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Tracking Occupancy Rates

Last updated: November 2025

Master one of the most important hotel metrics. Learn how to track, analyze, and improve your occupancy rate.

What is Occupancy Rate?

Definition: The percentage of available rooms that are occupied by guests.

Formula: (Number of Occupied Rooms ÷ Total Available Rooms) × 100

Simple Example

Your hotel has 50 rooms. Tonight, 35 are occupied.

Calculation: (35 ÷ 50) × 100 = 70%

Your occupancy rate: 70%

Viewing Your Occupancy Rate

On Dashboard

  1. Log in to InnGO
  2. Dashboard shows current occupancy prominently
  3. Updates in real-time

In Occupancy Reports

  1. Click Reports in menu
  2. Select Occupancy Reports
  3. Choose date range
  4. See detailed occupancy breakdown

Types of Occupancy Metrics

1. Current Occupancy

Right now - how many rooms occupied today

2. Daily Occupancy

Occupancy rate for each specific day

3. Average Monthly Occupancy

Formula: Total occupied room-nights ÷ Total available room-nights

Example:

  • 50 rooms × 30 days = 1,500 available room-nights
  • 1,050 rooms occupied during month
  • Occupancy: (1,050 ÷ 1,500) × 100 = 70%

4. Occupancy by Room Type

Track which room types fill up fastest:

  • Standard rooms: 85% occupancy
  • Deluxe rooms: 70% occupancy
  • Suites: 50% occupancy

Understanding Occupancy Benchmarks

Industry Standards (Nigeria)

  • 0-30%: Poor - needs urgent action
  • 30-50%: Below average - room for growth
  • 50-70%: Average - typical for many hotels
  • 70-85%: Good - healthy performance
  • 85-95%: Excellent - high demand
  • 95-100%: Maximum - consider raising prices!
📝 Context Matters: Occupancy varies by location, season, and hotel type. Compare to your own historical data!

Occupancy Report Features

Visual Graphs

  • Line chart showing occupancy over time
  • Color-coded bars (red = low, green = high)
  • Trend lines showing direction

Day-of-Week Analysis

Example Insight:
  • Monday-Thursday: 85% occupancy (business travelers)
  • Friday-Sunday: 50% occupancy (fewer bookings)

Action: Create weekend packages to boost Friday-Sunday!

Monthly Comparison

  • Compare current month to last month
  • Year-over-year comparison
  • Identify seasonal patterns

Advanced Occupancy Metrics

RevPAR (Revenue Per Available Room)

Formula: Average Daily Rate × Occupancy Rate

Example:

  • ADR: ₦15,000
  • Occupancy: 70%
  • RevPAR: ₦15,000 × 0.70 = ₦10,500

Why it matters: Measures both pricing and occupancy effectiveness

Double Occupancy Rate

Percentage of rooms with 2+ guests:

  • Important for hotels charging per person
  • Affects restaurant/breakfast revenue

Factors Affecting Occupancy

Seasonal Factors

  • High Season: December holidays, summer (higher occupancy)
  • Low Season: January-February, rainy season (lower occupancy)
  • Events: Conferences, festivals boost occupancy

Pricing Impact

  • Lower prices → Higher occupancy (but less revenue per room)
  • Higher prices → Lower occupancy (but more revenue per room)
  • Goal: Find sweet spot maximizing RevPAR

Nigerian Market Factors

  • End-of-month (payday) = higher bookings
  • Election periods = increased travel
  • Fuel price changes = affect travel patterns
  • NEPA challenges = guests prefer hotels with backup power

Strategies to Improve Occupancy

1. Dynamic Pricing

💡 Strategy: Lower prices on slow days, raise them on high-demand days.
  • Monday-Thursday: Standard rate
  • Friday-Sunday: 20% discount to attract leisure guests

2. Minimum Stay Requirements

  • Weekends: Require 2-night minimum
  • Holidays: Require 3-night minimum
  • Reduces gaps, increases occupancy

3. Last-Minute Deals

  • If rooms empty after 6pm, offer discounts
  • Better to fill at lower price than stay empty
  • InnGO supports same-day walk-in discounts

4. Long-Stay Discounts

  • Weekly rate: 10% off
  • Monthly rate: 25% off
  • Attracts corporate clients, relocating families

5. Marketing During Low Periods

Low occupancy in January?
  • Run New Year promotion
  • Target business conferences
  • Offer group booking discounts
  • Partner with local companies for corporate stays

Setting Occupancy Goals

Monthly Targets

  1. Review last 6 months average occupancy
  2. Set realistic 5-10% improvement goal
  3. Track progress weekly
  4. Adjust strategies as needed

Example Goal Setting

Current State: 60% average occupancy

3-Month Goal: Reach 70% occupancy

Strategies:

  • Month 1: Launch weekend packages (+3%)
  • Month 2: Partner with 5 companies for corporate bookings (+4%)
  • Month 3: Reduce prices on slow weekdays (+3%)

Result: 70% target achieved!

Exporting Occupancy Data

  1. Reports → Occupancy Reports
  2. Select date range
  3. Click Export
  4. Choose format (PDF, CSV, Excel)
  5. Use for presentations, investor reports

Common Occupancy Mistakes

❌ Focusing Only on Occupancy

High occupancy with very low prices = low revenue

✓ Better: Balance occupancy and pricing (optimize RevPAR)

❌ Same Price Every Day

Wastes high-demand days, struggles on low-demand days

✓ Better: Dynamic pricing based on demand

❌ Ignoring Seasonal Patterns

Surprised by slow periods every year

✓ Better: Plan marketing campaigns ahead of low seasons

Weekly Occupancy Review Checklist

Every Monday Morning:
  1. Check last week's occupancy rate
  2. Compare to previous week
  3. Note any unusual patterns
  4. Review upcoming week's bookings
  5. Adjust pricing if low occupancy expected
  6. Plan marketing if needed

Using InnGO Occupancy Alerts

Set Up Alerts (Professional Plan)

  1. Settings → Notifications
  2. Enable "Occupancy Alerts"
  3. Set threshold (e.g., "Alert if below 60%")
  4. Choose alert method (email, SMS)
  5. Get notified automatically!

Best Practices

  • ✓ Track occupancy daily
  • ✓ Compare week-over-week, month-over-month
  • ✓ Identify and understand your patterns
  • ✓ Set specific occupancy goals
  • ✓ Balance occupancy with pricing (RevPAR)
  • ✓ Be proactive during slow periods
  • ✓ Export reports monthly for management review

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