4-Star Hotel · Central Portugal
Boutique rural hotel · 25 keys · Central Portugal
At a glance
Three years after bringing Tourism Lab in to run its revenue strategy, a boutique 4-star rural hotel earns 31% more accommodation revenue than before the partnership, on exactly the same 25 keys. The growth came from selling better, not from selling cheaper: both rate and occupancy moved up.
The hotel
Picture a hillside in the Portuguese countryside: contemporary architecture, floor-to-ceiling windows, an infinity pool looking out over the valley, and the Atlantic coast a short drive away. With rooms, suites and freestanding villas, 25 keys in total, it is the kind of place guests remember long after check-out.
The hotel adds a restaurant, a spa and a small meeting space to the stay. It attracts an international leisure crowd, led by guests from Portugal, Germany, the Benelux and the United States.
The challenge
By 2022 the hotel had fully recovered from the pandemic, with €558k in accommodation revenue. Summers were strong. The rest of the year was a different story: occupancy hovered around 50%, and in January only about one room in four was sold.
The commercial setup had not kept pace with the product. Prices followed the same logic all year, a flat 48-hour cancellation policy applied in every season, and the channel setup gave little control over rates across distribution partners. The question was clear: how do you grow a hotel like this without discounting what makes it special? In September 2023, the hotel brought Tourism Lab in to answer it.
What we did
Decisions driven by data
Daily pick-up monitoring, a forward view at 6 and 12 months, and an annual strategic plan with budget, events calendar and displacement analysis for group requests.
Rules that protect revenue when demand is high
Minimum stays in peak periods, and a cancellation policy that moves from 2 days in low season to 7 days in peak, replacing the flat 48-hour rule.
A reason to book direct
Website rates kept 5% below the OTAs, backed by a yearly calendar of seasonal packages and tactical offers.
A price for every moment of the year
Four seasons, including a new Peak Season for the highest-demand weeks, each with its own starting rates by day of week, room-type supplements and non-refundable discount.
Distribution rebuilt from scratch
Channel manager remapped by occupancy, every rate derived from the BAR, and half-board plans added to grow total revenue per guest. New partners such as CN Travel, Emerging Travel and Tablet Hotels opened new markets, and online distribution revenue grew 29% in the first full year.
Results
+31%
Accommodation revenue
+19%
ADR
+5 pp
Occupancy
+29%
Online distribution revenue (year 1)
| KPI | 2022 (before) | 2025 | Change |
|---|---|---|---|
| Accommodation revenue | €558,201 | €731,445 | +31% |
| Total revenue | €708,358 | €924,892 | +31% |
| ADR | €123 | €146 | +19% |
| Occupancy | 50% | 55% | +5 pp |
| RevPAR | €61 | €80 | +31% |
| Booking.com review score | 8.9 (2024) | 9.1 | +0.2 |
In 2026 the trend holds: January to October accommodation revenue reached €687k, 4.8% above the same period of 2025 and in line with budget.
Growth in every year
Accommodation revenue grew in each year of the partnership: +8% in 2023, +14% in 2024 and +7% in 2025, reaching €731k with the same 25 keys.
Winter started to sell
January occupancy rose from 23% in 2022 to 37% in 2025, and January accommodation revenue went from €16k to €29k in 2026.
The shoulder months did the heavy lifting
Compared with 2022, June 2026 earned 53% more in accommodation revenue and September 2026 earned 52% more.
Peak weeks are now priced as peak weeks
August ADR climbed from €153 in 2022 to €210 in 2026, with occupancy still above 84%.
Guests stay longer and book earlier
Average length of stay increased from 1.8 nights in 2023 to 2.0 in 2025, and the average booking window from 36 to 42 days between 2024 and 2025.
Year three keeps the momentum
From January to October 2026, the hotel sold 3% more room nights than in 2025 at a higher ADR (€153 vs €151), for €687k in accommodation revenue, in line with the budget for the period.
What's next
With the foundations in place, the focus now moves from volume to the value of each booking: a larger share of direct reservations, more revenue per guest through packages and ancillary services, and a stronger push on groups in the low season.
Three years in, this partnership shows what a small independent hotel can achieve when a distinctive product meets a structured commercial strategy. The hotel now sells more nights, at better rates, across more of the year.
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