CHIA Competitive Intelligence & Benchmarking

Question 1

In hotel benchmarking, what does the acronym STR stand for?

Accepted Answer

Smith Travel Research

Answer

Standard Tourism Registry

Answer

Strategic Trend Reporting

Answer

Supply & Traffic Research

Question 2

A hotel's Revenue Generation Index (RGI) is calculated by dividing the hotel's RevPAR by the RevPAR of its:

Accepted Answer

Competitive set

Answer

Brand average

Answer

Market segment average

Answer

National average

Question 3

What does the Market Penetration Index (MPI) specifically measure?

Accepted Answer

A hotel's occupancy relative to its competitive set

Answer

A hotel's RevPAR relative to its competitive set

Answer

A hotel's ADR relative to its competitive set

Answer

A hotel's TRevPAR relative to its competitive set

Question 4

A hotel that achieves an MPI of 110 is best described as:

Accepted Answer

Capturing 10% more than its fair share of occupancy

Answer

Losing 10% of its fair share of occupancy

Answer

Operating at 110% occupancy

Answer

Outperforming its competitive set by 10 percentage points in ADR

Question 5

What is 'fair share' in the context of hotel competitive benchmarking?

Accepted Answer

The proportion of total competitive set supply a hotel represents

Answer

The industry average occupancy rate for the market

Answer

The average price a hotel should charge relative to competitors

Answer

The minimum RevPAR needed to break even

Question 6

The Average Rate Index (ARI) is calculated as:

Accepted Answer

Hotel ADR ÷ Competitive set ADR × 100

Answer

Hotel RevPAR ÷ Competitive set RevPAR × 100

Answer

Hotel occupancy ÷ Competitive set occupancy × 100

Answer

Hotel rooms sold ÷ Competitive set rooms sold × 100

Question 7

How many properties is a typical STR competitive set recommended to include?

Accepted Answer

5–10 properties

Answer

2–3 properties

Answer

3–5 properties

Answer

10–15 properties