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What is RevPASH? Revenue per available seat hour explained

Revenue Per Available Seat Hour - a metric measuring how efficiently a restaurant generates revenue from its seating capacity.

RevPASH (Revenue Per Available Seat Hour) measures how efficiently a restaurant generates revenue from its seating capacity over time. For restaurants, this single metric captures what covers, check averages, and turnover miss individually. A 50-seat restaurant open 4 hours generating $8,000 has a RevPASH of $40.

Key facts

Definition: Revenue generated per seat per hour of operation
Formula: RevPASH = Total Revenue / (Available Seats x Hours Open)
Good benchmark: Fine dining $15-30, casual dining $8-15, fast casual $5-12
Why it matters: Captures the complete picture of capacity efficiency that other metrics miss

The quick definition

RevPASH combines three factors into one efficiency metric: revenue, capacity, and time. It answers the question: “How much revenue does each seat generate for each hour we are open?”

RevPASH = Total Revenue / (Available Seats x Hours Open)

Example: A 60-seat restaurant open 6 hours for dinner generates $9,000. RevPASH = $9,000 / (60 x 6) = $9,000 / 360 = $25.00

Why RevPASH matters

Beyond simple metrics

Traditional metrics tell incomplete stories:

Metric	What It Misses
Total revenue	How long you were open, how much capacity you used
Covers	Revenue per guest, time efficiency
Average check	Occupancy, turnover speed
Turnover rate	Revenue per turn, seat utilization

RevPASH accounts for all four factors: revenue, capacity, time, and utilization.

Comparing performance fairly

RevPASH enables fair comparison:

Restaurant A:

60 seats, open 6 hours, $9,000 revenue
RevPASH = $25.00

Restaurant B:

100 seats, open 8 hours, $12,000 revenue
RevPASH = $15.00

Restaurant A generates higher revenue per seat-hour despite lower total revenue.

Identifying opportunities

RevPASH reveals inefficiencies:

Low RevPASH Signal	Possible Cause
Empty seats during service	Poor reservation management
High covers but low RevPASH	Check averages too low
Strong weekends, weak weekdays	Demand imbalance
Slow lunch but strong dinner	Daypart mismatch

How to calculate RevPASH

Basic calculation

RevPASH = Total Revenue / (Available Seats x Hours Open)

Example calculation:

50 seats
4-hour dinner service
$6,000 total revenue

RevPASH = $6,000 / (50 x 4) = $6,000 / 200 = $30.00

By service period

Calculate separately for lunch and dinner:

Period	Seats	Hours	Revenue	RevPASH
Lunch	50	3	$2,400	$16.00
Dinner	50	5	$7,500	$30.00

This reveals which periods drive efficiency.

By hour

Hourly RevPASH shows your true peak periods:

Hour	Occupancy	Avg Check	RevPASH
5:00pm	40%	$55	$8.80
6:00pm	75%	$62	$18.60
7:00pm	100%	$78	$31.20
8:00pm	95%	$82	$31.16
9:00pm	60%	$70	$16.80

Peak revenue hours may differ from peak cover counts.

What is a good RevPASH?

Benchmarks by restaurant type

Restaurant Type	Typical RevPASH
Fine dining	$18-30
Upscale casual	$12-20
Casual dining	$8-15
Fast casual	$5-12
Quick service	$3-8

These are rough benchmarks. Your actual RevPASH depends on concept, market, and pricing.

Setting your target

Rather than comparing to industry averages, focus on:

Your current baseline RevPASH
Week-over-week trends
Same-period year-over-year comparison
Gap between peak and off-peak periods

A 15% improvement in your RevPASH matters more than hitting an arbitrary benchmark.

How to improve your RevPASH

1. Optimize occupancy

Empty seats earn zero. Fill them:

Use waitlist systems to fill cancellations
Accept walk-ins strategically
Market slow periods with promotions
Hold less capacity for no-shows

2. Improve turnover

Faster turns without rushing guests:

Streamline payment processing
Train staff on timing cues
Stagger reservation times
Reduce table reset time

3. Increase check average

Higher revenue per guest directly improves RevPASH:

Strategy	Impact on Check	Impact on Time
Drink suggestions	+$8-15/table	Minimal
Appetizer prompts	+$15-25/table	+10-15 min
Premium upgrades	+$5-15/guest	None

Balance check-building with turnover during peak hours.

4. Right-size seating

Match party sizes to tables:

A 4-top with 2 guests = 2 empty seats hurting RevPASH
Track party size distribution
Configure tables to match demand
Use flexible seating arrangements

5. Target slow periods

Off-peak hours drag down overall RevPASH:

Early bird prix fixe before 6pm
Industry night specials on slow weekdays
Email campaigns for specific slow days
Limited-time offers during shoulder hours

RevPASH limitations

Does not capture guest experience

High RevPASH achieved by rushing guests may hurt long-term business through:

Negative reviews
Reduced repeat visits
Lower tips affecting staff retention

Does not account for profitability

RevPASH measures revenue, not profit. High RevPASH with high food costs or heavy discounting may yield lower margins.

Requires accurate data

Calculate RevPASH properly with:

Accurate revenue tracking
Real seat count (not just tables)
Actual operating hours

Cover - Individual guest count, one component of RevPASH
Table turnover rate - How often tables are used, another RevPASH driver
Walk-in - Guests who fill empty seats and improve occupancy
No-show - Missed reservations that reduce RevPASH through empty seats

Frequently Asked Questions

What is a good RevPASH for restaurants?

RevPASH varies significantly by restaurant type. Fine dining might see $15-30, casual dining $8-15, and fast casual $5-12. Compare your RevPASH to similar restaurants rather than industry-wide benchmarks.

How do you calculate RevPASH?

RevPASH = Total Revenue / (Available Seats x Hours Open). For example, a 50-seat restaurant open 5 hours generating $5,000: RevPASH = $5,000 / (50 x 5) = $20 per seat hour.

How can I improve my RevPASH?

Increase RevPASH by optimizing table turnover, reducing empty seats, increasing check averages, managing reservation timing, and using targeted promotions during slow periods.

Is RevPASH better than tracking covers?

RevPASH captures more than covers alone. It factors in revenue per guest, time efficiency, and capacity utilization. Two restaurants with identical covers can have very different RevPASH based on check averages and turn times.

Should I track RevPASH by hour or by service period?

Both. Service period RevPASH shows overall efficiency, while hourly RevPASH reveals peak and slow periods. Hourly data helps with staffing decisions and targeted promotions.

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