Financial Glossary
Revenue Generation Index (RGI)
The Revenue Generation Index (RGI), also known as the RevPAR Index, benchmarks a property's RevPAR against the average RevPAR of its defined competitive set, expressed as a ratio multiplied by 100. An RGI of 100 means the property is generating revenue per available room exactly in line with its competitors. Above 100 indicates the property is outperforming its comp set on revenue generation; below 100 indicates it is underperforming. RGI is a standard metric in hotel benchmarking and is increasingly applied in the campground and outdoor hospitality sector.
Problem & Application
RGI combines the occupancy signal from MPI with the rate signal from the Average Rate Index into a single composite revenue view, making it the most common single-number benchmarking tool in hospitality. For a campground operator evaluating whether dynamic pricing changes are working, RGI provides a cleaner answer than internal RevPAR alone: if RGI is rising, the property is gaining revenue share; if it is flat despite rising RevPAR, the entire market is lifting and the property is merely keeping pace. Investors and lenders in the outdoor hospitality sector increasingly ask for RGI trends when evaluating acquisition targets or underwriting refinances.
In Short
RGI distills competitive revenue performance into a single comparable number. For any operator in a market with identifiable peers, it is the most honest measure of whether pricing and sales strategy is actually working.