CHIA Competitive Intelligence & Benchmarking 2

Question 1

A hotel's STAR report shows an RGI of 95. What does this indicate?

Accepted Answer

The hotel is capturing 5% less RevPAR than its competitive set

Answer

The hotel is capturing 5% more RevPAR than its competitive set

Answer

The hotel's RevPAR is $95 below the competitive set average

Answer

The hotel has underperformed the market by 95%

Question 2

Which criterion is most important when selecting hotels for a competitive set?

Accepted Answer

Hotels that guests and meeting planners consider as alternatives

Answer

Hotels in the same brand family

Answer

Hotels with the same star rating as the subject property

Answer

Hotels within a one-mile radius of the subject property

Question 3

What is the purpose of analyzing 'running 12-month' data in a STAR report?

Accepted Answer

To smooth out seasonal variability and show annual trend performance

Answer

To identify daily demand fluctuations

Answer

To compare performance across different market segments

Answer

To calculate the hotel's RevPAR contribution index

Question 4

In competitive benchmarking, 'supply penetration' refers to a hotel's:

Accepted Answer

Number of rooms as a percentage of total comp set rooms

Answer

RevPAR as a percentage of the highest competitor's RevPAR

Answer

Market share relative to all hotels in the broader market

Answer

Occupancy rate divided by the competitive set occupancy rate

Question 5

A hotel with an ARI greater than 100 and an MPI less than 100 is most likely pursuing which strategy?

Accepted Answer

Premium pricing that sacrifices some occupancy for higher rates

Answer

Volume-driven pricing to maximize occupancy

Answer

Discount pricing to undercut competitors

Answer

Yield management that balances rate and occupancy equally

Question 6

What is 'demand penetration' in hotel competitive analysis?

Accepted Answer

A hotel's occupied rooms as a share of total comp set occupied rooms

Answer

The ratio of transient demand to group demand in a market

Answer

The percentage of demand generated by online channels

Answer

Total rooms sold by a market divided by total rooms available

Question 7

Which STR report time period is most useful for evaluating a hotel's performance during a specific short-term promotional campaign?

Accepted Answer

Month-to-date or weekly data

Answer

Running 12-month

Answer

Year-to-date

Answer

Quarter-over-quarter comparison