{"id":473930,"date":"2026-03-24T10:36:11","date_gmt":"2026-03-24T08:36:11","guid":{"rendered":"https:\/\/new.money-tourism.gr\/the-quot-myth-quot-of-average-daily-rate-adr-when-does-a-cheaper-room-actually-bring-in-more-revenue\/"},"modified":"2026-03-24T12:36:49","modified_gmt":"2026-03-24T10:36:49","slug":"the-quot-myth-quot-of-average-daily-rate-adr-when-does-a-cheaper-room-actually-bring-in-more-revenue","status":"publish","type":"post","link":"https:\/\/money-tourism.gr\/en\/the-quot-myth-quot-of-average-daily-rate-adr-when-does-a-cheaper-room-actually-bring-in-more-revenue\/","title":{"rendered":"The &#8220;Myth&#8221; of Average Daily Rate (ADR): When does a cheaper room actually bring in more revenue?"},"content":{"rendered":"<p><strong>In the circle of tourism professionals, there is an indicator that traditionally represents the ultimate authority: Average Daily Rate (<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/money-tourism.gr\/?s=ADR\">ADR<\/a><\/span>). It&#8217;s very common to hear hoteliers boasting that they &#8220;increased their average rate by 20% this year.&#8221; But is the constant pressure for higher prices the only way to achieve healthy profitability?<\/strong><\/p><div class=\"money-content_2\" id=\"money-698356173\"><ul id=\"money-grid-35365\"><li><div style=\"margin-left: auto;margin-right: auto;text-align: center;\" id=\"money-3984029885\"><a data-no-instant=\"1\" href=\"https:\/\/pbrands.gr\/en\/static\/cocktail_machine\" rel=\"noopener\" class=\"adv-link\" aria-label=\"Coctel_Banner_336x280px_EN\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/money-tourism.gr\/wp-content\/uploads\/2025\/04\/Coctel_Banner_336x280px_EN.gif\" alt=\"\"  width=\"336\" height=\"280\"  style=\"display: inline-block;opacity: 1 !important;\" \/><\/a><\/div><\/li><li class=\"last\"><a data-no-instant=\"1\" href=\"https:\/\/eshop.ksdamenities.gr\/\" rel=\"noopener\" class=\"adv-link\" aria-label=\"banner_FERRAGAMO_336x280-01\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/money-tourism.gr\/wp-content\/uploads\/2021\/12\/banner_FERRAGAMO_336x280-01.jpg\" alt=\"\"  width=\"336\" height=\"280\"  style=\"opacity: 1 !important;\" \/><\/a><\/li><\/ul><style>#money-grid-35365{list-style:none;margin:0;padding:0;overflow:hidden;}#money-grid-35365>li{float:left;width:49%;min-width:250px;list-style:none;margin:0 1% 1% 0;;padding:0;overflow:hidden;}#money-grid-35365>li.last{margin-right:0;}#money-grid-35365>li.last+li{clear:both;}@media only screen and (max-width:768px) {#money-grid-35365>li{width:100%;}}<\/style><\/div>\n<p>If we analyze the market data objectively, we find that there is no single truth. In modern hospitality, the fixation on high average spend can sometimes overshadow the bigger picture.<\/p><div class=\"money-content\" style=\"float: left;\" id=\"money-3841202313\"><div style=\"margin-left: -15px;float: left;clear: both;\" class=\"keno2\" id=\"money-3406549975\"><a data-no-instant=\"1\" href=\"https:\/\/youtu.be\/gW9fha7nygg?si=T5QNj6JmBtQagVnQ\" rel=\"noopener\" class=\"adv-link\"><div class=\"ad-desktop\">\r\n\t<ins class='dcmads' style='display:inline-block;width:970px;height:250px'\r\n    data-dcm-placement='N7033.2404308MONEY-TOURISM\/B34828307.445601741'\r\n    data-dcm-rendering-mode='iframe'\r\n    data-dcm-https-only\r\n    data-dcm-api-frameworks='[APIFRAMEWORKS]'\r\n    data-dcm-omid-partner='[OMIDPARTNER]'\r\n    data-dcm-gdpr-applies='gdpr=${GDPR}'\r\n    data-dcm-gdpr-consent='gdpr_consent=${GDPR_CONSENT_755}'\r\n    data-dcm-addtl-consent='addtl_consent=${ADDTL_CONSENT}'\r\n    data-dcm-ltd='false'\r\n    data-dcm-resettable-device-id=''\r\n    data-dcm-app-id=''>\r\n  <script src='https:\/\/www.googletagservices.com\/dcm\/dcmads.js'><\/script>\r\n<\/ins>\r\n<\/div><div class=\"ad-mobile\">\r\n\t<ins class='dcmads' style='display:inline-block;width:300px;height:250px'\r\n    data-dcm-placement='N7033.2404308MONEY-TOURISM\/B34828307.445732604'\r\n    data-dcm-rendering-mode='iframe'\r\n    data-dcm-https-only\r\n    data-dcm-api-frameworks='[APIFRAMEWORKS]'\r\n    data-dcm-omid-partner='[OMIDPARTNER]'\r\n    data-dcm-gdpr-applies='gdpr=${GDPR}'\r\n    data-dcm-gdpr-consent='gdpr_consent=${GDPR_CONSENT_755}'\r\n    data-dcm-addtl-consent='addtl_consent=${ADDTL_CONSENT}'\r\n    data-dcm-ltd='false'\r\n    data-dcm-resettable-device-id=''\r\n    data-dcm-app-id=''>\r\n  <script src='https:\/\/www.googletagservices.com\/dcm\/dcmads.js'><\/script>\r\n<\/ins>\r\n<\/div><\/a><\/div><br style=\"clear: both; display: block; float: none;\"\/><\/div>\n<p>Let&#8217;s consider a different perspective, which is often overlooked: Many times, a strategy that consciously reduces the price by 10% can lead to <span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/horizone.gr\/get-a-quote\/\">a 15% (or more) increase in final occupancy.<\/a><\/span><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"\" src=\"https:\/\/money-tourism.gr\/wp-content\/uploads\/2026\/03\/horizone-1.png\" width=\"1379\" height=\"919\" \/><\/p>\n<p>What does this mean in practical terms for the financial health of the accommodation?<\/p>\n<p>First, the math of RevPAR (Revenue per Available Room) often favors this scenario. The largest volume of bookings, even at a slightly lower price, can generate more total revenue from rooms.<\/p>\n<p>Second, and perhaps more importantly, the TRevPAR (Total Revenue Per Available Room) comes into play. An additional guest doesn&#8217;t just pay for their bed. He is a potential customer for the restaurant, bar, spa, or transportation services. These ancillary revenues multiply when the hotel is in demand and often exceed the small discount on the original room price.<\/p>\n<p><strong>Is there a &#8220;right&#8221; and &#8220;wrong&#8221; in the Value vs Completeness ?<\/strong><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignleft\" src=\"https:\/\/money-tourism.gr\/wp-content\/uploads\/2026\/03\/HORIZONE-2026-Screenshot-2026-03-20-155421.jpg\" width=\"338\" height=\"212\" \/><\/p>\n<p>The answer is that dogmatic thinking won&#8217;t fit. A high occupancy approach with a lower price can be dangerous if the variable operating cost of a room (cleaning, energy, supplies) is too high, devaluing the profit margin. On the other hand, it may be the absolutely right strategy for a resort that relies on the sales of its food and beverage (F&amp;B) departments to be profitable.<\/p>\n<p>At <span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/horizone.gr\/\">Horizone<\/a><\/span>, our approach to Revenue Management does not dictate ready-made solutions.<\/p>\n<p>Our role is to analyze the DNA of each accommodation. Weighing the fixed and <span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/horizone.gr\/get-a-quote\/\">variable costs<\/a><\/span>, infrastructure, and target audience, we seek balance for each of our partners individually. Because at the end of the day, the goal is not to impress with the most expensive room in the area, but to answer the ultimate question:<br \/>\nWhat exact combination of Price and Completeness leaves the most money in your pocket?<img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-446797\" src=\"https:\/\/money-tourism.gr\/wp-content\/uploads\/2025\/12\/Ferragamo-01-LOW.jpg\" alt=\"\" width=\"1654\" height=\"2283\" srcset=\"https:\/\/money-tourism.gr\/wp-content\/uploads\/2025\/12\/Ferragamo-01-LOW.jpg 1654w, https:\/\/money-tourism.gr\/wp-content\/uploads\/2025\/12\/Ferragamo-01-LOW-1113x1536.jpg 1113w, https:\/\/money-tourism.gr\/wp-content\/uploads\/2025\/12\/Ferragamo-01-LOW-1484x2048.jpg 1484w, https:\/\/money-tourism.gr\/wp-content\/uploads\/2025\/12\/Ferragamo-01-LOW-305x420.jpg 305w\" sizes=\"auto, (max-width: 1654px) 100vw, 1654px\" \/><\/p>\n<div class=\"money-after-article-content\" id=\"money-2478227595\"><ul id=\"money-grid-34887\"><li><div style=\"margin-left: auto;margin-right: auto;text-align: center;\" id=\"money-3695941899\"><a data-no-instant=\"1\" href=\"https:\/\/emea01.safelinks.protection.outlook.com\/?url=https%3A%2F%2Fwww.mexil.gr%2F&#038;data=05%7C02%7C%7C66d206b952794129f12c08de6a272af3%7C84df9e7fe9f640afb435aaaaaaaaaaaa%7C1%7C0%7C639064913611208166%7CUnknown%7CTWFpbGZsb3d8eyJFbXB0eU1hcGkiOnRydWUsIlYiOiIwLjAuMDAwMCIsIlAiOiJXaW4zMiIsIkFOIjoiTWFpbCIsIldUIjoyfQ%3D%3D%7C0%7C%7C%7C&#038;sdata=oKLQ1xS%2Fhu9cnq9EqSAl8zN7ks2xH8EpgFSlt8s0JB8%3D&#038;reserved=0\" rel=\"noopener\" class=\"adv-link\" aria-label=\"MONEYTOURISM-02\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/money-tourism.gr\/wp-content\/uploads\/2025\/05\/MONEYTOURISM-02-1.gif\" alt=\"\"  width=\"336\" height=\"280\"  style=\"display: inline-block;opacity: 1 !important;\" \/><\/a><\/div><\/li><li class=\"last\"><div style=\"margin-left: auto;margin-right: auto;text-align: center;\" id=\"money-2504822318\"><a data-no-instant=\"1\" href=\"https:\/\/www.365jobs.gr\/global-mobility?localization=en&#038;utm_source=MoneyTourismEN&#038;utm_medium=Banner&#038;utm_campaign=GlobalMobility\" rel=\"noopener\" class=\"adv-link\" aria-label=\"336x280_EN\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/money-tourism.gr\/wp-content\/uploads\/2025\/06\/336x280_EN.jpg\" alt=\"\"  width=\"336\" height=\"280\"  style=\"display: inline-block;opacity: 1 !important;\" \/><\/a><\/div><\/li><\/ul><style>#money-grid-34887{list-style:none;margin:0;padding:0;overflow:hidden;}#money-grid-34887>li{float:left;width:49%;min-width:250px;list-style:none;margin:0 1% 1% 0;;padding:0;overflow:hidden;}#money-grid-34887>li.last{margin-right:0;}#money-grid-34887>li.last+li{clear:both;}@media only screen and (max-width:768px) {#money-grid-34887>li{width:100%;}}<\/style><\/div>","protected":false},"excerpt":{"rendered":"<p>In the circle of tourism professionals, there is an indicator that traditionally represents the ultimate authority: Average Daily Rate (ADR). It&#8217;s very common to hear hoteliers boasting that they &#8220;increased their average rate by 20% this year.&#8221; But is the constant pressure for higher prices the only way to achieve healthy profitability? If we analyze [&hellip;]<\/p>\n","protected":false},"author":16,"featured_media":473931,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[44,54,22,26],"tags":[14582,3726,57700,3479,20557,3236],"class_list":["post-473930","post","type-post","status-publish","format-standard","has-post-thumbnail","category-suppliers","category-epixiriseis","category-ksenodoxia","category-promitheytes","tag-adr-en-2","tag-adr","tag-horizone","tag-prices","tag-profitability","tag-room"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v24.8.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>The &quot;Myth&quot; of Average Daily Rate (ADR): When does a cheaper<\/title>\n<meta name=\"description\" content=\"Analysis and reporting on the Average Price, which believes that the only way to profitability is to increase the price by 20%\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/new.money-tourism.gr\/en\/the-quot-myth-quot-of-average-daily-rate-adr-when-does-a-cheaper-room-actually-bring-in-more-revenue\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"The &quot;Myth&quot; 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