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Hotel AV Revenue Calculator

AV rental is high-margin ancillary for events and conventions, often 8–18% of group F&B.

$
$
%

Hotel commission

$7,575

Total AV revenue

$15,150

Per attendee

$101

How the math works

Total AV = attendees × per-attendee + labor. Hotel share = total × commission.

150 × $85 + $2,400 = $15,150 × 50% = $7,575 hotel commission.

How to Use

  1. Enter attendees.
  2. Enter av per attendee.
  3. Enter av labor.
  4. Enter commission to hotel %.
  5. Read hotel commission.

Frequently Asked Questions

In-house vs outsourced AV?

PSAV/Encore in-house: ~50% commission to hotel, turnkey for client, full service. Hotel direct: $20–40k AV equipment investment, 70–80% margin but operational burden. Bring own AV: client saves 30–50% but adds logistics, often forbidden by ballroom contract. Standard markup: 250–400% on equipment list price. Labor: $400–1,500/day technician. Conferences: $50–250 per attendee in AV revenue typical.

How does this support hotel underwriting?

Hotel investors and operators use this calculator alongside RevPAR, GOP, and flow-through analysis to validate operating assumptions. Pair it with a comp set benchmark (STR or HotStats data), brand/franchise standards, and seasonal demand patterns. Output is most useful when triangulated against trailing twelve-month financials and a forward booking pace report.

Brand vs independent treatment?

Branded hotels (Marriott, Hilton, Hyatt, IHG, Choice, Wyndham) typically follow USALI 11th edition reporting which dictates how this metric flows through the P&L. Independent and lifestyle hotels have flexibility but most lenders still expect USALI-aligned reporting. Use brand standards or local CVB data when defaults aren't representative of your asset.

Seasonal sensitivity?

Inputs based on annual averages mask peak/shoulder/trough volatility. Resort properties may see 60–80% of annual revenue concentrated in 4–6 months. Urban transient is more even but dips for weekends. Model peak month, shoulder month, and trough month separately if seasonality exceeds 20% swing. Stress test with a 10–15% RevPAR shock for cycle planning.

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