Which term describes a hotel’s ability to sell all available rooms?

The term that describes a hotel’s ability to sell all available rooms is capacity utilization. Capacity utilization refers to the extent to which a hotel is able to fill its available rooms relative to the total number of rooms it has. This metric is particularly relevant for understanding how effectively a hotel is employing its resources, and it is often expressed as a percentage. A higher capacity utilization indicates that more rooms are being occupied, reflecting the hotel's success in attracting guests.

When assessing hotel performance, capacity utilization provides insight into demand management and revenue generation. By maximizing this metric, hotels can enhance their overall profitability and operational effectiveness. Other terms mentioned, like operating efficiency, room occupancy, and market share, relate to different aspects of hotel performance but do not specifically encompass the totality of how many rooms are sold compared to available options.