What it means in plain language
CPOR is the floor under your ADR. If your CPOR is $62 and your loss-leader rate is $59, you're paying guests to stay. Most operators don't know their true CPOR because they don't allocate variable cost (housekeeping, amenities, F&B subsidy) accurately. Get this right before you set a single rate.
How CPOR fits in the bigger picture
CPOR doesn't live alone - it sits inside the Metrics & KPIs category and connects to 3 closely related concepts most working revenue managers track in the same breath. Pair this definition with the related terms below to build a working mental model - definitions in isolation are easy to memorize and easy to misuse.
Related terms you should also know
Each of these is one click away - start with whichever you don't already use daily: