What the number means.
A little over a third of premium room supply earns more than half of all room revenue. Revenue does not spread evenly across the market — it concentrates at the top, and it concentrates on rate rather than volume. The premium room is not fuller than the rest. It simply holds a much higher price.
The logic.
Turn the two shares into a simple index of revenue earned per share of supply, and the gap becomes concrete.
A premium available room generates about two and a half times the revenue of a non-premium one (1.65 ÷ 0.67 ≈ 2.5). And it does so not by being busier, but by defending a higher rate, night after night. In this segment, rate discipline is the business model.
Why it matters.
This is the part of the market where a few rupees of net ADR, protected across every channel, compound into outsized profit per available room — and where leaking those rupees to commission and discounting does the most damage. Volume is not the lever here. Rate, and the discipline to hold it, is.
What ProfitPAR does with it.
ProfitPAR™ is built for exactly this segment. Where revenue is rate-led and concentrated, the difference between a strong RevPAR and a strong bank balance comes down to how much of each premium rupee you actually keep. That is the number ProfitPAR measures, and the one a profit practice is paid to defend.
Figures are composite and representative of patterns observed across the premium segment. They do not reflect any single named source or property.