| Term | Working definition |
|---|
| ADR | Average daily rate: booked accommodation revenue divided by booked nights. |
| Occupancy | Booked nights divided by available nights for the measured period. |
| Gross booking revenue | Nightly accommodation revenue in this model, before operating expenses. |
| Variable cost | A cost that tends to move with bookings or revenue, such as platform fees and consumables. |
| Fixed operating cost | An annual planning allowance for recurring costs that do not change directly with each booking. |
| Operating contribution | Gross booking revenue less modeled variable and fixed operating costs, before financing, taxes, capex, and owner pay. |
| Lead time | Days between booking and check-in. |
| Compression date | A date when market demand reduces available supply and may support higher rates or stricter stay rules. |