What is GOPPAR?
Gross Operating Profit Per Available Room (GOPPAR) measures profitability, not just revenue. It takes gross operating profit (revenue minus operating expenses) and spreads it across every available room, so it reflects how efficiently the whole property is run.
How to calculate GOPPAR
GOPPAR = Gross Operating Profit / Total Available Rooms.
Example: $30,000 in gross operating profit across 500 available room-nights gives $30,000 / 500 = $60.00.
Why GOPPAR matters
- Unlike RevPAR, it accounts for costs, so it cannot be gamed by chasing revenue at any expense.
- It captures all departments, including F&B, spa, and events, not just rooms.
- Investors and owners often treat it as the truest measure of asset performance.
How to improve GOPPAR
- Grow high-margin revenue (direct bookings, upsells, ancillary spend).
- Control labor and operating costs with better scheduling and procurement.
- Automate manual work so the team does more without more headcount.