two bookings can occupy the same four nights yet contribute different amounts if one requires a discount, extra cleaning and a paid acquisition campaign.

What to track

Compare contribution per available night, with the same cost definitions every month.

Part of the Marbella Hospitality practical-note collection. About this collection.

A practical next step for your property.

Discuss revenue, guest operations or launch support with Priit Villemson. Start with the issue your property needs to solve.

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