ADR (Average Daily Rate)
The average nightly rate earned across all booked nights in a given period.
Average Daily Rate (ADR) is calculated by dividing total rental revenue by the number of nights booked. It is a key performance indicator for short-term rental properties and is used to benchmark against competitors and track pricing effectiveness over time. A higher ADR combined with strong occupancy indicates a well-managed, in-demand property. Professional managers use dynamic pricing tools to maximize ADR without sacrificing occupancy.
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