Operations
CPOR
Cost Per Occupied Room
CPOR (Cost Per Occupied Room) is the average cost of servicing each room sold: the rooms department’s operating costs divided by the number of occupied rooms. It measures how efficiently a hotel turns rooms, independent of what it charges for them.
Formula
CPOR = Rooms department operating costs ÷ Occupied rooms
The costs included are those that scale with occupancy: housekeeping and front-office labour, linen and laundry, guest amenities and in-room supplies. Hotels vary in what else they allocate — some include a share of utilities, commissions or reservation costs — so CPOR comparisons only hold between properties using the same definition.
CPOR matters because revenue per room can rise while margin falls. Watching it beside ADR shows how much of each room sale the hotel keeps, and tracking it over time shows whether changes to staffing, laundry contracts or amenity policies actually save money. Labour is usually the largest component, which makes CPOR the metric most directly affected by how work is scheduled and how much of it is manual.
Worked example
A hotel spends €96,000 in a month on rooms-department labour, linen, laundry and amenities, and sells 3,200 room-nights. Its CPOR is €30.
Labour is usually the largest line in CPOR. Venli agents take on repetitive front-office and back-office work, so the same team can cover more rooms.
Frequently asked questions
What is CPOR in hotels?
In hotels, CPOR is cost per occupied room: the average cost of servicing each room sold, calculated by dividing rooms-department operating costs by occupied rooms. It covers expenses that scale with occupancy, such as housekeeping and front-office labour, linen, laundry and guest amenities.
How do you calculate CPOR for a hotel?
Divide the rooms department’s operating costs for a period by the occupied room-nights in that period. A hotel spending €96,000 on rooms labour, linen, laundry and amenities while selling 3,200 room-nights has a CPOR of €30. Keep the cost definition consistent so the figures stay comparable over time.
What does CPOR stand for?
In the hotel industry, CPOR stands for cost per occupied room. The same abbreviation has other meanings outside hospitality — in Microsoft’s partner programme, for example, it means Claiming Partner of Record — so hotel-specific context matters when searching for it.
Related terms
- GOPPAR — GOPPAR (Gross Operating Profit Per Available Room) measures gross operating profit for every available room, capturing both revenue performance and how efficiently the hotel is run.
- ADR — ADR (Average Daily Rate) is the average price a hotel actually achieved per room sold over a given period. It measures pricing performance on its own, with occupancy deliberately excluded.
- Occupancy Rate — Occupancy rate is the percentage of a hotel’s available rooms that were actually sold in a given period. It measures how much of the inventory the hotel managed to fill, independent of what it charged.
- Limited-Service Hotel — A limited-service hotel focuses on the room itself and offers few amenities beyond it — typically no full restaurant or room service, and at most a breakfast area, a small shop and little or no meeting space.